Tyson's Groundbreaking Move: Unveiling its Investment in Insect Protein for a Sustainable Future

Tyson, a prominent American meat producer, is placing a bet on insect-sourced protein. In a recent announcement, the company revealed that it has made an investment in Protix, a Dutch insect ingredients manufacturer. Alongside this, Tyson is partnering with Protix to establish a factory in the United States. This facility will utilize animal waste to nourish black soldier flies, which will subsequently be transformed into pet food, poultry feed, and fish feed. The exact financial details of the agreement have not been disclosed by Tyson.

At this point, the flies are not entering human food. John R. Tyson, the chief financial officer of Tyson Foods, stated that they are currently more focused on using insect protein as an ingredient rather than targeting consumers directly.

Kees Aarts, CEO of Dutch insect farming company Protix, pours oil made from black soldier fly larvae at the company's facility in the Netherlands.

Aleks Furtula/AP

Insect protein, once praised as a viable and eco-friendly food option, has yet to become widely popular. However, there has been a noticeable increase in the interest surrounding insects as potential ingredients for animal feed.

According to a report by Rabobank in 2021, the demand for insect protein, particularly for use in animal feed and pet food, is expected to reach half a million metric tons by 2030. This significant increase is projected from the current market size of approximately 10,000 metric tons. Notably, in the same year, Mars introduced a new line of cat food named LoveBug, which is made entirely from insects.

The Tyson company, headquartered in Springdale, Arkansas, does not produce pet food. However, it does sell its animal byproducts to the pet food and aquaculture industries, which utilize them to feed fish, according to the CFO. If not utilized or minimized, byproducts such as animal fats, hides, and inedible proteins can end up in landfills. In this particular case, Tyson has the option to send the contents of cattle stomachs, which it has processed, to a Protix facility. There, these contents are used as feed for insects. By expanding the market for this type of waste, the company can effectively reduce waste and generate additional revenue.

A business opportunity

Tyson explained that a key aspect of the animal protein industry involves finding ways to extract value from waste. Regarding the partnership with Protix, he viewed it as a natural expansion of their current business. He also noted that the insect ingredient market displayed highly appealing growth prospects, which would greatly enhance Tyson's trajectory.

Just like human food, the production of pet food is taxing on the environment.

Sergey Basin/zinkevych/Adobe Stock

Pets contribute to the climate issue. These suggestions can assist you in reducing their carbon pawprints.

According to Christine Johanna Picard, a biology professor at the Indiana University-Purdue University Indianapolis School of Science, the demand for insect-based ingredients is expanding rapidly. Picard, along with Tyson and Protix, has been instrumental in establishing the partnership called the Center for Environmental Sustainability through Insect Farming, which combines academia and industry.

"There is a growing influx of startups entering the industry due to the high demand for insect protein," she mentioned.

According to Kees Aarts, the CEO of the company, collaborating with Tyson will assist Protix in expanding its operations. "Such partnerships are crucial in propelling solutions like ours onto the global platform," he emphasized.

Why bugs are better for the planet

The meat industry imposes a significant strain on the planet, primarily due to the resources used for cultivating crops needed for animal feed. There is a consensus among experts that minimizing the environmental impact of animal feed can contribute to establishing a more sustainable system.

Making food out of insects is one way to do that: Bugs take up less space and subsist on waste that would otherwise be discarded.

Black soldier fly larvae.

Kaan Mika/iStockphoto/Getty Images

The black soldier fly is capable of thriving on a wide variety of food waste and byproducts, according to Aarts. This characteristic makes insects a valuable resource in alleviating the environmental impact caused by livestock and other animals, as stated by Reza Ovissipour, an assistant professor in sustainable food systems at the Department of Food Science and Technology at Texas A&M University.

The flies consume waste from various animals and transform it into a specific product, specifically the protein or fat from the insects. This specific protein and fat can then be used to easily formulate animal diets.

By consuming animal waste, insects act as cost-effective "mini bioreactors." Their energy requirements are low, making it a highly sustainable process.