Tyson Foods, one of the world’s largest meat producers, is making a significant investment in Protix, an insect protein startup. The investment serves a dual purpose: to increase production of insect protein for animal feed ingredients, aquaculture, and pet food, and to address the environmental concerns associated with traditional animal feed ingredients like soy.
Soy has long been the go-to ingredient in animal feed due to its high protein content. However, its production has been linked to deforestation, particularly in South America, where soy farming has displaced smallholders and indigenous communities. This has led to a growing demand for alternative protein sources that have a lower environmental impact.
Insects, such as Black Soldier Flies, offer a promising solution. They have a high protein content and can be bred using byproducts from the food industry, reducing waste and promoting circularity. Protix has developed a system where these flies feed on byproducts and are then processed into proteins and lipids for animal feed and pet food. This process is considered less environmentally intensive than industrial-level soy farming.
Recognizing the potential of insect protein, Tyson Foods is taking a minority stake in Protix through a direct equity investment. The investment will not only fund the expansion of Protix’s insect protein business but also facilitate the construction of a facility in the US. This facility will be the first of its kind, upcycling manufacturing byproducts into insect protein at scale.
The partnership between Tyson Foods and Protix is significant for several reasons. Firstly, it highlights the growing demand for sustainable and environmentally friendly food production. Consumers are increasingly concerned about the socio-environmental impacts of their food choices and are seeking “cleaner” options. Insect protein offers a viable alternative that meets these demands.
Secondly, the collaboration between a major meat producer like Tyson Foods and a startup like Protix demonstrates a shift in the industry. Traditional food companies are recognizing the potential of alternative protein sources and are actively investing in and partnering with startups in this space. Tyson Foods joins a list of major food companies, including ADM and InnovaFeed, that have embraced insect protein as a sustainable solution for animal feed and pet food.
The investment from Tyson Foods will also enable Protix to expand internationally. Currently based in the Netherlands, Protix already has products in over 15 countries and produces approximately 14,000 metric tons of insect protein annually. With Tyson Foods’ support, Protix can further scale its operations and meet the growing global demand for sustainable protein sources.
In conclusion, Tyson Foods’ investment in Protix signifies a significant step towards a more sustainable and environmentally friendly food system. By embracing insect protein as an alternative to traditional animal feed ingredients, Tyson Foods is addressing the concerns surrounding deforestation and promoting circularity in the food industry. This partnership highlights the growing demand for cleaner and more sustainable food options and sets a precedent for other major food companies to follow suit.