Lactoferrin, a bioactive protein found naturally in bovine and human milk, is one of the most sought-after ingredients in the human and animal nutrition space.
Nearly half of globally-produced lactoferrin is used in infant nutrition, but the ingredient’s antioxidant, anti-inflammatory and anti-cancer properties has made it desirable in the adult nutrition space, too.
Yet, lactoferrin’s concentration in bovine milk is low - it takes around 3l of milk to produce 60mg of purified lactoferrin – and obtaining the ingredient requires a complex, multi-stage process comprising extraction, purification and drying.
A 30-year history
Bovine lactoferrin was first produced at industrial scale in the mid 1980s by Belgium’s Oleofina Company. In 1989, Germany’s Milei GmbH followed by processing milk and whey into lactoferrin using technology developed by Morinaga Milk.
Current producers of bovine lactoferrin include Savencia (via Armor Proteins), Fonterra, Tatua, Glanbia, FrieslandCampina, Noumi, and Milei.
By 2011, 90 metric tonnes of bovine Lactoferrin was being produced per year worldwide and selling at a price of $300 per kg, according to Teagasc research. Today, a kilogram may cost from hundreds to a couple thousand US dollars.
The complexity of its production, coupled with demand for the ingredient, has made it a high-value product and a lucrative value-added stream for dairy companies.
But several foodtech companies have turned to precision fermentation to produce this protein more economically, but none have quite managed to scale-up to disrupt the traditional market.
Precision fermentation involves genetically-programming microorganisms, such as yeast cells, to produce proteins without the need of livestock.
In December, Australian company All G became only the second firm to achieve self-affirmed GRAS status for animal-free lactoferrin in the US, following in the footsteps of Singapore’s TurtleTree.
The Sydney-based company is now looking at commercializing its ingredient, its production set to cost less than that of dairy-derived lactoferrin. Other firms in the PF-derived lactoferrin space include US companies Helaina and Triplebar Bio Inc.; South Africa’s De Novo Foodlabs (formerly De Novo Dairy); and New Zealand’s Daisy Lab.
But is precision fermentation lactoferrin identical to the bovine- or human-derived ingredient – and what are the hurdles to commercialization? We spoke to to find out more . . .
“Our lactoferrin is designed to mimic the molecular structure and functional properties of bovine lactoferrin,” All G’s CSO Jared Raynes told this publication. “This allows us to align with established consumer acceptance and regulatory pathways while offering a versatile ingredient for applications like functional foods, nutraceuticals and topical applications.”
“Our lactoferrin is designed to mimic the molecular structure and functional properties of bovine lactoferrin.”
Jared Raynes, CSO, All G
“This allows us to align with established consumer acceptance and regulatory pathways while offering a versatile ingredient for applications like functional foods, nutraceuticals and topical applications.”
All G is also planning to bring human lactoferrin to market ‘shortly after our bovine lactoferrin’, Raynes said. “But we expect the pathway to mass adoption there will be longer.”
How close does All G’s product come to bovine lactoferrin, molecularly? “Our precision fermentation technology enables us to produce lactoferrin that is bioequivalent to its bovine counterpart,” the CSO said. “This ensures that the purity, bioactivity and iron saturation status are equivalent or better, delivering the same benefits consumers expect.”
The PF-derived lactoferrin has protein purity of more than 98%, he added, which meets or exceeds industry standards in comparison to bovine-derived lactoferrin. “This makes our lactoferrin suitable for functional foods, skin care, and high-value applications like dietary supplements and infant formula, once regulations allow.”
Thanks to a less involved production process, the cost of production is expected to be lower than that of bovine-derived lactoferrin, we learned. “We expect to launch our precision fermented lactoferrin with production costs below dairy-derived lactoferrin,” Raynes said. “As we increase scale and improve efficiency, we anticipate achieving a significantly lower production - multiple times cheaper than the conventional process.”
So what are the remaining challenges to commercialization? For one, there’s the uncertainty of how this niche market would develop in a space now occupied by the lucrative animal-derived lactoferrin, whose application isn’t hampered by regulation.
“There isn’t yet a market for precision fermentation lactoferrin at scale,” the CSO told us. “However, the product offers advantages that can’t be replicated by animal-based lactoferrin: it is suitable for vegetarians and vegans, low-carbon, free of other allergenic dairy proteins, and comes at high levels of purity.”
If more companies achieve self-affirmed GRAS status, however, this could make lactoferrin more widely available, including for use in food products such as functional beverages, protein powders, plant-based milks, and more. “The opportunity lies in introducing a novel, sustainable ingredient to a progressive market,” Raynes said, “but challenges include education and differentiating our product in a competitive space.”
Regardless of these remaining challenges, Raynes expects positive developments for the entire precision fermentation industry in 2025. “Precision fermentation of mass-market proteins is ready for huge growth,” he said. “While the sector has had its ups and downs, the underlying technology is inevitably going to transform how we produce and consume food consumer want.
“As we move into 2025, we expect premium PF-derived ingredients to expand into mainstream applications, driven by consumer demand for transparency, quality, and sustainability.”
What’s next for the US precision-fermented lactoferrin market?
Functional beverages are one of the product categories most likely to benefit from the availability of animal-free lactoferrin, as Raynes indicated.
In Q1 2025, Strive Nutrition is expected to launch in the US a functional beverage and a ready-to-mix protein powder that contains TurtleTree’s animal-free lactoferrin.
The beverage firm’s also extended its partnership with PF beta-lactoglobulin (BLG) producer Perfect Day over the FREEMilk line of animal-free dairy milk.
But beyond that, it’s currently quiet on the non-animal lactoferrin front in the US.
Meanwhile, mre foodtech companies are expected to obtain regulatory approvals for precision-fermented dairy-free ingredients – including Those Vegan Cowboys and Fermify (both for casein).
See also: How is the US animal-free dairy protein market shaping up?
