Michael Fox is well versed in the life of a start-up. As one of the founders of Shoes of Prey, he has ridden the highs and the lows of being a frontier brand. After its collapse last year, Fox took some time out to reflect and recover.
But it was not long before he started exploring other options, particularly ones that resonated with his personal philosophy and lifestyle. Having become a vegetarian four years ago, the trend of plant-based proteins caught his eye.
According to think take Food Frontier, research is predicting global expenditure on plant-based meats to reach up to US$140 billion by 2029 or 10 percent of the $1.4 trillion global meat market, up from less than one per cent currently.
Food Frontier says that by 2030, based on the moderate growth scenario, Australia’s plant-based meat sector is estimated to contribute almost $3 billion in domestic sales and more than 6000 full-time equivalent jobs. This is backed-up by research released by AgriFutures Australia this week (see below).
Fox was independently researching plant-based meat alternatives with mushrooms when Food Innovation Australia Limited (FIAL) connected him with mushroom farmer Chris McLoghlin and mycologist Jim Fuller, who were doing the same thing.
It was a fortuitous pairing that was facilitated through Mars Food Australia’s inaugural Seeds of Change accelerator program (Food & Drink Business 14/01/2020, 14/08/2019).
Fox told Food & Drink Business they had been surprised with how helpful Mars was and how generous the team was with its time. “Before we started, we had no brand and no sales or distribution systems,” he said.
The trio developed their product, Fable, using shredded shiitake mushroom stems as the base ingredient. Fox says that because they are using what is a by-product of the mushroom production process, they can source vast quantities in a sustainable way while also being nutrient dense and delivering complex flavours through its umami flavour profile.
The team says Fable offers an environmentally sustainable and healthy meat alternative, superior in taste and texture to other vegetable protein products on the market. McLoghlin told Food & Drink Business mushrooms are versatile ingredient that echo the flavour and feel of pulled pork and beef brisket.
The accelerator helped the team fine-tune its packaging and design as well as the product. They are now supplying Marley Spoon, airlines and restaurants all over the world. They have raised $1.5 million and the endorsement from uber chef Heston Blumenthal, who officially launched the product at his Melbourne restaurant, Dinner by Heston, in December.
The start-up secured funding from Grok Ventures, Blackbird Ventures and others.
This week, Fable paired with Continental Deli CBD to showcase the product. There is a focus on collaborating with fine dining, restaurants and cafes to experiment with the produce and showcase the potential of plant-based meat.
“We’re starting to shape what plant-based meat looks like on all ends of the hospitality spectrum,” Fox says.
$19.9 billion opportunity for protein producers
Research released by AgriFutures Australia this week estimates that there will be $20 billion in additional opportunities for protein producers in Australia by 2030, of which $3.1 billion will be in alternative protein categories.
The Changing Landscape of Protein Production report, funded by AgriFutures Australia’s National Rural Issues Program, said that included: $8.9 billion for Australian animal proteins; $7 billion for traditional plant-sourced proteins; and the $3.1 for alternative proteins.
Alternative proteins are classified as plant-sourced and non-traditional proteins including plant-sourced meat, dairy and egg substitutes, cultured or cellular meat, insects and algae.
AgriFutures Australia managing director, John Harvey said the research provided important analysis on the implications for Australian producers and investors.
“We now have the facts about the aggregate opportunities for Australian agriculture in response to an emerging market for alternative proteins up to 2030. This means we can replace speculation with reliable forecasts to underpin policy, regulatory changes and advocacy positions,” he said.
Mr Harvey added that prioritising producing enough protein for the growing global population requires a united front.
“Segregation and competition between traditional and alternative protein producers are not as big a threat as expected.
“Enabling traditional and alternative protein producers to work in collaboration – such as using the by-product of insect farming as feed for chickens, pigs or fish – will provide a mutual sustainability benefit,” Harvey said.
