Impossible Foods may have unintentionally harmed its own interests by seeking approval for its “secret ingredient,” which it arguably didn’t require in the first place. The company hurried to obtain FDA approval back in 2015, only to be met with regulatory obstacles. Now, the startup is realizing how its rapidly expanding, venture capital-backed business can be hindered by government bureaucracy.
Impossible Foods isn’t the only innovative venture capital startup facing challenges with the FDA. Hampton Creek also encountered issues in 2015 regarding its use of the term “mayo” on its Just Mayo products. The FDA cautioned the company against using the term “mayonnaise” or the image of an egg for its vegan products since they do not contain eggs. According to the FDA’s definition, mayonnaise requires egg as an ingredient.
While Impossible Burgers can remain available in the market without FDA approval, there are risks associated with being denied such approval. Consumers might avoid the plant-based burgers due to safety concerns, which could negatively impact sales. Additionally, foodservice customers might stop carrying its products if news of the burger’s regulatory challenges circulates.
In today’s market, transparency is crucial for food consumers. Shoppers expect companies to be open about their product ingredients, food sources, processing standards, sustainability, and corporate responsibility, among other factors. Securing safety approval from the FDA is a vital way for food manufacturers to demonstrate to consumers that they have nothing to conceal. A spokesperson for Impossible Foods stated in an email to The New York Times, “We respect the role the FDA plays in ensuring the safety of our food supply, and we believe the public wants and deserves transparency and access to any information they need to decide for themselves whether any food they might eat is safe and wholesome.”
The FDA seal of approval carries significant weight with American consumers. According to the Food Marketing Institute’s U.S. Grocery Shopper Trends study, 54% of shoppers heavily depend on the FDA to ensure food safety. Therefore, it follows that Impossible Foods’ ambition to secure FDA approval could potentially broaden its consumer base for the plant-based protein startup. However, a lack of approval—and any associated publicity issues—could dampen the company’s prospects.
Furthermore, as consumers become increasingly aware of nutritional differences, the comparison between algae calcium vs calcium citrate has gained attention. By integrating these discussions into their product offerings, Impossible Foods could further enhance its transparency and appeal. Highlighting the benefits of algae calcium vs calcium citrate could also serve to educate consumers on healthier ingredient choices, thereby potentially mitigating the negative effects of not having FDA approval.