Fonterra invests in biotech food company

Fonterra has taken a minority stake in US-based food ingredients company Motif Ingredients to help it become part of the emerging next-generation fermentation-produced nutrition sector.

Motif Ingredients develops and commercialises bio-engineered animal and food ingredients, and the co-operative’s stake in the company forms part of its commitment to understand and meet the changing preferences of consumers.

“Farmers expect their co-op to get the most value from every drop of their milk and also keep an eye on tomorrow to futureproof their co-op for generations to come,” said Judith Swales, Head of Fonterra’s Global Consumer and Foodservice business.

While the co-operative will continue to focus on dairy nutrition, Swales said it will help it capture value from new types of nutrition that will become more popular.

“The complementary nutrition category — where plant, insect, algae and fermentation-produced nutrition co-exist alongside animal proteins, including cows’ milk — is fast evolving. It’s not a case of either/or, but both.

“If we fast forward 30 years, there’ll be two billion more mouths to feed and there simply won’t be enough food to go around just using today’s methods. A combination of traditional and complementary nutrition sources will be required to meet the world’s increasing need for food, especially protein.

“Consumers around the world will continue to want natural, grass-fed dairy as a premium source of nutrition. At the same time, we recognise that no two consumers are the same. As diets and preferences continue to evolve, we want to be there, providing people with choices,” Swales said.

Established by organism company Ginkgo Bioworks, Motif’s team of biotech experts will harness state-of-the-art genetic science and fermentation technology to re-create and sell animal proteins and food ingredients, including those similar to dairy ingredients.

Jonathan McIntyre, Motif Ingredients’ CEO, said: “Through biotechnology and fermentation, Motif will propel the next food revolution with affordable, sustainable and accessible ingredients that meet the standards of chefs, food developers and visionary brands.”

Other companies that have invested in Motif include Ginkgo Bioworks, Breakthrough Energy Ventures, Louis Dreyfus Companies and Viking Global Investors.

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