Loopworm, a pioneering startup in the insect protein sector, is making significant strides in its Bangalore facility, which is set to produce an impressive 6,000 tons of insect protein meal annually. Founded in 2019 by engineering graduates Abhi Gawri and Ankit Alok Bagaria, Loopworm has recently raised $3.4 million from investors, including Omnivore and Titan Capital, and is now preparing for a Series A funding round. The startup is not only ramping up its production of insect protein meal but is also exploring the use of silkworms as mini bioreactors to generate recombinant proteins, a move that could revolutionize the biotechnology landscape.
Loopworm operates with a unique approach, utilizing a dry rendering process to convert worms sourced from a network of established insect farmers into protein meal and oil. This strategy allows the company to focus on processing rather than farming, which is particularly advantageous given India’s established silkworm production industry. “We have an aggregator who collects from silkworm breeders and a few black soldier fly farmers,” Bagaria explained. Currently operating at only 10% of its capacity, Loopworm anticipates an increase to 500 tons of insect meal per month, translating to a potential revenue of $15 million annually. The company has already begun generating revenue, projecting around $1 million this year from sales primarily to aquaculture companies, including CP Feeds and Ananda Group.
In addition to its insect meal production, Loopworm is innovating in the recombinant protein space. Instead of genetically modifying silkworms to produce proteins, the company employs a transient expression system, where silkworms are injected with viral vectors that enable them to produce target proteins before being processed. This method transforms silkworms into short-term protein factories, allowing for the production of essential proteins for various applications, including diagnostics, cosmetics, and drug discovery. Bagaria emphasized the scalability of this approach, noting that it becomes an engineering challenge once the initial process is established.
The operational efficiency of this method is noteworthy. By using silkworm pupae, which are stationary and easier to manage than larvae, Loopworm can streamline the injection process, resulting in a more concentrated protein yield. This efficiency translates to cost savings, making their method significantly cheaper—up to 40 times less expensive—than traditional precision fermentation techniques involving engineered microbes. The startup has already filed a patent for its innovative platform and is preparing to file a second one, having successfully expressed several high-value proteins at yields surpassing conventional cell culture systems.
Despite the complexities of regulatory approvals for therapeutic proteins, Loopworm is optimistic about its prospects. The company has secured necessary approvals for research and development scale production and is eyeing commercial sales within two years, contingent on successful Series A funding. The initial focus will be on diagnostic kits and other applications that do not require extensive regulatory hurdles.
Funding in the insect agriculture sector is gaining momentum, with Loopworm’s achievements drawing investor confidence. The startup has already established a solid foundation, selling 50 tons of insect meal and oil monthly, while also building a capable factory team and securing vital certifications. The combination of insect protein production and innovative recombinant protein development positions Loopworm as a significant player in the growing field of sustainable agriculture and biotechnology.
As the demand for alternative protein sources and sustainable biotechnological solutions continues to rise, Loopworm’s dual focus on insect meal and recombinant proteins could pave the way for a new era in food production and biotechnology, offering both environmental benefits and economic opportunities.