Fonterra, the multinational dairy cooperative, is venturing into the field of nutrition science with the launch of its new corporate arm, Nutrition Science Solutions (NSS). This standalone entity will focus on incubating, scaling, and investing in ventures specializing in nutrition science. By leveraging Fonterra’s dairy science and innovation expertise, combined with the agility of a startup, NSS aims to collaborate with and support global startups in the sector.
The objective of NSS is to tap into emerging technologies, advancements in science, and novel channels to market. By partnering with these startups, Fonterra hopes to gain access to their expertise while offering its own insights into the dairy market and scientific knowledge. Its ultimate goal is to develop innovative solutions that combine science, nutrition, and technology to make a positive impact on human health.
Fonterra’s new corporate venture arm aligns with its long-term strategy, which highlights the growth potential of nutrition science solutions. This segment of the global health and wellness category goes beyond everyday products and paves the way for transformative advancements. By exploring this space, Fonterra plans to play a more prominent role and capitalize on its dairy science expertise.
The company has already taken its first step in this direction by investing $10 million in Pendulum Therapeutics, a San Francisco-based growth-stage company specializing in medical probiotics. Led by microbiome scientist Colleen Cutcliffe, Pendulum develops products that merge the power and efficacy of a pharmaceutical with the safety and accessibility of a probiotic. Their advanced probiotic blends optimize metabolism and improve gut health. Notably, Hollywood actress Halle Berry has also joined the Pendulum team as an investor and chief communications officer.
Euromonitor predicts that the global human microbiome market will be valued at $9.1 billion by 2026. Additionally, research by ADM and FMCG Gurus reveals that over 58% of consumers globally are aware of the potential benefits of gut bacteria on health and well-being. Moreover, 53% of consumers are paying closer attention to the impact of their food, beverage, and supplement choices on their overall well-being. This growing consumer interest extends to immune health, with 75% of global consumers expressing a willingness to prioritize their health and 66% actively searching for supplements that support immune function.
In the broader industry, Danone North America is also focusing on the gut microbiota through its annual fellowship grant. They are supporting research, including a gut-on-a-chip project, to develop next-generation probiotics. Miguel Freitas, PhD, Vice President of Health and Scientific Affairs at Danone North America, emphasizes the importance of including proven beneficial ingredients, such as certain probiotics, in their products. Danone’s objective is to stay at the forefront of research and fill the market niche for approaches that prevent the disruption of the symbiosis between humans and their microbial symbionts in healthy individuals.
