NewsInsect protein venture teeters on brink as demand falters

Insect protein venture teeters on brink as demand falters

The Enorm Biofactory in Denmark, the largest in Scandinavia, is facing the threat of collapse. This is due to a lack of demand for insect protein and complaints from residents about unpleasant odours. Management is considering restructuring or collaborating with new partners.

A Danish factory processed protein from insects (illustrative photo)
A Danish factory processed protein from insects (illustrative photo)
Images source: © Getty Images | CFOTO
Michał Krawiel

The Enorm Biofactory, situated in Denmark's Midtjylland, is the largest insect protein processing plant in Scandinavia. It was opened at the end of 2023, with a production capacity of 100 tonnes of larvae daily. The products were intended as an eco-friendly alternative to soy in animal feed. The company is grappling with financial problems due to insufficient demand for its products.

As reported by the industry portal, the CEO of Enorm Biofactory, Carsten Lind Pedersen, confirmed in an interview with local media that market caution has hindered the achievement of adequate revenue. Consequently, the company has initiated the restructuring process, although it does not rule out the possibility of continuing operations in a new form or with new partners. Another issue is the residents' complaints about the unpleasant odour, which has attracted the attention of the Danish Environmental Protection Agency.

Despite these challenges, the factory's management remains hopeful for the future. One employee, quoted by local media, expressed regret that a plant intended to symbolise the green transformation of agriculture is now fighting for survival. The factory's future depends on finding new solutions and partners to help overcome these challenges.

Insect larvae powder can be added to food. New law

Yellow mealworm larvae powder will be permitted for use in food sold in the European Union. This new additive can appear in bread, biscuits, cheeses, and other items. This development follows a regulation published by the European Commission.

The European Food Safety Authority (EFSA) has determined that the powder poses no health risk to consumers and meets the conditions for market entry. Product labels containing the new ingredient must inform buyers about the possibility of allergic reactions in individuals allergic to shellfish and house dust mites.

The new regulations came into effect on 10 February 2025. For the first five years, only one company will be authorised to produce this food.

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