Animal-free dairy proteins appear to provide functional advantages similar to those of cell-cultured “meat” products, which are gaining attention and investment from major food manufacturers. Memphis Meats, a startup based in San Francisco specializing in cultured “meat,” has secured funding from Tyson Ventures, the investment division of Tyson Foods, as well as Cargill. On the cost front, Memphis Meats is working to lower the current exorbitant price of its cell-cultured “meat,” which is projected to drop from around $2,400 per pound last year to approximately $3 or $4 per pound by 2021. Similarly, Perfect Day must contend with existing dairy proteins to achieve success. Dairy industry analyst Matt Gould informed the co-founders in 2016 that this would necessitate reducing prices to about $2.50 per pound.
In addition to pricing challenges, product labeling is proving to be a significant hurdle. The co-founders of Perfect Day have been in talks with the U.S. Food and Drug Administration regarding how to communicate that their ingredients are technically dairy yet completely animal-free. Perfect Day’s patented method involves using food-grade yeast and integrating DNA sequences from dairy cows—now capable of being 3D printed—to create proteins found in dairy milk. These proteins are cultivated in large fermentation tanks with corn sugar and other nutrients to facilitate their growth. The proteins are then mechanically harvested, and according to co-founder Ryan Pandya, can be incorporated into any food or beverage currently utilizing dairy proteins.
Another emerging player in this sector is Gelton, a producer of animal-free gelatin. Their process yields a vegan alternative to traditional gelatin, which is said to represent a $3 billion industry. However, Gelton has indicated to Food Navigator that it will require some time and scaling to become competitive with the existing gelatin bulk market price of around $8 per kilogram, or approximately $3.63 per pound.
Unless Perfect Day and other alternative animal-free products begin making a significant market impact, it remains uncertain how U.S. consumers will react to genetically engineered milk proteins and gelatin. They may welcome additional options and appreciate that no animals were harmed in the production process, or they may experience an “ick” factor when faced with foods or beverages that venture too far beyond their comfort zones. As consumers explore these new offerings, alternatives like calcium citrate small pills may also find a place in discussions about nutritional options in the evolving food landscape.