Fertiliser and Candy

31st October, 2023

Happy Saturday everyone and welcome to the Food Jungle! Every week, we’ll be giving you a short snapshot of everything that has been goin’ on in the world of food, from IPOs, to policy, to fundraising, to cool tech initiatives. After all, food is one of the few things that none of us can live without, so we think it seems pretty important to talk about it. But we also don’t want to constantly hammer you with news about the big baddie corporations, damaging our planet (although we will be poking fun at them too hehe) because that would be SUPER depressing. Here at the Food Jungle we want to give you both the bad and the downright SPECTACULAR of the food industry, whether it’s genetically modified strawberries or insect protein bars. So, if you’re a chef, a lawyer, a student, or just interested in what’s happening in this brilliantly complex and awesome world, step right in and let’s explore the jungle together 😁 

This week:

  • Cultivated meat is facing some harsh truths.

  • War in Israel and Ukraine is affecting global fertiliser supply.

  • California bans some popular food additives.

  • Salmon production is now going sustainable…

NORTH AMERICA
CULTIVATED MEAT: HYPE OR NOT?

New York Times

Cultivated meat - the process of “copying and pasting” animal cells to produce muscle tissues that resemble whole cuts of beef or chicken - has had a long, hype-filled history. In June, the USDA approved Upside Foods’ and Eat Just’s bid to enter the US market with both companies promising that this groundbreaking industry would reduce the amount of land and water needed to grow meat by 98%.

And yet, the reality appears to be a little different. While the cultivated meat industry attracted $1.4 billion in investment in 2021, the products being sold are nowhere near reaching a consumer-friendly price. As an example, Finless Foods - a company that wants to synthetically produce tuna steaks - still has only been able to produce tuna steaks for $19,000 A PIECE. We don’t want to bore you with the many reasons as to why the industry hasn’t gained the traction it promised it would, but here are just the biggest ones:

  • There aren’t enough of the essential bioreactors (the tanks, in which the cells grow) in the world to produce cultivated meat on a large scale.

  • The raw materials that are being used are repurposed from other industries, like pharma, making the production process wayyyy more expensive than it needs to be.

  • The health risks are still unknown.

  • No-one knows how to even regulate an industry like that. How do resolve the questions behind meat that has never been “born”?

At the moment, cultivated meat seems like the dream of a few very wealthy, probably Californian, billionaires. But the idea seems cool. We’ll keep you posted for more.

AFRICA AND THE MIDDLE EAST
FERTILISER SHORTAGE

New York Times

One of the negative consequences of being part of such an interdependent, globalised system is that when one large supplier fails, then everyone else could potentially be in some serious doo doo. Farmers around the world have been severely impacted by wars in Ukraine and Israel. Nitrogen fertilisers, for instance, are made through a chemical process that consumes energy, typically natural gas. And, as the US and Europe enforced sanctions against Russia - a major natural gas producer - prices of fertiliser have risen SUBSTANTIALLY.

Not to mention that so many of these farming communities trade in American dollars. So, when the US raises its interest rates, making it more expensive to borrow money, those who use American dollars elsewhere in the world are also affected.

War in Ukraine could hike gas prices even higher and an escalation of the conflict in the Middle East could sabotage shipping routes e.g., Suez Canal and the Straight of Hormuz. Just for reference when you do get into a heated debate about globalisation, here are some quick facts:

  • Since February, 2022, the price of fertiliser has more than doubled in Nigeria and 13 other countries.

  • Insurers have imposed additional war risk premiums on ships calling at Israeli ports, charging as much as $120 per twenty-foot equivalent.

We’re living in a scary time right now. But the key takeaway here is that all this conflict in Europe and the Middle East affects many, MANY more people than we might have initially assumed.

CALIFORNIA
CALI: SAY GOODBYE TO CANDY CANES

Food Dive

The California Food Safety Act will end the usage of a bunch of chemicals (brominated vegetable oil, potassium bromate, propylparaben and Red Dye No. 3 *falls asleep*) which have been used to make your favourite sweeties and have also, not shockingly, been linked to nervous system damage and an increased cancer risk. The law will go into effect in January, 2027.

For the people who have NO IDEA what these chemical names mean (like us), here are their common uses:

  • Red Dye No. 3 is used as a colourant in red or pink icings, drinks and candies, especially ones that are flavoured with cinnamon, peppermint, cherry or berry. So, say goodbye to your candy canes and your favourite jelly beans (as you know them).

  • Brominated Vegetable Oil is found as a stabiliser in primarily citrus-flavoured, store brand sodas.

  • Potassium Bromate acts as a leavening agent for mass-produced bread.

  • Propylparaben is the preservative used for tortillas, breads, and pastries.

Looking on the bright side, you’ll still see all these things you’re used to. And while they won’t ever taste the same (😢), they also won’t have the same concerning number of death-inducing chemicals you see on the back of the packaging. We’re taking this as a win.

IT’S NOT ALL DOOM AND GLOOM
SALMON FISHING IN…NEW YORK?

GIPHY

You’ve come this far and we know how tough it is to read bad news all the time. So here’s a little treat!

LocalCoho is one of a handful of American sustainable, indoor salmon farms in the world right now, recirculating water every 30 minutes for around 50,000 silvery coho salmon.

Currently, around 99% of the world’s salmon production takes place in open-net pens. And while this has allowed salmon to become readily available to guys who want to get jacked at the gym, it has meant that these farms have resorted to overcrowding to consistently maintain supply. This then leads to salmon swimming in their own 💩, diseases being spread, and pests being rampant. And up until recently, the solution was to pump pesticides and antibiotics into our aquatic silvery friends. As you can imagine…not very pleasant.

But salmon farms, like LocalCoho, create a super controlled environment with fresh water being filtered constantly. And VCs are beginning to take notice. Another farm, Atlantic Sapphire, America’s largest land-based salmon farm, has raised $120 million this year alone. Who knows, maybe fishing in NYC might be a thing after all?

BEFORE YOU GO…

  • Costco picks one its previous forklift drivers to succeed as CEO.

  • Chinese-owned pork producer, Smithfields Foods, prepares for an IPO.

  • Tyson Foods partners with insect protein company, Protix, to produce insect-based products (e.g. cricket snacks).

  • General Mills and Walmart team up to fund smaller businesses and provide farmers with educational resources and technological resources to improve American water and soil quality.

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