In the battle against plastic waste, a new champion has emerged from Israel: MadeRight, a biotech startup with an innovative approach to eco-friendly industrial materials. Founded in 2022, the company recently secured $2 million in seed funding to supercharge its mission to revolutionize the packaging industry.
A Mushrooming Idea
Led by Fresh Start foodtech incubator and supported by investors including Arkin Holdings and ARC Impact, the seed funding marks a critical milestone for the company. What sets MadeRight apart is its unique focus on fungi, nature's original recyclers. Rotem Cahanovitc, the CEO and a mycology expert, alongside CTO Yotam David, a molecular geneticist, recognized the untapped potential of fungi to replace harmful elements in plastic packaging.
Nature's Recyclers
Fungi have long acted as Earth's natural waste management system, breaking down organic matter into nutrients that can be reintegrated into ecosystems. MadeRight is taking a leaf out of nature's book by using fermentation technology to cultivate fungi. Grown on organic industrial waste like wood chips, these fungi produce sustainable, biodegradable materials free from pollutants.
A Sustainable Vision
“Fungi serve as nature’s recyclers, thriving on what we consider waste,” Cahanovitc explains. His vision for MadeRight was galvanized during his volunteer stint in Ethiopia, where he witnessed families burning plastic waste for disposal. "Earth's recyclers are fungi," he observed, adding that this revelation inspired him to aim for plastics that could either be recycled easily or even composted.
The Plastics Crisis
According to a report by the Organisation for Economic Co-operation and Development (OECD), plastic waste has doubled over the past two decades. What’s more, this number is expected to triple by 2060. Most of these plastics end up in landfills, polluting our earth and oceans. Additives in plastic packaging, designed to prolong shelf life, also inhibit their recyclability.
Tapping into a Billion-Dollar Market
MadeRight has set its sights on the global food packaging market, which currently sits at a staggering $363 billion and is projected to grow to $512 billion by 2028. Through the utilization of bio-plastics mixed with fungi, MadeRight intends to create pellets easily integrated into existing manufacturing processes across multiple sectors, including food and cosmetics.
What’s Next?
The recently acquired funding will be used to develop a commercially viable prototype for the packaging market within the coming year. By doing so, the company aims to prove the effectiveness and efficiency of its innovative fungal-based materials.
A Fresh Start
MadeRight is incubated in the northern town of Kiryat Shmona, as part of the Fresh Start program backed by the Israel Innovation Authority. The incubator consortium includes major players like Tnuva, Tempo, OurCrowd, and French investment firm Finistere. It is noteworthy that Fresh Start is also home to startups working on other groundbreaking food tech solutions, such as cell-cultured fish and sugar reduction technologies.
A Greener Tomorrow
By tapping into the capabilities of fungi to replace harmful substances in plastic packaging, MadeRight is not only pushing the envelope of what's possible in sustainable packaging but also contributing to a broader effort to reduce the environmental impacts of human activity. It’s a made-right step toward a sustainable future.