Fermentation startup brings a scarce milk protein to the US market

All G launched a precision-fermented, low-iron lactoferrin in the US, aiming to scale a protein that has cost over $650 per kilogram.

Australian startup All G has launched in the US with LFX apo-lactoferrin, a bovine-equivalent version of lactoferrin made by precision fermentation rather than extracted from cow's milk. Lactoferrin is an iron-binding antimicrobial protein found in mammalian milk that has historically been scarce and expensive — prices can exceed $650 per kilogram — because isolating it from dairy is costly. All G's product is designed with under 5% iron saturation, compared with roughly 20% for dairy-derived lactoferrin, and the company reports over 93% protein content and over 95% purity.

The company says it holds an FDA GRAS "no questions" letter for its bovine lactoferrin, proved the technology at pilot scale with Döhler, and is producing at multiple metric tons per year using a 60,000-liter fermentation contract manufacturer in China. It has formed joint ventures with French firms Armor Protéines and Savencia, with investors including Agronomics and Döhler Ventures.

The abundance angle: if fermentation can make lactoferrin at scale, a protein that was rationed by the economics of milk extraction becomes something producers can order in bulk, feeding into nutrition and functional food products at lower cost.

Caveats are real. Claims about performance, unit economics, and superiority over rivals come from All G's executives, and the CSO's assertion that competitors haven't proven low iron saturation at commercial scale is his reading of public data. Human lactoferrin approval and a second European facility are stated goals, not achievements. Several other firms are pursuing the same segment.

Source: AgFunder News