According to Net Zero Insights data quoted by the Good Food Institute Europe, the continent’s fermentation companies have raised more than €164m in the first six months of 2024.

Those working in precision fermentation – including to derive non-animal dairy proteins – raised €49m, up from €33m in the entire 2023. The most the sector has yielded was €80m in 2022 according to the data, with €53m invested in 2021 and €7m – in 2020.

In comparison, the plant-based sector – which has traditionally attracted the largest amount of investment – managed €79m during H1 2024. The number is particularly striking when compared to the €553m invested in the segment last year, though last year’s stats include €391m worth of deals attributed to oatmilk maker Oatly.

The uptick in fermentation investment is indicative of a renewed focus in scaling up, according to GFI.

“Many of the fermentation companies that received large investments are focused on leveraging agricultural and food industry sidestreams as a sustainable feed source, helping produce food more efficiently and affordably – both of which are attractive propositions for investors,” the NGO explained.

“These companies are also using this money to help them scale up and build the infrastructure necessary to bring their products closer to commercialization.”

GFI also notes that despite not attracting the large investment it once did, Europe’s plant-based companies continue to receive large investments.