The Future of Biomanufacturing: A Game Changer for Petrochemicals and Animal Products?

Can tiny biological production factories really rival petrochemicals and animal-derived products? Are lower-cost feedstocks necessary to unlock the next generation of bioproducts? These are crucial questions driving the conversation in the biomanufacturing sector.

AgFunderNews recently spoke with Henrik Geertz-Hansen (HGH) from 21st Bio at the Future Food-Tech conference in San Francisco. Their discussion centered on achieving cost parity in biomanufacturing, overcoming the challenges startups face, and how 21st Bio assists in navigating the complex landscape of biomanufacturing.

Can Biomanufacturing Compete?

AFN: Can biomanufacturing really compete with petrochemicals or animal products?

HGH: We are getting incredibly close! After a cycle of hype, the industry is maturing, leading to a more realistic approach. We’ve previously underestimated what it takes to deliver affordable, scalable, and desirable bio-manufactured products. Companies are becoming more adept at efficiently deploying capital and forming strategic partnerships, which gives me optimism for the bioeconomy over the next decade.

Precision Fermentation and High-Value Ingredients

AFN: Does precision fermentation currently make sense only for high-value ingredients?

HGH: Yes, we see that pattern today. Currently, the core ingredients are enzymes and pharmaceutical products, but we are beginning to explore bulk ingredients. Exciting advancements are underway, particularly in technologies that allow the production of ovalbumin, BLG, caseins, and alpha-lactalbumin at competitive price points. Within the next couple of years, we expect to unlock prices under $15, potentially even below $10 per kilo, positioning us closer to competing against animal-derived proteins.

Challenges Facing Startups

AFN: What are some of the biggest challenges startups face in crossing the ‘valley of death’?

HGH: Many startups are often constrained to using readily available strains from academic labs or suppliers, which are typically suited for laboratory conditions rather than industrial-scale production. This presents a significant challenge, as these strains often struggle outside of a lab environment, leading to inefficiencies and increased costs. We need to unify our efforts to optimize a smaller number of chassis strains that can thrive at full scale to ensure smoother transitions from lab to full-scale production.

Supporting Startups with Tech Transfer

AFN: How does 21st Bio assist firms in reaching the tech transfer stage?

HGH: We focus on preparing the necessary manufacturing technology, including strain development, fermentation, and downstream processing. Once these stages are complete, we facilitate tech transfer to a contract manufacturing organization of their choice. Our approach is similar to early computer development, where diverse software ran on multiple hardware platforms. We believe a collaborative framework is essential for driving innovation in biomanufacturing.

Synchronizing Upstream and Downstream Processes

AFN: Is there a lack of coordination between teams working on upstream and downstream processes?

HGH: Indeed, development should ideally happen concurrently, as seen in leading biotech firms. We’ve learned that optimizing upstream processes can significantly impact downstream success. A platform-based approach, where we apply the same foundational principles across different products, can mitigate risks and complexities.

Exciting Technologies on the Horizon

AFN: What promising technologies are catching your attention in biomanufacturing?

HGH: Continuous fermentation is a hot topic, alongside AI-driven discoveries that unlock new protein functionalities. While we will initially focus on batch fermentation for reliability, we see great potential in transitioning to continuous processes as we scale. AI will significantly aid in optimizing strain engineering and extracting valuable insights from our data.

The Role of Feedstocks in Future Bioproducts

AFN: Do we need cheaper feedstocks to advance to the next generation of bioproducts?

HGH: For initial products, glucose serves us well, but thinking ahead—especially in terms of localized production—we must adapt our strains to utilize locally available substrates. This adaptation can empower communities to tackle their nutritional and supply challenges autonomously.

CMOs and Equipment Availability

AFN: Do contract manufacturing organizations (CMOs) have the necessary equipment for startups?

HGH: Currently, startups often face challenges in this arena due to fragmented approaches. However, if we can introduce platform technologies that allow for shared downstream processing, equipment compatibility issues may be alleviated over time.

Encouraging Developments in the Industry

AFN: Major sugar producers are investing in precision fermentation facilities; what are your thoughts on these developments?

HGH: These initiatives are very encouraging. Partnerships like these signify a forward-thinking approach to the biomanufacturing landscape, particularly as they allow for the efficient use of raw materials. As capacity increases, we can expedite product availability for consumers.

Further Reading

• Latam sugar giant Magdalena plans 650,000-L precision fermentation facility in Guatemala
• Future Food-Tech: Big ideas, hard truths, and the path to scale
• Biomanufacturing’s valley of death has a new bridge in India, says Symbiotec
• Enduro Genetics aims to deliver its first two projects this year to turbocharge bioproduction: ‘We’re taking some of the ‘bio’ out of biomanufacturing’