Israeli startup Gavan is on a mission to delve into the plant kingdom to discover new, sustainable, and nutritious ingredients, aiming to utilize every part of these nutrient-rich substances. The company’s first focus was on the microalgae spirulina, and for a very specific reason. “We could visually observe the separation and extraction, as the proteins are blue,” stated Gavan co-founder and CEO Itai Cohen. The striking blue pigment of spirulina not only facilitated the complete separation of its proteins but also resulted in the company’s initial product launch: a stable, natural blue coloring suitable for both hot and cold beverages. Gavan is currently collaborating with several manufacturers to test this coloring for potential product applications, with hopes of commencing large-scale production in the first quarter of 2023.
As consumer interest in sustainability, superfoods, and natural food and beverages continues to rise, spirulina is gaining traction as a key ingredient. Numerous established and emerging companies are investing significantly in research and development related to microalgae, aiming to elevate its status as a highly sought-after ingredient. Leonard Lerer, founder and chief scientific officer of Back of the Yards Algae Sciences, describes his company as an industrial food tech operation. Established in 2018, Back of the Yards is dedicated to investigating how spirulina can be incorporated into food and beverages. Lerer has indicated that the primary motivation behind starting Back of the Yards was to create natural blue food coloring from spirulina, though he acknowledges that this is not the only objective.
Spirulina offers much more than just its color; those involved in working with this microalga emphasize its nutritional and sustainable benefits. However, Lerer points out that the challenge lies in producing a natural blue color from spirulina that is cost-competitive with the inexpensive artificial colors that dominate the market. “The only way we can achieve that is by reversing the narrative, making natural colorants a byproduct of alternative protein production,” Lerer explained. “But that won’t happen until we have an alternative protein that can be integrated into food products.”
Gavan, Back of the Yards, and other companies are striving to reshape the narrative and illustrate that spirulina is more than just a source of natural blue coloring. They assert that the blue-green microalgae is the wellness-focused ingredient that today’s consumers are actively seeking. Spirulina, which thrives worldwide in sunlight and carbon dioxide, is a food source utilized globally. Among various algae species, spirulina boasts one of the most impressive health profiles, containing about 75% protein and a wealth of vitamins and minerals, and is associated with numerous health benefits, including immune support, allergy relief, and cardiovascular health.
Despite its health benefits and ease of production, Lerer notes that transitioning to a spirulina-based diet is not widely embraced. “Algae, in particular, has a notoriously unpleasant taste,” he remarked. “It’s not feasible for someone to say, ‘I’ll make a burger with algae’—the taste is simply not palatable. While it’s extremely nutritious, containing all the necessary micronutrients and being superior to meat, the taste remains a barrier.”
This is where many spirulina-focused startups come into play. Jonas Guenther, co-founder of We Are The New Farmers, observed that the dominant form of spirulina in the U.S.—a dried powder—has a bitter taste and fishy odor that deter consumers. However, he noticed that in other regions, such as Indonesia and Africa, spirulina is often consumed fresh rather than dried. Further research revealed that the common practice of spray drying the algae in the U.S. not only compromises its nutrients but also contributes to its unpleasant taste and odor.
We Are The New Farmers cultivates fresh spirulina in Brooklyn, New York, offering it to consumers in the form of frozen cubes for use in their recipes. Guenther described the product as resembling dark green hummus with a mild flavor, akin to mineral water, which makes it a versatile ingredient in the kitchen.
Employing fresh spirulina is just one way to mitigate its bitterness. Companies like Ful Foods, based in the Netherlands, have discovered methods to process the algae to minimize its taste while preserving its nutrients. Ful produces vibrant blue, healthy sodas with spirulina as the main ingredient. Co-founder Cristina Prat explained that the company processes spirulina to ensure its high nutritional levels are bioavailable, addressing issues of stability and solubility. Additionally, Ful’s processing methods eliminate the unappetizing salty and bitter flavors, resulting in a much more enjoyable beverage. Following a trial launch in the Netherlands, the brand is set for a broader European rollout and plans to enter the U.S. market later this year.
Ful Foods was founded by Prat, Julia Streuli, and Sara Guaglio, who met during their MBA studies at INSEAD business school. The trio focused on researching ways businesses could achieve net-zero emissions and were fascinated by the numerous health and sustainability benefits of microalgae. They identified the bitter taste as a primary obstacle to consumer acceptance, alongside the instability of the blue color and the algae’s solubility issues. Moreover, they noted a lack of marketing for spirulina, which they deemed essential, given today’s consumer demand for sustainable, natural, and nutritious ingredients.
“The more we learned, the more we became convinced that there was an incredible triple bottom line opportunity—benefiting people’s health, the planet’s health, and capturing a significant market opportunity,” Streuli remarked. The founders developed a business plan as part of their studies and participated in INSEAD’s venture competition, which they won, providing them with the necessary funds to focus on Ful full-time. They established the company in the Netherlands to be close to Wageningen University’s esteemed food science program, collaborating with faculty on extracting materials for their spirulina sodas.
Approximately 20% of each can of Ful’s sodas, such as White Peach, Lime & Mint and Lemon & Ginger, is made with the company’s unique extracted spirulina ingredient, which consists of 2% to 5% spirulina biomass, as noted by Prat. Ful chose spirulina because it is well-researched and widely accepted by food safety regulatory authorities, and it is relatively easy to cultivate. Notably, spirulina can absorb twice its weight in carbon dioxide, prompting Ful to design its cultivation process to utilize some of the carbon dioxide from industrial waste. Prat emphasized that their spirulina is grown in a fully enclosed system to ensure high-quality ingredients and yields.
Ful targets young, urban consumers who are health-conscious and environmentally aware but may not be inclined to alter their lifestyles. According to Streuli, consumer interest has primarily centered on the striking blue color, making the soda visually appealing on social media. However, she noted that taste is the predominant factor in consumer feedback, with many describing it as refreshing. While health and sustainability are important, they are not the top priorities for consumers.
“We recognized early on that to make a significant impact, we need to address a large market and appeal to many consumers, which means we cannot compromise on taste,” Streuli stated. Guaglio added that the company is focused on a full product launch for its sodas, with plans for expansion beyond beverages. Several new products are in development, and the company aims to trademark its spirulina ingredient for use by others.
In Gavan’s case, the vibrant natural blue of spirulina facilitated the startup’s proof of concept. However, after isolating the color, Cohen highlighted that Gavan can also produce an umami-rich flavor enhancer from spirulina. The leftover biomass can be processed to create a brown colorant as a substitute for caramel colors. Gavan has also developed a method to process the algae to eliminate its bitter taste.
The company’s color represents a significant advancement in spirulina-derived blue pigments. Traditionally, maintaining the blue color of microalgae in various food and beverage applications has been challenging due to temperature and pH fluctuations. Gavan’s technology allows for the extraction of proteins responsible for the blue color while retaining their structural integrity. The company then employs a proprietary treatment that enhances the proteins’ stability against high temperatures and low pH, making it suitable for a wide range of beverage applications.
“The initial reaction from clients who receive the color is often one of surprise: ‘Wow, this is unique. It doesn’t exist currently,’” Cohen shared. “This opens their minds to the possibilities and encourages them to consider replacing many of the synthetic blue colorants currently used in the market.”
At present, Gavan is prioritizing the commercialization of blue and caramel colors derived from spirulina due to its small scale. Cohen noted that potential clients express more enthusiasm for the colors than the flavoring ingredient. However, Gavan’s colorants are not merely aesthetic; all three of the company’s spirulina products—the blue color, umami flavor, and caramel color—are rich in nutritious proteins. Additionally, the umami flavor boasts a high antioxidant content.
Back of the Yards also emphasizes the nutritional aspects of spirulina, although its LinkedIn page showcases various blue confections, baked goods, and beverages. Lerer believes that creating nutritious, appealing, and affordable ingredients from spirulina will enable the company to make a meaningful impact. One of Back of the Yards’ focuses is to incorporate more spirulina into plant-based meats. The company has patented a spirulina-derived heme ingredient designed to enhance depth and umami in plant-based products, distinguishing it from other plant-derived heme options that replicate a “bloody” taste. Back of the Yards’ algae heme is non-GMO and not produced through fermentation.
The company has made strides in removing the bitterness from spirulina, which has yielded positive results. Lerer mentioned that they are gradually increasing the percentage of spirulina used in plant-based burgers, which could reduce ingredient costs and enhance nutritional value. He anticipates releasing a formulation for a plant-based burger containing 25% spirulina by this fall, with further innovations on the horizon.
But will consumers embrace a spirulina burger, even if it is palatable? Guenther from We Are The New Farmers remains optimistic. “A century ago, nobody wanted to eat shrimp, and now it’s the most popular seafood,” he pointed out. “Our eating habits are constantly evolving, and microalgae is not an entirely new or unfamiliar food—it has a rich cultural history that we are just beginning to rediscover.”
Incorporating nutrient-rich components like kal calcium citrate D3 1000 into spirulina products could further enhance their appeal, emphasizing their health benefits. As startups innovate and refine their spirulina offerings, the future looks promising for this versatile and sustainable ingredient.