Nature’s humble superfood

KARUNA RAWAL is interviewed by AAVNI KUPUSAMY after they met at the SXSW Food Tank event in Austin Texas earlier this year. Karuna speaks about how her company, Nature’s Fynd, is pioneering ways to make high protein, high fiber foods from fungi. They offer sustainable agricultural practices without destroying the planet and without the high price tag.

Q: Hi Karuna, welcome. Could you tell us a little bit about the incredible origin story of Nature’s Fynd?

KR: Nature’s Fynd was actually started as a research project for NASA. At the time, our chief science officer was a graduate student at Montana State, and was doing some work for NASA to help them understand what kind of conditions would be needed for life to thrive in harsh environments, like outside of Earth. That quest actually took them to Yellowstone National Park, which has a very unique ecosystem. There is a super volcano, and in the volcanic geysers they discovered a microscopic fungi—not a plant, not an animal, but part of the third kingdom—that turned out to be pretty remarkable. It was 50% protein, 30% fiber, with vitamins and minerals. Most importantly, it was thriving in this very harsh environment using very few resources.

That actually led them to do more research. And the company invented a technology called “liquid air interface fermentation,” which allows us to grow the protein. We took a tiny sample from Yellowstone, and we have never had to go back. Using that sample, like a sourdough starter, we were able to create net new protein for the world. We grow the protein here in Chicago, and we do it using trays and fermentation. Every three to four days, we’re able to make new protein, and we’ve created both meatless and dairy free foods. We have three different product categories we’ve launched in Whole Foods, Sprouts Farmers Market, and some other regional retailers.

We took a tiny sample, and grew it from there, so it’s highly sustainable; we use 90% less land, and 90 to 95% less water. Fungi, in general, take very little energy to grow—they only emit about 6% of the greenhouse gas emissions. Compared to animal agriculture, we’re using a fraction of the resources.

Q: Can you explain some of the nutritional benefits of fungal protein and their nutritional landscape?

KR: An interesting thing about fungi is they contain complete vegan protein, and that is very hard to find. They have all the amino acids we need, including the branched-chain amino acids. As I mentioned, they’re composed of 50% protein and 30% fiber. It’s also very hard to find one food that has both. Animal proteins tend to be high in protein, but not in fiber. With plant proteins, it’s much harder to find a high level of protein, but you get great fiber. Fungi offer the best of both worlds. Then, within that fiber, research shows there are beta-glucans. There’s prebiotic fiber, that is really good for your gut and immune system.

We’re just scratching the surface in our learning about the health benefits of fungi. At a high level, it’s the nutrient density of having protein and fiber together. Fungi are also low in fat. So we’re able to replace other foods with something that’s net positive from a nutritional standpoint.

Fungi contain complete vegan protein, 
and that is very hard to find. 
They have all the amino acids we need, 
including branched-chain amino acids.

Q: What are some of the challenges Nature’s Fynd has faced?

KR: The first challenge was optimizing the growth conditions for the fungi, because we don’t do any genetic modification. Then, there’s been a lot of work done to make sure that we grow a protein that’s neutral in texture and color. Then, our food scientists do the work of leveraging that neutral base with other protein qualities, like flavor. The most important challenge for any company in this space is scaling: How do we go from producing on a small scale to a much larger scale, so we can supply many more retailers?

Q: Building on that, as you’re scaling, how do you keep in mind the environmental impact of maximizing your production and distribution?

KR: One of the neat things about using fungi for protein is that they are not picky eaters. We use a variety of sugar sources and starch sources for them to grow. We can use local sugars in different parts of the world. Also, because we don’t require a huge footprint, our goal is eventually to produce protein locally. We will then not spend a lot of energy transporting food from one part of the world to another, or one part of the country to another.

So we’re looking at how to create a decentralized fermentation system that can use local inputs to create protein where people need it, especially in disaster areas and other places where protein is a challenge. We’re working with the Bill and Melinda Gates Foundation, and have a grant to do some of that decentralized fermentation work, figuring out how to create protein in Sub-Saharan Africa and Asia, in a way where we’re working with local farmers using their inputs to create the protein.

Think about the implications! A lot of energy is used in the transportation of food from production to eventual consumption. If we can produce closer to where people live, then we don’t have huge waste streams and pollution. We are ten minutes from downtown Chicago. We can be in a city environment, we can be in a country environment. Most animal agriculture is in areas that have a significant amount of run off and pollution, whereas we produce protein in a much cleaner way, near where people live.

Q: So how does Nature's Fynd approach flavor innovation in product development?

KR: Flavor is incredibly important in food, so, we have a lot of food scientists, many of whom have worked for some of the biggest food companies. They’re flavor chemists. We also work with flavor suppliers and partners who help us identify the latest flavors. The biggest learning for us is to take flavors used in other foods, and understand how they interact with this new protein that no one’s worked with before.

We go to food industry shows to look at emerging trends in flavors and incorporate those into our work. Flavor is a big component of our success, so we’ve got a lot of folk in the company who are very familiar with that space.

Q: What strategies does Nature’s Fynd employ to educate consumers about the benefits of fungal protein?

KR: We try to attend conferences about food, food and climate, ag tech, food tech, etc. We’re out delivering our message through speaking engagements, education, sampling. We do a lot of social media for our consumers, to continue to educate them about the nutritional benefits of fungi. There is a lot of interest of late, and we want to make sure people understand the nutritional benefits. We also try to get as many stories in the press as we can. Then there’s our packaging. You’ll see the story and why it matters on our website.

We use every marketing touchpoint we can to continue to build. It’s not only educating people about fungi, but also about the connection between the food they eat and climate change. A lot of people who are climate activists don’t think about food. Food and agriculture are significant contributors of greenhouse gas emissions, and just changing how we eat can have a significant impact.

Q: Can you share any upcoming product releases, or expansions of product lines, or discuss some current products?

KR: I can’t tell you what’s coming, but right now we have a meatless breakfast sausage that mimics a pork sausage, has the same amount of protein, but much less fat. We have a dairy-free cream cheese that is available in two different flavors, and has the texture of dairy, and the dairy notes and tang. People really enjoy the creaminess. It’s to the point where you can’t tell whether it’s dairy or not. Our latest introduction was a dairy-free yogurt, which has eight grams of protein and four grams of fiber, making it a nutrient dense food. And it’s delicious.

That’s our number one priority: how do we make it as tasty as possible? We know that consumers interested in sustainable food might try it once out of curiosity, but if it doesn’t taste good they won’t buy it again.

This protein platform is extremely versatile. As well as meat and dairy alternatives, we also make a powder that allows us to make things like breads, pastas and protein powders. So there’s a huge innovation pipeline, and we’re looking at a lot of different categories to decide what next. We’re also extending our current categories with new flavors.

Already we can provide options for breakfast, lunch, dinner and dessert at night—at least one, maybe more—that enhance your protein intake. Part of my job is to figure out what’s the next thing we’ll launch, but we now have three important categories in the marketplace, and retailers want to see that consumers are interested. Then we’ll have the opportunity to introduce many more.

Q: What do you think is the role of companies like Nature’s Fynd in addressing the need for environmental change?

KR: I think it’s a pretty big one. The way we produce food today is having a huge impact on our environment. And the food system is something that every individual can impact. You and I aren’t going to have a huge impact on the next energy plant that is built, or on transportation, and we don’t all buy cars every year, but what we choose to eat we do three to five times a day. Each of us can make small changes, like Meatless Monday, or just choosing to eat fewer animal-based products and more alternatives. It reduces our impact on the planet.

Our latest introduction was a
dairy-free yogurt with eight
grams of protein and four grams
of fiber, making it a nutrient dense
food. And it’s delicious.

We’re running out of land and water to feed the animals that are consumed. It’s not an efficient system. So it’s going to take many companies like ours to impact consumer behavioral change. The only way we’re going to make the system better is if all of us choose to make a difference. If we’re going to feed ten billion people in the face of climate change, we have to change how we eat, and that’s the mission we’re on.

Q: What role do you think community engagement and participation play in the activities of Nature’s Fynd?

KR: It's funny you ask that, because this morning I sent my team another note saying, “Community engagement is one of our key pillars.” A lot of change will be driven by the next generation of consumers—people like you who are in college, Gen Z basically. I feel pretty optimistic that, based on what I’m seeing and hearing, this is the generation that will drive the change. So building community with younger consumers, who are in colleges and universities, where we are seeing a lot of change, is important. 

Connecting with young climate activists is something we’re prioritizing. There is also a vegan community that we speak to, and a dietitian and nutritionist community that we connect with. So there are different communities we're trying to partner with to deliver our message. We’re also amplifying their messages because we’re aligned in better health for individuals, better health for the planet, and creating more sustainable food. Those communities are having an impact, because they advocate for a better food system. We have a number of partners on the non-profit side that share the message of making better choices for the planet.

Q: Can you expand on how Nature’s Fynd leverages technology and innovation to advance your overall mission.

KR: The company is founded on the technology of fermentation, taking a very small sample and growing net new proteins. So that has been all about technology and innovation. We have a lot of data scientists who look at the different conditions to optimize the growth of the fungi. And we use technology from retail warehouses like Amazon or IKEA— automatic guided vehicles in our warehouses to transport the trays, fill them, put them into the chamber, and remove them. There’s a lot of innovation and technology obviously on the food development side; how to optimize the different inputs to get the desired output?

Q: How do you approach changing people’s perception of traditional dairy and meat alternatives?

KR: A lot of it is delivering really great tasting products, where people don’t feel they have to compromise or sacrifice. I’ve spent many years in food and beverage marketing, and while people say they want to eat healthier and in a way that's better for the planet, it always comes back to taste and texture.

We want to take people from saying, “Why would I eat this?” to “Why wouldn’t I eat this? It tastes great, it’s better for my health, and it’s better for the planet.” They’re not giving up anything, right? Assuming it’s affordably priced, why would they not make the change? Think about the history of food; lots of foods initially were weird, other than in certain cultures, like sushi, chocolate, yogurt. People were introduced to them, and it took time. Humans have had to incorporate new foods into their diet. And I think it’s less about tasting exactly like meat or dairy, and more about: Does it serve the function that I need it to? Does it taste great? Am I doing something I feel good about? When those things combine, people are willing to change their behavior.

Q: Can you share some success stories?

KR: The biggest success for us has been to produce both meatless and dairy-free food from the same protein. Creating the protein platform has been the big opportunity. It allows us to make a variety of foods. We know food is very personal, it’s emotional, it’s cultural. What works in the US is not going to work necessarily in Asia. We have this blank canvas of a protein that allows us to create regional foods, ethnic cuisines, and different types of textures and flavors. That will allow more people to adopt it. We have a very neutral platform.

Being able to demonstrate that we create delicious finished foods that are now in Whole Foods nationally is not easy to do. All three of our categories are there, and our retail partners are excited about the potential of our brand. Our culinary advisor is a 3-star Michelin chef, Eric Ripert, who’s excited about helping us, who sees the potential, and has had our protein on his menu at Le Bernardin. There are other chefs that we’re partnering with in the coming months. Last but not least, we’ve also demonstrated that we can grow this protein under a variety of conditions on Earth and in space. You can imagine the implications of that for future space travel, for astronauts, for whom protein is such a necessity. If they could grow something neutral that they can turn into a variety of foods, that's pretty exciting. So those are some of the highlights we have achieved.

Q: How can individuals and organizations get involved with Nature’s Fynd and contribute to this mission?

KR: The easiest way is to buy our products, because that’s what is needed for brands like ours to succeed. Retailers need to see that there’s consumer demand. Having worked in very large companies in the past, with huge marketing budgets, we are very limited. So we’re focused on sampling so people can taste our products, because we think that’s the most convincing way for them to convert.

The biggest success for us has
been to produce both meatless and
dairy-free food from the same
protein. Creating the protein
platform has been the big opportunity. It
allows us to make a variety of foods.

Getting the word out, awareness, and trialing are our biggest challenges as a new brand. So, when people try our products, share our story, amplify it, that helps us. Whether that’s through nonprofit organizations like Food Tank, or colleges and universities, it all helps to build momentum, because we don’t have the kind of money that many big food brands do.

Q: Is there anything you’d like to add?

KR: There’s a lot of additional information on our website at https://www.naturesfynd.com. Thank you so much. I enjoyed chatting with you, and I’m excited you’re telling our story.