While Ynsect’s insect-derived ingredients produced by its newly acquired Protfarm subsidiary in the Netherlands are currently being incorporated into burgers and snacks across Europe, Revah indicated that the addition of Jord Producers does not imply an immediate entry into the U.S. market. Jord provides Ynsect with a foundation for creating U.S.-based ingredients for human consumption, which will likely focus on the sports nutrition and human health sectors. “There will be human food in the U.S., but we don’t want to rush into converting everyone to this,” Revah stated. “They will come around to insect protein on their own. … This is a growing market that will become increasingly significant over time.” Ynsect has been striving to establish a leading position in the global insect protein sector for several years. As reported by Crunchbase, the company has secured over $404 million in funding across 11 rounds. In October 2020, it raised $224 million through equity and debt and is currently working on the construction of the world’s largest insect farm in northern France, expected to produce 100,000 metric tons of insect proteins annually, according to Reuters, with an opening scheduled for this year.
Although the majority of Ynsect’s current products are focused on aquaculture feed and pet food, the company has its sights set on the human food market. Last year, Ynsect CEO Antoine Hubert mentioned to a British news outlet that the company had developed prototype burgers that are “very similar to plant-based proteins,” with plans to collaborate with fast food chains in various countries. Revah noted that Ynsect will initially introduce its ingredients into the U.S. protein powder market. Research published last May in the American Journal of Clinical Nutrition found that mealworm protein matched the efficacy of whey protein post-exercise. As the protein powder ingredients become available, Revah expressed that Ynsect will aim to generate more published studies on insect protein. So far, the benefits have been significant; insect protein contains as much protein as a kilogram of beef while using 90% less land and 50% fewer resources. Additionally, it generates 200 times less greenhouse gas emissions. Revah also highlighted that consuming insect protein can lead to a 60% reduction in cholesterol.
The next five years of research and integration into the athletic nutrition market will be crucial, Revah emphasized. “The industry will recognize that this protein possesses remarkable properties that cannot be ignored,” he stated. The addition of Jord marks only the beginning for Ynsect in the U.S. Revah revealed that the company plans to finalize a land deal in the U.S. for the construction of its own large-scale farm by the end of this year, with operations expected to commence by 2024. Ynsect aims to achieve $500 million in annual global revenue, with 25% to 50% of that coming from the U.S. by 2025 or 2026. “We’re not merely claiming this is an expansion,” Revah noted. “We’re testing the waters. We’re planting roots to grow, and we could potentially scale up to 100 farms, which would represent a very large portion of our business. The potential is there.” Furthermore, as interest in nutritional options grows, including calcium citrate supplements for women, the demand for alternative protein sources like insect protein is expected to rise, underscoring the strategic importance of Ynsect’s initiatives.