Fermentation Leads Investments In Plant-Based Sector In 2024

Investment in fermented alternative protein development is leading the plant-based sector in 2024, according to data from the Good Food Institute. Fermentation start-ups raised $174 million in the third quarter, surpassing investments in plant-based and cultivated meat products. Notable deals include German company Formo securing $61 million for fungus-based fermented cheese and New York-based Helaina receiving $45 million for bioactive protein supplements.

Overall, fermentation technologies have attracted $572 million in investments so far in 2024, up from $443 million in 2023. The sector is experiencing rapid growth, with a 16 percent increase in the number of fermentation companies globally in 2023. Despite a 37 percent drop in alternative protein investments in Q3, year-on-year growth remains positive at 25 percent. More investment is needed to accelerate the transition to a sustainable food system and address environmental and public health impacts of food production.