Alpha JWC Ventures Leads Funding of 24 Billion Rupiah Startup Alt-Protein "Off Foods"
The round was also attended by Global Founders Capital, Creative Gorilla Capital, Lemonilo, and United Family Capital (UFC)
Startups food-tech Off Foods announces initial funding of $1,7 million (approximately 24,3 billion Rupiah) led by Alpha JWC Ventures. Global Founders Capital (GFC) and other strategic investors, including Creative Gorilla Capital, Lemonilo, and United Family Capital (UFC) participated in the round.
The company will use fresh funds to develop research related to Off Meat variations, starting with alternative processed products such as chicken meat, such as nuggets. Also enter other cities by implementing strategy direct-to-consumer so that more consumers can be reached.
Off Foods is a local startup founded last year by Dominik Laurus and Jhameson Ko. This startup has ambitions to become a producer leading alternative protein (alt-protein) From Indonesia. This is done by providing an opportunity for more people to consume animal meat, without killing meat from real animals for sustainability, and without sacrificing taste.
Co-founder & CEO Off Foods Dominik Laurus said that his party was doing more than just selling food, introducing new ideas for lifestyle changes in Indonesia which were expected to produce a healthier society and a more sustainable earth.
“Off Meat and the Indonesian [market] are just our starting points. We are excited to receive such enthusiasm from new and existing investors, including established experts in the F&B industry, and we are excited to move forward with our product innovations, imminent national expansion, and finally regional expansion in 2024," said Dominik in an official statement, Tuesday (19/4).
Company launches product flagship Off Meat, a protein similar to chicken meat, in August 2021. Using the B2B model, Off Foods supplies its products to various restaurants, such as Gaaram, Wanfan, Mamma Rosy, and Fitco Eats spread across seven cities (Jabodetabek, Bandung, Surabaya, Medan, Yogyakarta, Makassar and Bali).
It is claimed, the company's business growth has soared up to 10 times through this B2B. The number of partnerships will continue to be boosted, some of which are already in process, namely Mangkokku, Zenbu, and Byurger which have o spread throughout Indonesia.
"Off Meat is a solution for foodservice businesses in supplying plant-based meat fillets to the horeca market (hotels, restaurants, cafes). Our products are affordable and customizable for chefs to create meatless dishes on their menus with their own special recipes and techniques. Customers will be able to enjoy the familiar tastes of the restaurant in the form of meatless dishes and be part of the sustainability of the future," added Jhameson Ko, Co-founder & CPO of Off Foods.
The company recently opened a new branch in Bali which is one of the most important plant-based food markets in Indonesia. Off Foods will see more adoption and partnerships in the near future as meats have high applicability in the kitchen, for example from fried 'chicken' menus to nuggets to traditional chicken sambal matah, offering horeca markets in emerging markets a more localized taste and texture than with alt-products available in the market today.
The potential of non-meat food
According to a recent report from BIS Research, plant-based food sector (plant-based) overall it is expected to reach $480 billion globally by 2024. The plant protein industry is also expected to continue to grow in Indonesia at a CAGR of 27,5% from 2021 to 2027, representing an approximately six-fold increase by 2027, as quoted from Research and Markets.
Historically, plant-based adoption has been stymied through the premium price point it is often associated with. The challenge for competition in this industry is not only the right taste and texture, but also includes improving know-how and manufacturing efficiencies to approach price parity.
“Off Meat tries to solve this long-standing problem, by coming up with an affordable alternative, providing a plant-based protein substitute at at least half the price point of its competitors.”
Also added his views Alpha JWC Ventures Partner Eko Kurniadi, according to him alt-protein take time to be adopted in developing countries because of the premium cost. However, consumers have realized the health value and environmental benefits that the product brings alt-food.
“Now the revolution is almost sweeping the emerging markets, like Indonesia and it is the right time for Off Foods. With its great products, strategy to market strong, and a best-in-class cost structure suitable for developing markets, we believe they are in a strong position to bring the mainstream alt-protein movement to Indonesian households," said Eko.
Previously, startups like Green Rebels were also new get funding to increase its penetration in serving -based food alt protein.