Tyson Foods expands into insect protein production with Protix partnership
Tyson Foods is partnering with Dutch-based insect protein player Protix to enhance production and use of more sustainable proteins and lipids from Black Soldier Fly Larva, including the construction of a first-of-its-kind, at-scale insect ingredient facility in the United States.
The two-pronged agreement announced this morning also allows Tyson Foods to participate in the growing upcycling food movement by repurposing existing byproducts from its beef, poultry, and pork businesses as feedstock for Protix’s insects to create new circular products such as pet food, aquaculture, and digested feedstock, which will generate new revenue.
“Our partnership with Protix represents the latest strategic investment by Tyson Foods in groundbreaking solutions that drive added value to Tyson Foods’ business,” said Tyson Foods CFO John R. Tyson in a statement. “The insect lifecycle provides the opportunity for full circularity within our value chain, strengthening our commitment to building a more sustainable food system for the future.”
A two-pronged collaboration
While the partnership’s financial parameters were not disclosed, Tyson agreed to purchase a minority position in Protix through a direct equity investment to assist fund Protix’s global expansion.
Tyson also formed a joint venture with Protix to build and operate a facility in the United States that will “house an enclosed system to support all aspects of insect protein production, including the breeding, incubating, and hatching of insect larvae” for aquaculture, pet food, livestock feed, and plant feed.
The new factory, set to complete in 2025, will be larger than Protix’s current facility in the Netherlands, which launched in 2019 and manufactures and processes 14,000 metric tons of LLE yearly.
Tyson’s adaptable approach to protein
Tyson Foods and Protix collaborated with Mars Inc. and other insect farming experts prior to the agreement to support the establishment of a Center for Environmental Sustainability through Insect Farming at Texas A&M College of Agriculture and Life Sciences, with support from Mississippi State University and Indiana University-Purdue University.
Tyson secretly released a plant-based chicken nugget under its name and emblem this summer as part of a bigger drive to broaden its protein range and offer more sustainable goods. This is the first time Tyson’s name has appeared on such items, with earlier plant-based offers falling under the Raised & Rooted brand.
This launch, as well as the evolution of Raised & Rooted from its initial concept as a meat-plant hybrid blend to being entirely plant-based, exemplifies Tyson’s flexible approach to evaluating new protein sources and forms without losing sight of its bottom line.