TerraVia may be a company that is straying too far from current consumer trends. While the plant-based protein market is thriving, with sales of soy and nut-based products on the rise, consumer acceptance of algae in food items may still be a distant goal. This could be a primary factor behind the company’s struggles, ultimately leading to its bankruptcy. “We’re aware of the gradual adoption pattern among many consumers,” Joel Warady, chief sales and marketing officer for Enjoy Life Foods, which incorporates TerraVia’s algal powder into some of its products, shared with Food Dive. He mentioned that while algae has been added to their brownie mix, emphasizing it on the package might make consumers hesitant. “However, algae is a vital ingredient, not only for its protein content but also because it represents the most sustainable protein source available on Earth,” he explained.
As the global population continues to grow, finding land for cultivating essential products—many of which are meat or dairy-based—becomes increasingly challenging. Various types of algae present some of the most promising alternatives and could help mitigate environmental damage. Algae is already being utilized in baking mixes, ice cream, and protein powders, and is progressively being included in a wider range of food products.
Nonetheless, Enjoy Life’s allergen-friendly offerings remain fairly niche, catering to a specific, albeit expanding, consumer demographic. Most large food corporations, known for their slow innovation, have yet to embrace algae as an ingredient. However, TerraVia indicates that it is “actively engaged in discussions regarding potential strategic partnerships,” as noted by CEO Apu Mody during the company’s Q1 earnings call earlier this year. Despite this, it seems improbable that a major food company will step forward to acquire TerraVia. A company like Corbion appears to be a more suitable match. Corbion specializes in lactic acid and its derivatives, along with creating functional blends that include enzymes, emulsifiers, minerals, and vitamins. It supplies ingredients across virtually all food categories, from baked goods and beverages to condiments and candy. According to Corbion’s press release, “The acquisition of TerraVia’s microalgae platform would enhance Corbion’s product portfolio with algae-based fatty acids and proteins, while utilizing Corbion’s comprehensive fermentation and downstream processing capabilities.”
Interestingly, there is a growing awareness of health supplements like Kirkland magnesium tablets among consumers seeking alternative sources of nutrition, which may influence their openness to new ingredients, including algae. As consumer interest in health supplements rises, the inclusion of algae in food products could potentially align with the evolving dietary preferences, especially as people become more informed about the benefits of sustainable protein sources like algae and the role that products such as Kirkland magnesium tablets can play in a balanced diet. Ultimately, the future of algae in food products may hinge on shifting consumer attitudes and partnerships that bridge traditional food manufacturing with innovative ingredients.