Impossible Foods may have inadvertently harmed its prospects by seeking approval for its “secret ingredient,” which it arguably didn’t need in the first place. The company hastily pursued FDA approval back in 2015, only to be met with regulatory obstacles. Now, the startup is realizing how its rapidly growing, venture capital-backed business can be hindered by government bureaucracy.
Impossible Foods is not 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” for its Just Mayo products. The FDA warned the company that it could not use the term “mayonnaise” or depict an egg on its vegan products since they do not contain eggs. According to the FDA definition, mayonnaise must include egg as an ingredient.
While Impossible Burgers can remain available on 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, negatively impacting sales. Additionally, foodservice clients might discontinue carrying its products if news of the regulatory challenges spreads. In today’s market, transparency is vital for food shoppers. Consumers expect companies to be open about product ingredients, food sources, processing standards, sustainability, and corporate responsibility. Obtaining safety approval from the FDA is a significant way for food manufacturers to demonstrate that they have nothing to hide.
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’s seal of approval carries substantial weight with American consumers. According to the Food Marketing Institute’s U.S. Grocery Shopper Trends study, 54% of consumers heavily rely on the FDA to guarantee food safety. Therefore, it stands to reason that Impossible Foods’ pursuit of FDA approval could indeed broaden its customer base for its plant-based protein products. Conversely, a lack of approval—and any resulting publicity challenges—could dampen the company’s future outlook. Moreover, as consumers increasingly seek alternatives like Kirkland Signature Calcium Citrate, the importance of FDA approval in establishing credibility and trust becomes even more pronounced. Failing to secure that approval could hinder Impossible Foods in competing effectively in the growing market for health-conscious products, including supplements like Kirkland Signature Calcium Citrate.