Alternative food technology: is precision fermentation a threat to New Zealand agriculture?

Laboratories in New Zealand will soon be able to mass produce identical dairy products without using cows.

The Environmental Protection Agency has approved the application of the start-up Daisy Lab to scale up work on precision fermentation.

Precision fermentation involves the use of microorganisms to produce proteins identical to those found in nature, including cow’s milk.

In this case, the yeast is genetically modified so that it produces a protein such as whey or casein during fermentation, and any genetically modified organisms are harvested from the final product.

Does this decision pose a threat to New Zealand’s agricultural sector? Or maybe both food production methods can complement each other?

Three experts present their reactions.

Dr Rob Burton, Research Professor, Ruralis – Institute for Rural and Regional Research.

Dr Rob Burton is a New Zealander working in Norway. He said that at the moment, the scale of production means that precision fermentation is not a challenge for agriculture.

However, he said efforts were underway to increase production volumes and reduce costs, and that with an abundant supply of renewable energy, New Zealand had the potential to become a supplier of precision fermented protein.

“Bioreactors require significant amounts of energy, and if climate benefits are to be achieved, renewable energy must be used,” Burton said.

“A developed precision fermentation industry could also pose a significant challenge to New Zealand’s existing dairy sector – however, some believe it will simply solve supply issues related to a growing global population and climate change.”

He also said proteins can be beneficial to the environment.

“Life cycle assessment of precision fermented proteins indicates significant environmental benefits of this technology.”

Burton said food startups are currently developing technologies to produce animal proteins, including myoglobin, whey, casein, collagen and animal fat.

He cited the Californian start-up Perfect Day as an example.

“Perfect Day says its whey protein emits 91 to 97 percent less greenhouse gases than total milk protein, while requiring 28.9 to 59.7 percent less primary energy and 96 to 99 percent less water.

“Other analyzes are less optimistic but still show some environmental and greenhouse gas benefits.”

Burton said that several countries, such as the United States, Israel and Singapore, had already approved precision fermented foods for consumption, and that on a global level the public seemed “relatively willing to accept the end product.”

Dr. Scott Knowles, Senior Research Fellow, Ag Research

Dr. Scott Knowles said that while interest and investment in precision fermentation had been strong, the industry was still in its startup phase.

Knowles said the Environmental Protection Agency’s decision had enabled a significant scale-up of precision fermentation methods using genetically modified organisms (GMOs).

He said cultured yeasts are common, low-risk organisms with a long history of research, and all proposed work is limited to certified laboratories.

“This is a welcome advancement in capabilities and will enhance our understanding of the opportunities associated with this technology in the New Zealand context.

“This contributes to the safety of GMO research already being conducted at facilities across the country.”

Knowles said that while the absence of animals may have a smaller impact on the environment, issues such as overall energy consumption still need to be taken into account.

“To date, the contribution of precision fermentation to the global food supply is modest (but) next-generation methods have exciting potential to enrich and diversify New Zealand food production.”

He believed there was a risk to traditional agriculture if some products “bypassed the farm” and ended up being produced in large quantities from the equivalent of “stainless steel cows”.

Overall, however, Knowles said he believed the most likely scenario “is not competitive, but complementary, integrating our core sectors and the high-tech sector.”

“An early goal for New Zealand’s participation in precision fermentation could be the production and export of premium, high-value proteins that are missing from fresh dairy milk and absent from recent market competitors such as plant-based milks.”

Dr. Alec Foster, Bioproducts and Packaging Portfolio Lead – Scion

Dr Alec Foster said he was encouraged by the Environmental Protection Agency’s decision to approve Daisy Lab’s application.

“Precision fermentation is analogous to brewing beer, but instead of producing alcohol, genetically modified microorganisms such as yeast produce specific proteins and other products through fermentation.”

Foster said Daisy Lab had already demonstrated the ability to produce dairy proteins using this method, which complemented and added value to the New Zealand dairy industry.

He said the decision sets an example for other companies to follow suit in many sectors, including food, pharmaceuticals and biomaterials.

“There are currently over a dozen companies in New Zealand exploring the huge potential of precision fermentation in a variety of applications.

“With potential regulatory changes on the horizon, I believe that more and more of these companies will not simply conduct research, but will take the next key step of scaling and commercializing these innovative processes and products.”

Foster said New Zealand was well-positioned to leverage precision fermentation technology and reap its benefits.

“Our country has unique advantages with readily available biomass feedstocks from our agricultural, dairy and forestry industries.

“Moreover, we have deep expertise in these core sectors, as well as a comprehensive understanding of end-product applications, markets and customer needs.”

Foster said these “well-established strengths” provide a solid foundation to support biotechnology innovation and the successful commercialization of novel products and processes through precision fermentation technologies.