Temasek, through its Asia Sustainable Foods Platform, and Cremer jointly invest S$6 million in production facility to grow alternative protein sector.
In brief
Singapore state investor Temasek, through its Asia Sustainable Foods Platform (ASF), and Cremer, a German agri-food multinational company, have jointly invested SGD 6 million to produce plant-based alternative proteins in Tuas, Singapore.
ASF and Cremer have formed the joint venture, Cremer Sustainable Foods, which will carry out pilots and demo-scale facilities for the joint venture’s first Singapore production facility.
Contents
Comments
This project is in alignment with Singapore’s aim to position itself as an agri-foodtech hub in Asia and globally. Through the contract development and manufacturing operation facility, food tech companies will not need to establish their own facilities and can scale up in an asset-light manner.
In scaling up, food tech companies should be mindful of the Singapore Food Agency’s (SFA) regulatory requirements especially in the novel food space.
In more detail
Temasek, through ASF, and Cremer have jointly invested S$6 million in a production facility, to grow its capabilities in the alternative protein sector. ASF and Cremer have formed Cremer Sustainable Foods as a joint venture, which will carry out pilots and demo-scale facilities using its high moisture extrusion technology.
This will strengthen Singapore’s manufacturing capabilities and support businesses in the alternative protein sector.
The facility’s operations will commence from 1 August 2022 for the manufacture of 1,000 tonnes of alternative protein product for a client. Cremer Sustainable Foods is currently also in discussions with 4 to 5 other potential clients.
The contract development and manufacturing operation facility is expected to produce up to 1,300 tonnes of high-consistency, plant-based products that closely mimic conventional meat per year.
Through this facility, food tech companies will no longer have to establish their own facilities. Instead, they can scale up business in an asset-light manner.
Key considerations
Food tech companies dealing in novel food products must be mindful of applicable regulatory requirements for novel food products in Singapore. Some key issues in relation to regulatory requirements relating to novel foods include:
- Obtaining pre-market regulatory approval from the SFA;
- Adhering to the safety assessment criteria set out in the SFA’s guidelines for the safety assessment of novel food and novel food ingredients;
- Obtaining licences and/or registrations before the import / export / manufacture / supplying of such novel food products;
- Adhering to applicable legislation (e.g., Sale of Food Act 1973 and the Food Regulations); and
- Complying with packaging and labelling requirements.
It is imperative for food tech companies to prioritise safety through using safe methods and safe ingredients. The SFA’s safety assessment guidelines are a good starting position for companies to consider whether their novel food products are safe for the import into and sale in Singapore.
© 2022 Baker & McKenzie.Wong & Leow. All rights reserved. Baker & McKenzie.Wong & Leow is incorporated with limited liability and is a member firm of Baker & McKenzie International, a global law firm with member law firms around the world. In accordance with the common terminology used in professional service organizations, reference to a “principal” means a person who is a partner, or equivalent, in such a law firm. Similarly, reference to an “office” means an office of any such law firm. This may qualify as “Attorney Advertising” requiring notice in some jurisdictions. Prior results do not guarantee a similar outcome.
