JackFruit Company Secures $5M Funding to Boost Meat Alternatives Market

The JackFruit Company, known for its innovative jackfruit-based meat alternatives under the Jack & Annie’s brand, has successfully secured a $5 million series B extension to further its expansion into retail, foodservice, and industrial ingredient markets. The funding round was led by returning investors InvestEco, Creadev, and Grosvenor Food & AgTech, and follows a substantial $23 million series B round announced in December 2021. This recent investment reflects the company’s impressive growth trajectory, with founder and CEO Annie Ryu highlighting that the firm is experiencing double-digit growth even as many competitors in the alternative meat sector face challenges.

Founded in 2011, The JackFruit Company initially aimed to assist farmers in India by finding markets for ripe jackfruit. Over the years, the focus shifted to developing meat alternatives from young, unripe jackfruit, which boasts a subtle flavor and a dense, shredded texture akin to pulled pork. Ryu recalls her first encounter with a jackfruit burger created by one of the farmers, noting its remarkable similarity to traditional meat. The company launched its first products in Whole Foods in 2015, and the Jack & Annie’s brand followed in 2021, providing a consumer-friendly option that includes burgers, breakfast sausage patties, and nuggets.

The JackFruit Company operates through a dual-brand strategy. The Jackfruit Company brand primarily targets industrial and foodservice markets, offering products like ‘naked’ or ‘lightly seasoned’ jackfruit chunks, while the Jack & Annie’s brand caters to the consumer market. Together, these brands are available in thousands of retail and foodservice outlets across the United States and Canada. The company maintains a close relationship with thousands of small farmers in India through its wholly owned subsidiary, ensuring a steady supply chain and manufacturing capability across India and North America.

Ryu emphasizes the nutritional benefits of jackfruit, which, while lower in protein compared to other meat alternatives made from extruded plant protein powders, is rich in fiber and essential minerals such as potassium, iron, and calcium. She points out that the average diet tends to overemphasize protein intake while neglecting fiber, highlighting the company’s mission to provide a balanced nutritional profile through whole plant ingredients. The processing methods used to transform jackfruit into meat analogs involve standard food industry practices, which are cost-effective yet still require a certain scale to achieve profitability.

Navigating the evolving landscape of the alternative meat market has presented its challenges. Ryu notes that while some retailers are reducing shelf space for meat alternatives, others are reorganizing to highlight better-performing brands. The JackFruit Company has seen consistent growth in sales velocities and repeat purchase rates, leading to expanded shelf presence in key retailers such as Whole Foods and Sprouts. In foodservice, the company has made strides by securing nationwide distribution through Dot Foods and establishing partnerships with various distributors.

Despite competition, The JackFruit Company has established itself as the clear leader in jackfruit-based meat alternatives, commanding approximately 70% of all retail jackfruit product sales in the U.S. Ryu attributes this success to not only building a strong brand but also creating a new category and supply chain around jackfruit. As the alternative meat sector continues to evolve, Ryu remains optimistic about the company’s potential for growth, viewing the current landscape as a significant area of opportunity.

Leave a Comment

Your email address will not be published. Required fields are marked *

Scroll to Top
×