Earth First Food Ventures Ltd (EFFV), a venture capital firm focused on ESG and impact investments in food technology, has announced the launch of PFerrinX26, the first US-based facility dedicated exclusively to the precision fermentation of Lactoferrin (LF). This facility aims to address the growing global shortage of Lactoferrin, a protein with significant health benefits and applications in various sectors, including immune support and gut health.
“We’re thrilled to be launching the first precision fermentation facility producing Lactoferrin ‘without the cow.'”
The facility’s establishment in the United States is also a strategic decision, given the country’s favorable regulatory environment for innovative food technologies. This decision underscores EFFV’s goal of scaling precision fermentation dairy in a market where the infrastructure and regulatory framework are better aligned to support such innovations.
Ricardo Radwanski, CFO and co-founder of EFFV, stated, “We’re thrilled to be launching the first precision fermentation facility producing Lactoferrin ‘without the cow.’ Our first facility will have a capacity of 50 tons per annum and be located in the Midwest where we have an abundance of dextrose–our single largest input and crucial feedstock for the production of PF Lactoferrin.”
Lactoferrin, a minor protein naturally present in milk, is renowned for its antibacterial, antiviral, and anti-inflammatory properties. It is increasingly sought after in the wellness, pharmaceutical, and food industries. Despite its high demand, Lactoferrin’s production has been historically limited, as extracting it from milk requires large quantities of raw material, leading to global production of only 850 metric tons annually. This scarcity drives up prices, with Lactoferrin typically costing between $600 and $1,500 per kilogram.
A solution to Lactoferrin scarcity
PFerrinX26 is positioned to address this shortage by producing Lactoferrin through precision fermentation, a scalable process that offers a more sustainable and ethical alternative to traditional dairy production. The facility aims to produce up to 200 tons of Lactoferrin per year, contributing to a more reliable supply of the protein at a lower cost.
EFFV is also addressing common challenges in the precision fermentation industry, such as high production costs and the need for substantial investment in specialized infrastructure. By establishing PFerrinX26 as a fully owned facility rather than relying on third-party manufacturing agreements, EFFV gains greater control over production quality and cost efficiency.
Addressing dairy production shortfalls
According to the company, the global dairy production sector is projected to experience a shortfall of $75 billion within the next decade. The scalability of precision fermentation provides a viable solution to meet growing demand. Lactoferrin, in particular, presents an attractive option due to its high market value and relatively low capital expenditure (CapEx) compared to other dairy proteins like Beta-Lactoglobulin (BLG) and casein.
Despite the promise of precision fermentation, the industry faces hurdles such as limited manufacturing capacity, consumer education challenges, and varying global regulatory standards. EFFV’s strategy involves building a sustainable and scalable production model that will address these obstacles while positioning PFerrinX26 as a leader in the emerging precision fermentation dairy market.
Radwanski explained to vegconomist, “Our consortium of strategic and industrial investors will be key in building a robust business model to capture the substantial upside we are expecting while managing risk efficiently. We’re excited about our consortium that is coming together to bring sustainable dairy from precision fermentation at commercial scale.”
