AgFunder today announced a new $20 million alternative protein fund to give investors an opportunity to invest in the next generation of startups creating animal-free products for food and other industries. In conjunction, AgFunder has also published a free industry whitepaper that surveys the alternative protein market.
The fund will invest in startups across the alternative protein landscape including plant-based meats and dairy, cultivated meat, and startups creating picks and shovels for the industry. Investment is open to Accredited Investors, family offices, and institutions.
“An investor who put $1 million into Beyond Meat’s Series A selling today could realize a 316x return; and Impossible Foods is poised to follow a similar trajectory,” said founding partner Rob Leclerc. “But in a $2.17 trillion market for animal products, we believe there are still many new opportunities to create new multi-billion dollar companies.”
Key stats from the white paper include:
– More than half the world’s population is now considered middle class or wealthier and will increase to ⅔ of the population by 2030. Middle classes typically eat more meat and protein.
– To provide enough meat to the world at the current U.S. consumption levels of 99.5kg/capital this would require 88% more farmland than is available today.
– Even if current global consumption of 44kg/capital remains static, 100% of global farmland would need to be directed to animal agriculture in coming years.
– Animal-derived products were worth $2.17 trillion in 2018 and we estimate it will grow 4.7% CAGR to nearly $3 trillion by 2025.
– By 2025, 10% of meat supply could be plant-based and by 2040, as much as 60% of meat supply will be alternatives (35% cultivated meat and 25% plant-based) making conventional meat a nice market.
– 66% of cultured meat startups have at least one female founder, compared to just 17% across venture industries, and 10% of cultured meat startups were founded exclusively by women.
To learn about investing in the fund, AgFunder’s investment thesis, or to download the free 41-page whitepaper for an in-depth look at the industry’s macro drivers visit:
Founded in 2013 and based in San Francisco, AgFunder is one of the most active foodtech and agtech VC firms globally.