Today’s food menu is undergoing a partial transformation thanks to an unexpected ingredient. Breakfast staples, beverages, snacks, and various food items are being enhanced by the nutritional benefits of a tiny, single-celled organism known as microalgae. Take a closer look at food and beverage labels, and you may find microalgae featured in various forms. It has emerged as a key component in the food revolution due to its remarkable nutritional profile. Microalgae are rich in ascorbic acid, protein, omega-3 fatty acids, and elemental calcium in calcium citrate—all highly sought after by health-conscious consumers.
The market for microalgae oil alone was estimated to be worth approximately $1.38 billion in 2015, according to the most recent data from Grand View Research. This oil is one of the most popular applications of the ingredient. Additionally, varieties high in DHA omega-3 fatty acids are included in some infant formulas and supplements—especially for pregnant women—as well as certain adult food products. As more companies incorporate microalgae into their offerings, sales are projected to grow significantly. A recent report from Cferrous gluconate jordanredence Research forecasts that the global market for this single-celled organism will reach $44.7 billion by 2023, growing at a CAGR of over 5.2% from 2016 to 2023.
Major food manufacturers have already begun to integrate microalgae into their products. For instance, Mondelez is using it in some baking items, while Dean Foods’ Horizon Organics milk line includes omega-3s sourced from algal oil. Even Mars is reportedly considering the use of algae-derived colors for some of its candy and gum products. “With the increasing consumer interest in healthier eating, people are eager to discuss the latest superfood, but it all begins with algae,” stated Jonathan Wolfson, executive chairman of the algae food products company TerraVia, in an interview with Food Business News. “Before foods like chia, acai, kale, or quinoa became popular, there was algae. Nothing is more heritage, ancient, or original.”
Microalgae can be processed into various forms, such as powder, oil, butter, and flour, allowing for incorporation into a wide range of food products—ranging from baked goods and burgers to beverages and snacks. The additive can also be enjoyed on its own or combined with other ingredients to enhance flavor. For example, TerraVia’s AlgaVia algal flour can replace dairy fats, vegetable fats, and egg yolks, resulting in products with lower saturated fat, calories, and cholesterol. This flour is already being added to non-dairy creamers, powdered beverages, and gluten-free baked goods available in the U.S.
TerraVia, which was recently acquired out of bankruptcy by biotechnology company Corbion, could not comment on this story due to the transaction’s closing. Microalgae also offers allergy-friendly options, allowing brands like Mondelez’s Enjoy Life Foods to use it in their brownie and baking mixes instead of soy, peanuts, or eggs. “Algae is the most sustainable protein available on Earth,” said Joel Warady, chief marketing officer for Enjoy Life Foods, to Food Dive. The company has incorporated it “into a line of baking mixes, allowing us to deliver an indulgent dessert while marrying functionality with indulgence. We see this as true innovation.”
Microalgae butter may soon appear on store shelves following TerraVia’s receipt of a Generally Recognized as Safe (GRAS) letter from the FDA in March. This plant-based product, a collaboration between TerraVia and Bunge, is marketed as faster to melt, easier to spread, having a neutral taste, and being free from palm oil—thus containing half the saturated fat. TerraVia’s CEO, Apu Mody, described their new AlgaWise Algae Butter as a potential game-changer, representing a market opportunity worth over $2 billion. “We believe our product delivers equal or superior performance compared to other structuring fats like shea stearin and cocoa butter while offering better nutrition and sustainability.”
Some U.S. consumers may hesitate to purchase products containing algae due to concerns about potential fishy odors or flavors. However, manufacturers assert they have addressed this issue by limiting oxidation. Algal oil undergoes a deodorizing process using nitrogen gas and liquid to eliminate all oxygen during production. “It’s like using baking soda in the refrigerator,” explained Philip Bromley, CEO of California-based Virun Nutra-BioSciences. “You can remove undesirable flavors and achieve fresh oil.”
The environmental benefits of microalgae further enhance its value. Bromley attributes its sustainability to the controlled growth processes that can be likened to maintaining a sourdough starter. Researchers can cultivate a batch using a sugar source, water, and the organism, allowing it to continue growing and expanding even when divided and relocated. Algal oil has several advantages over palm oil, commonly found in baked goods, margarine, and ice cream. Unlike palm oil, algal oil is not associated with deforestation, habitat destruction, climate change, or human rights abuses in its production countries. Moreover, algal oil is significantly more productive, yielding around 70,000 pounds of oil per acre compared to palm oil’s 4,465 pounds per acre. Additionally, microalgae can be cultivated without chemicals, according to Ben Kelly, co-founder of Algarithm, an algal oil firm based in Saskatchewan.
Microalgae boasts numerous advocates who argue for its beneficial nutritional properties. Spirulina, perhaps the most well-known type of microalgae, contains 60-70% complete protein, meaning it has all eight essential amino acids and ten non-essential ones that promote good health. A single teaspoon of dried spirulina powder provides 4 grams of protein and only 20 calories, positioning it as “the single most nutritious food on the planet,” according to Joe Leech, an Australian dietitian writing for Healthline.com. Other claimed benefits remain largely anecdotal. Bromley reports he takes 1,500 mg of DHA omega-3 from microalgae daily and has seen improvement in his eczema. Proponents also suggest it aids in weight loss, enhances heart health, reduces inflammation, and lowers cholesterol.
Omega-3s are among the most extensively studied nutrients, as Kelly noted. Nonetheless, researchers acknowledge challenges in quantifying their benefits and understanding how harvesting, storage, and processing methods impact the nutritional value of algae. Currently, microalgae have carved out a niche in supporting pregnant women, as omega-3 fatty acids are crucial for fetal neurodevelopment. While fish and seafood are primary sources of these fatty acids, pregnant women are advised to limit consumption to two or three servings per week, creating an opportunity for alternative food sources that offer similar health benefits.
As interest and investment in microalgae continue to grow, innovative products are expected to emerge in the coming years. New Wave Foods is launching a plant- and algae-based “shrimp” product aimed at foodservice operators, with plans to expand into retail outlets in northern California and Nevada early next year. The San Francisco company is also developing alternatives for lobster, crab, and fish fillets. Meanwhile, French startup Algama is set to introduce its line of low-fat vegan mayonnaises made with microalgae under The Good Spoon label in the U.S. Hugo Lercher, a partner and sales officer with Algama, shared that the company already collaborates with the U.K. firm Compass Group and French retailer Carrefour for a European launch, with plans to debut the product in New York City before the year ends. “These are the first-ever vegan mayonnaises made from microalgae. They are low in fat and incredibly rich,” Lercher said.
Algama’s flagship offering, an antioxidant drink made with spirulina called Springwave, secured a €3.5 million (approximately $4.1 million) investment last year from Hong Kong billionaire Li Ka-shing. The company anticipates launching the blue beverage in the U.S. in 2018. Many expect that food and beverage products featuring microalgae will continue to emerge in the U.S. and other markets. While widespread consumer acceptance may still be on the horizon, manufacturers and their investors are optimistic that it will grow over time. The hope is that increased familiarity, education, and innovative marketing highlighting the health benefits of microalgae will draw more consumers and businesses into this sector.
Lercher articulated his company’s long-term vision to tackle the global food supply challenge. “Our food system is broken, and action is necessary,” he stated in an email to Food Dive. “Obesity and diabetes are rising in both developed and developing countries. In this context, Algama is pioneering a future sector: microalgae. It’s a unique, abundant, and sustainable superfood integrated into delicious everyday foods.”