Cheese factory byproduct to be transformed into eco-friendly palm oil alternative through agreement with NoPalm Ingredients
In a pioneering move, Dutch startup NoPalm Ingredients has secured a deal with Milcobel to convert the latter's whey permeate into yeast-based fats. These fats, sold under the Revóleo brand, are designed to replace palm oil in various industries, including confectionery, baked goods, meat and dairy alternatives, and personal care products.
Whey permeate, a byproduct of whey processing, serves as an ideal feedstock for NoPalm Ingredients' fermentation process. The company's proprietary technology employs non-GMO yeasts to convert local agricultural sidestreams into yeast oils, creating eco-friendly alternatives to palm oil.
The demonstration facility, set to begin operations next year, will produce around 1,200 tons of oil annually. However, NoPalm Ingredients has ambitious plans and is currently raising a Series A round to scale up from plot to commercial production. The startup aims to open its first commercial factory at the Milcobel Langemark site in 2024, with the proposed facility designed to produce 6,000-7,000 tonnes of oil per year.
The partnership between NoPalm Ingredients and Milcobel is not just a business move. Both parties will conduct a joint study to explore the feasibility of co-locating NoPalm's first commercial-scale facility at Milcobel's Langemark site. This collaboration is timely, given the EU's Deforestation Regulation, set to take effect in December, which will ban the import of products with deforestation-linked palm oil. Violators face fines of up to 4% of their global turnover.
The EU's stance against deforestation-linked palm oil is a response to the environmental impact of palm oil production. Palm oil production causes rampant tropical deforestation and has been directly linked to wildfires in Indonesia. According to estimates, 34% of palm oil imports potentially come from deforested land.
NoPalm Ingredients' alternatives, sold under its Revóleo brand, generate 90% fewer emissions and require 99% less land. The startup has already secured €6M in funding to date and has struck partnerships with industry giants like Unilever, Colgate Palmolive, Zealandia, and Those Vegan Cowboys.
Two of the Revóleo products, Revóleo Soft and Revóleo Silk, are particularly noteworthy. Revóleo Soft is a beige, semi-solid microbial oil meant to replace palm oil, cocoa butter, or milk fat in confectionery, baked goods, and meat and dairy alternatives. On the other hand, Revóleo Silk is a soft butter for personal care products like hair conditioners, colour cosmetics, and soaps.
Whey permeate can also be used as a substrate for producing other value-added ingredients, including meat alternatives, precision-fermented casein, and lactic acid. This versatility makes NoPalm Ingredients' technology a promising solution for a wide range of industries seeking sustainable alternatives to palm oil.
With the EU's Deforestation Regulation looming and the global push for sustainability, NoPalm Ingredients is poised to make a significant impact. The startup's innovative approach to fermentation and its commitment to eco-friendly alternatives make it a leader in the fight against deforestation and the search for sustainable solutions.
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