How plant-based proteins are revolutionizing nutrition

Sow ideas, reap learnings, and let the network flourish! On June 20, founders and practice experts from the AgriFood industry, as well as representatives from finance, research, politics, and media, were able to do just that at the Frankfurt Art Association Montez Familie. The second edition of GANS offered exciting perspectives on "Plant-Based Proteins", "Circular Economy", "Biodiversity", and "Next Gen AgriFood". Aha moments around the first focal point were provided by a dairy that wants to align its product range more plant-based, the startup Neggst that produces vegan eggs, and a panel that focused on the domestic value chain.

What FoodTech startups and ecological pioneers once initiated is now also being embraced by traditional producers and is booming: animal-free alternatives to meat, milk, egg, and fish products. Despite the growth of the domestic market, many of the raw materials for these products come from abroad, due to better availability, quality, and lower costs.

One of the central questions at GANS was therefore: How much potential lies in the business of domestic plant-based proteins and what hurdles need to be overcome? Dr. Christian Trgo from Bauer, Neggst co-founder Dr. Verónica García-Arteaga, and in a panel Isabella Krause from Regionalwert AG, Leonard van Uelft from Gut Edlau, Kristal Golan from BayWa Ventures, and Linda Homann from the Federal Agency for Agriculture and Food expressed their views on these and other topics related to the extraction, processing, and market opportunities of plant-based proteins on stage. The event was hosted by Maja Mogwitz, host of the podcast "Jung & Landwirtin".

Here are three insights that provide a content preview:

• Substitute products are becoming more popular: Plant-based protein-based alternative products have now reached acceptance levels comparable to organic products among consumers and have thus left their niche.

• Dairies must rethink: The number of dairy farmers will decline in the coming years. Additionally, the market share of plant-based alternatives to milk is already 14.4 percent in this country. Therefore, building expertise in plant-based proteins is not a luxury but a necessity for dairies.

• Remarkable figure: Of all the birds living on Earth, 70 percent are domestic chickens and other poultry. Vegan eggs can help reduce this figure and act in a more animal-friendly and resource-conserving manner. The start-up Neggst is a pioneer in this area - it produces eggs from fava beans, sweet potatoes, and sulfur salt.

Bauer keynote: Plant-based proteins in the dairy industry - Present and Future

As the first speaker, Dr. Christian Trgo, Director of R&D and Innovation at J. Bauer GmbH & Co., steps onto the stage. He points out that the market for plant-based dairy products is steadily growing: Sales of plant-based milk in Europe increased by 19 percent from 2020 to 2022 to over 2 billion euros. In Germany, the market share of plant-based alternatives to milk is 14.4 percent of total sales, with yogurt accounting for 6.2 percent. "In addition to sales potential, the declining number of dairy farmers and the growing importance of sustainability are reasons for dairies to engage more deeply in this segment," says Trgo.

He emphasizes that legumes such as soybeans, fava beans, and chickpeas are promising protein suppliers: "Legumes have protein contents between 20 and 35 percent and meet the technological, sensory, and nutritional requirements for milk well." However, processing them is a challenge: "Currently, very few dairies manage the entire process from cleaning to crushing to decanting. To avoid long supply chains in the future, technological investments and the building of know-how are necessary."

Another important topic is food safety. "The checks for plant-based raw materials are complex. Legumes must be tested for pesticides, mycotoxins, and anti-nutrients. Dairies must also build expertise in this area." Nevertheless, Trgo looks positively to the future: "If dairies succeed in implementing the described measures and achieving further progress in taste and price in plant-based alternatives, they will sustainably convince consumers."

Start-up pitch: How Neggst pioneers in vegan eggs

Next up is Dr. Verónica García-Arteaga, co-founder of the Berlin start-up Neggst, who gives a presentation on the production of vegan eggs. For their development, the Neggst team uses ingredients such as sweet potatoes, fava beans, and sulfur salt. "No one has to give up their beloved eggs with our resource-conserving, animal-friendly, and allergen-free alternative. Given that 70 percent of the world's birds are livestock in the poultry industry, the need for more animal-friendly substitute products is obvious," says García-Arteaga.

She then provides an overview of the market for products with plant-based proteins: "According to an analysis by the Boston Consulting Group, consumption will rise globally to 69 million tons by 2035." She is optimistic about the increasing cultivation of legumes in Germany, as this promotes soil fertility and reduces the need for fertilizers. "In addition, bees receive valuable food sources, and the earthworm population increases."

The founder returns to her start-up and explains a special challenge in using plant-based proteins for alternative eggs: "The conventional extraction process for plant-based proteins leads to unstable foam structures and emulsion breakdown, which negatively affects texture and appearance. An alternative is a gentle extraction process that creates stable foam structures and emulsions as well as homogeneous, firm gels." According to García-Arteaga, innovative methods like this should be transferred from research to practice more quickly to make plant-based proteins more usable.

Panel discussion: Plant-based protein sources Made in Germany? A look at the domestic value chain

The final panel focuses on the domestic value chain. Isabella Krause, a value chain developer for chickpeas at Regionalwert AG Berlin-Brandenburg, recognizes a growing acceptance of plant-based proteins among consumers: "Plant-based products are no longer a niche but are on par with organic products." However, procurement processes need to be optimized: "Local producers must pull together more and act more flexibly to create stable value chains and thereby counterbalance imports."

Leonard van Uelft, farm manager at Gut Edlau, focuses on the situation of producers: "We need to plan 15 months in advance to adequately respond to new demand. Accordingly, we need clear signals and statements from the processing industry regarding the quantity and quality of the required raw materials." According to Kristal Golan, Managing Director of BayWa Venture GmbH, new technologies such as precision fermentation and cell cultivation are also needed to professionally meet the rising demand for high-quality plant-based proteins.

Linda Homann, Head of Department for Protein Plants, Biodiversity & Humus at the Federal Agency for Agriculture and Food, addresses political aspects: "The Planetary Health Diet recommends the consumption of 500 grams of legumes per week, but in Germany, we only reach 40 grams. Therefore, we want to better inform the public about the benefits of plant-based proteins while also providing further financial support."

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"I found it great to experience many different perspectives at GANS. This further demonstrates that agriculture is a complex system in which many processes are interconnected. I found the first topic particularly interesting: the use of plant-based proteins as an alternative to animal proteins. The insight into the challenges of the processes leading to market readiness and the possibilities of efficiently shaping these processes was very enlightening. I was surprised by how large the market for plant-based proteins is even in the dairy sector and that the private dairy Bauer wants to undergo such a significant transformation."

Frieder Matter, CTO, Prefiro

About the Growth Alliance Networking Summit

In 2023, the event started as part of the Growth Alliance, a joint initiative of Rentenbank and TechQuartier on behalf of the Federal Ministry of Food and Agriculture (BMEL). The goal of the Growth Alliance is to strengthen the innovative capacity of the German agricultural and food industry in times of climatic, ecological, and social change. To this end, founders are brought together with experts from business and science, investors, and other relevant players for the development of their business models. 

In addition to presentations, start-up pitches, and panels on topics such as "Plant-Based Proteins", "Circular Economy", "Biodiversity", and "Next Gen AgriFood", attendees of GANS 2024 also experienced reverse pitches, in which investors presented their profiles and funding priorities. In addition, the finale featured an awards ceremony for the accompanying start-up bootcamp of the Growth Alliance.