Revolutionizing Fats Production: Abydos Bioscience’s Innovative Approach

Global supply chains for fats and oils are facing increasing pressure from price volatility, sustainability issues, and heightened scrutiny on deforestation, biodiversity loss, and labor practices. For the food industry, what was once a stable and affordable input is now becoming a strategic challenge.

Amid this turmoil, Abydos Bioscience, a startup based in Buenos Aires, Argentina, is forging a unique path in the quest for sustainable fats through fermentation. Unlike traditional methods that rely on yeast or microalgae, Abydos is harnessing the power of oleaginous bacteria—microorganisms that promise higher productivity and versatility with various feedstocks.

In an exclusive interview with AgFunderNews, co-founder Karina Amado (KA) discussed Abydos’s mission to replace cocoa butter, the refinement of their bacterial strains, and the strategic advantages provided by Argentina’s biodiesel and agricultural processing sectors.

Identifying the Core Problem

AFN: What problem are you solving?

KA: Our goal is to enhance the sustainability, resilience, and efficiency of supply chains. Price volatility has become a major concern for consumer packaged goods (CPG) companies, while issues of sustainability, child labor, deforestation, and biodiversity loss also weigh heavily on their minds. At the forefront, we aim to address the unpredictability of prices, which have become the new norm.

Abydos’s Unique Advantage

AFN: With several startups entering the fats fermentation space, what sets Abydos apart?

KA: We are pioneering the use of oleaginous bacteria as a microorganism in fat production. Bacteria are inherently more efficient than yeast or microalgae in lipid production, allowing us to yield more oil in a shorter time frame.

The Science Behind the Innovation

AFN: If bacteria are more efficient at producing lipids, why isn’t everyone using them?

KA: Our Chief Scientific Officer, Dr. Héctor Alvarez, discovered the lipid-accumulating capabilities of certain bacteria during his doctoral research in Germany. Initially focused on bioplastics, he shifted his study to these bacteria, which can accumulate up to 70-80% lipids. After 30 years of research on this microbe in Argentina, our team is extremely familiar with its characteristics, which gives us a significant advantage.

Optimizing the Production Process

AFN: Are you genetically engineering the strains to enhance their capabilities?

KA: While we have a collection of over 50 oleaginous strains and possess the capability for genetic engineering, we’re currently using non-genetically modified strains. Our optimization focuses on fine-tuning the balance of nitrogen and oxygen for maximum oil production efficiency.

Tailoring Fatty Acid Profiles

AFN: How do you customize the fatty acid profile of the lipids produced?

KA: Our science team meticulously matches specific strains of bacteria with suitable feedstocks to produce oils with desired fatty acid compositions. We initially targeted palm oil but after realizing its low commodity status, we pivoted towards cocoa butter, which allows us to leverage our strains that naturally generate higher saturated fat levels.

Progress Towards Commercialization

AFN: How close is your first product to cocoa butter?

KA: Currently, we are conducting functionality tests. Our preliminary findings indicate that the fatty acid composition and functional properties of our product are remarkably similar to natural cocoa butter, including melting points and crystallization behavior. We’re collaborating with a leading CPG company in Latin America to validate its usability in various applications.

Market Receptivity and Future Prospects

AFN: Are there challenges for customers regarding labeling your product as ‘cocoa butter’?

KA: Market regulations vary, and strict standards around chocolate can complicate labeling. However, with the rising volatility in cocoa prices, many companies are actively seeking alternatives. We’re witnessing a trend where some brands, such as Pladis, are moving away from using traditional cocoa products due to pricing pressures.

Expanding Market Applications

AFN: What other markets are you exploring?

KA: While the majority of cocoa butter goes toward the food industry, we’re also interested in cosmetics. Our upcoming product is directed at the personal care sector, and we are exploring the creation of milk fats similar to those found in breast milk.

Business Model and Scalability

AFN: What’s your business strategy?

KA: For cocoa butter, we plan to sell directly to customers and offer custom oils for selected CPGs. Licensing agreements will be established for those collaborations.

Manufacturing Plans and Input Sources

AFN: What is your approach for manufacturing and scaling?

KA: We are planning to partner with a contract manufacturing organization (CMO) or contract development and manufacturing organization (CDMO) for scaling. We are still evaluating whether to optimize processes together or simply hand over our recipe for production.

AFN: What feedstocks are you working with?

KA: Our bacteria can metabolize a wide variety of feedstocks, translating into lower costs and improved economics. In Argentina, we have access to glycerol—a biodiesel byproduct—as well as whey from dairy production and various sugar-containing residues.

Funding and Future Vision

AFN: How have you funded your venture thus far?

KA: We launched in April 2025, securing initial funding from Big Idea Ventures. Following our demo day in Paris, we opened a $750,000 pre-seed round. Fundraising is ongoing, and while investor expectations can be stringent, our team’s extensive experience provides a solid foundation for future success.

Regulatory Hurdles

AFN: Given the challenges of using bacteria, will there be regulatory obstacles?

KA: The use of bacteria may present regulatory challenges as they are less understood than yeast. However, we are working diligently to navigate these hurdles.

Immediate Focus

AFN: What are your immediate priorities?

KA: Our first priority is to file a patent in the U.S. after which we will seek GRAS (Generally Recognized As Safe) approval from the FDA for our cocoa butter equivalent. We will also be looking for partnerships to scale our production and begin sales.

Further Reading:

• California Cultured breaks new ground with patent on cocoa butter via plant cell culture
• Savor unveils first-of-its-kind ‘butter’ made without cows, plants, or microbes
• Clean Food Group acquires 1M-liter fermentation facility to fast-track yeast oil production
• Checkerspot teams up with Huvepharma to produce human milk fat analog at scale
• Fats from fermentation startup Nourish Ingredients establishes global commercial hub in Leiden
• Terra Oleo emerges from stealth with fermentation platform to make high-value fats with microbes