International plant nutrition leader, Haifa Group, Ltd., and food-tech innovator, SimpliiGood by AlgaeCore Technologies Ltd., have joined forces to optimize the SimpliiGood spirulina supply chain while promoting their net zero goals. This partnership delivers benefits to both companies' products and bottom lines in the short term. It also positions them to create a sustainable circular carbon economy within the next several years.
SimpliiGood grows and markets, fresh and frozen spirulina, cultivating this nutrient-rich microalgae under ideal controlled conditions. This start-up is culturing concentrated functional ingredients and producing a range of nutritious foods that are breaking new ground in the plant-based protein sector. Under development is the first smoked salmon alternative made nearly entirely from a single ingredient: whole fresh spirulina.
The companies have signed a multi-faceted long-term collaboration agreement destined to transform the entire spirulina market. The alliance will enhance sustainability and reduce the environmental footprint of both partners. A cornerstone objective of this partnership is to optimize upstream spirulina operations – perfecting production input for enriched output.
"This important milestone demonstrates the maturity and potential of the entire sector, not just of our company," says Baruch Dach, SimpliiGood founder and CTO. "It will boost our supply chain efficiency, reliability and scalability, making our spirulina an even more affordable, resilient and trustworthy food source for the future of food."
Collaboration will focus on four key phases:
1. To optimize spirulina growth media while minimizing cost: Haifa Group will perfect its ready-to-use nutrient mixtures for commercial spirulina cultivation, leveraging distinct SimpliiGood know-how and experience. This collaboration will reduce raw material expenses, which will decrease spirulina costs. It will fortify the supply chain, ensuring raw material security for safe, reliable, consistent supply.
2. Develop new products that rely on quality input: Both companies will continue to expand their product R&D.
3. Converting upcycle waste to spirulina: Carbon dioxide is nature's best source for spirulina growth during photosynthesis, and Haifa Group produces CO2 during product manufacturing. Haifa Group and SimpliiGood will build side-by-side production plants in the Negev Desert to pass carbon dioxide from the Haifa Group plant to the SimpliiGood spirulina production facility. This process, which will transform CO2 pound-for-pound into spirulina, will both reduce waste and enable sustainable carbon fixation.
4. Establish a large-scale global circular economy: SimpliiGood will evaluate the Haifa Group waste stream to determine the additional components that can be introduced into microalgae production. The assessment will include heat, nutrients and compounds – such as nitrogen, which is a key building block of protein.
These plans are aligned well with the global market. According to Acumen Research and Consulting, the global spirulina market size accounted for $480 million in 2021 and is projected to achieve a market size of $1.166 billion by 2030, rising at a CAGR of 10.4% from 2022 to 2030.
"The SimpliiGood-Haifa Group collaboration takes us within reach of our goal to be the world's largest net-zero spirulina cultivator and producer," concludes Shalev.