Food-Tech is a new and innovative niche focused on enhancing the food industry’s complete value chain in a long-term way. Foodtech has taken the conventional food and beverage sector by storm. The industry has been disrupted in numerous ways as a result of the convergence of food and technology. This has caused a number of firms to reassess many of their core assumptions about the market, customers, and manufacturing processes.
So what’s going on in the world of foodtech?
Four Foodtech trends driving the industry
Food technology developments are indicating a shift toward more sustainable and tailored food options. Alternative protein sources, regional cuisines, nutraceuticals, and tailored nutrition are just a few recent developments. FoodTech firms and brands are incorporating waste reduction methods and zero-waste processes due to environmental concerns. In addition, the COVID-19 epidemic has had a significant influence on the deployment of Industry 4.0 technology across the food value chain.
eCommerce, robotics, and digital food-management systems are helping food companies digitize their production floors. Robots are also being used in restaurants for hospitality and cuisine, as well as to promote eCommerce. These trends are being used by the food sector to combat the ongoing impact of COVID-19, resulting in more efficient, transparent, and long-term operations.
eCommerce: eCommerce has been a hot topic in the food and beverage business. However, the COVID-19 crisis drove food supply chain improvements even further. Food retailers use digital platforms to provide on-demand online courier services and direct-to-customer (D2C) distribution strategies to reach customers.
Furthermore, during the epidemic, safety concerns are encouraging the emergence of virtual kitchens that solely provide food takeout and delivery. Brands are focusing on omnichannel distribution in addition to D2C to increase customer experience and sales. Additionally, food and beverage eCommerce enable food manufacturers to better contact their customers and guarantee availability.
Personalized Nutrition: Consumers’ growing understanding of nutrition is generating demand for individualized nutrition solutions. These include not just nutrigenomics-based diets, but also individual preferences such as sugar- and gluten-free diets, vegan diets, and food with clean labels. Food makers may now deliver nutrition personalization at scale because of advances in 3D printing and the use of robots in food assembly lines.
Consumers may also use at-home blood and urine testing kits to identify which dietary habits best complement their genetic makeup. In addition, a variety of tracking gadgets allow users to keep track of their food and health issues in order to improve their diet. Food companies can better influence their consumers’ nutritional choices through the use of data and insights these new pieces of technology provide.
Digital Food Management: Digital food management from the farm to the fork is facilitated by big data analytics and AI, as well as real-time monitoring. Food management solutions are created by startups to assist food manufacturers in optimizing production processes and supply chain operations.
Employing real-time data capture on food goods and consumers, restaurant digitization improves customer behavior research and demand forecasts. Overall, these technologies assist food producers in better understanding market demands and anticipating interruptions, resulting in lower losses and better management of extra food.
Quantum computing, for example, may assist startups in analyzing key disturbances such as pandemics and effectively simulating market volatility. Additionally, customer and market knowledge enable firms to improve their marketing tactics and target the right audience, resulting in increased sales.
Alternative Proteins: Because of environmental and health impacts, consumers are increasingly turning to alternate protein sources, making this one of the most important foodtech developments. Currently, the principal alternative protein sources include cultured meat, edible insects, plants, and mycoprotein-based meals. They’re nutrient-dense, and unlike cattle protein, they utilize fewer resources from farm to fork.
Alternative sources of protein need just minor dietary changes and health monitoring, lowering total expenditures. Startups can build sustainable alternative protein manufacturing options thanks to advances in 3D printing, fermentation, and molecular biology. This aids food manufacturers in mitigating the ethical problems and environmental impact of the industrial production of meat.
Foodtech startups in Israel changing how we eat
Despite the fact that the food-tech industry is still in its infancy, it’s already providing industrial possibilities in Israel. These potential solutions have been boosted by the pooling of sophisticated food-tech knowledge and experience, as well as the aforementioned government funding targeted specifically at manufacturing-oriented firms.
One startup is a creation of a combination of a well-known heritage food firm, a prestigious research university, and a seasoned CEO, food engineer, and biologist. The startup was first founded in 2017 by a group of food specialists, parents, nature enthusiasts, and scientists. The startup is taking a huge step in tackling world hunger by spearheading the race to be the first company in the world to commercially produce cultured meat.
Another startup was launched in 2004, and it had established considerable manufacturing capacity for high-quality gummies, establishing itself as a leader in the Israeli candy sector within just a few years. Following years of extensive R&D and investment in an avant-garde GMP- and UL-qualified facility, this startup debuted its functional gummy supplement range in 2019. The firm supplies top-tier brands to the nutritional supplement and food markets in more than 20 countries throughout the world.
Our final company was created in 2016, and its technology is dependent on more than 20 years of Hebrew University of Jerusalem research. The Startup’s product establishes a new benchmark for pure protein solutions with a robust nutritional profile, neutral taste, and distinct functional qualities. The protein isolate is a highly concentrated, non-GMO, allergen-free ingredient that may be used to add protein to a wide range of dishes, including dairy substitutes, baked goods, gluten-free foods, and, of course, hummus.
Foodtech developments through investments
The amount of funding in the foodtech industry is rapidly increasing and has reached a tipping point. The demand for foodtech continues to increase as the world’s population grows, and with it, the need to grow, manufacture, and supply food across the globe. New technology is needed in order to keep up with the increasing demand, and foodtech looks to provide those solutions. As development continues, foodtech will undoubtedly play an integral role in feeding the future of humanity, as well as revolutionizing the way we see and interact with food.