Fostering food tech: Mars-Jerusalem Venture Partners tie-up to fuel innovation with personalized nutrition tipped

16 May 2019 --- Mars Incorporated and international venture capital (VC) fund Jerusalem Venture Partners (JVP) are embarking on a “first-of-its-kind” research and development agreement in Israel. The pioneering partnership promises to spearhead disruptive solutions specific to the array of global challenges in the food system related to agri-tech, nutrition and food security. By exploring the converging fields of food, health and technology, the partnership hopes to fuel the next generation of agriculture and nutrition.

Unlocking opportunities in the emerging space of personalized nutrition is one of the key objectives of the Mars-JVP tie-up. Tackling major global sustainability issues by providing scalable solutions to the challenges of feeding humanity in an environmentally-friendly way is also at the core of the partnership. 

Israel is gaining a high profile as the ideal location to fuel innovation and is indeed considered to be “fertile ground” for agri-food innovation. Investments in the Israeli agri-food start-up sector have boomed from 2014 to 2018, raising almost US$800 million in funding over this period, according to a recent investing report from VC platform AgFunder.

To put that in context, agriculture and food-tech startups raised US$16.9 billion in 2018 around the world, which represents a 43 percent increase over the previous year.

Israel is continuing to grow its presence in the ecosystem, with more than 230 active agri food-tech startups. The country has long been known for its agri-tech prowess and has been at the heart of developing sophisticated farming techniques and technologies, particularly in the fields of irrigation and water-efficiency. 

Due to the country’s location and unfriendly desert climate, agricultural practices prove challenging, yet according to the AgFunder report, Israel continues to rise to the occasion.

The Mars-JVP partnership comes at a critical time for Israel’s growing ecosystem and could lead to an array of new solutions, supporting the concept that food is the next frontier, according to JVP Founder and Executive Chairman Erel Margalit.

“Israel has been a case study for how innovation can change a country and transform the world,” he says. “After building global companies and solutions in cybersecurity, Artificial Intelligence (AI) and big data, Israel has set its sights on food. As food and nutrition needs change around the world, we need to create more nutritious, accessible and sustainable food solutions. And by partnering with Mars, one of the world's most iconic brands at the forefront of innovation, we are confident in Israel’s ability to be the food tech leader of the future.”

JVP has taken 12 companies public on Nasdaq and has been involved in building some of the most successful digital-focused startups that have come out of Israel. 

Mars will support Israeli start-ups and the formation of companies and will work together with leading Israeli academic institutions, including the Hebrew University, the Weizmann Institute, the Technion, Migall and Tel Hai College, to further food tech innovations.

The US global manufacturer of confectionery, pet food, and other food products, wants to leverage leading science and technology as part of its innovation strategy, according to Jean-Christophe Flatin, President of Innovation, Science, Technology & Mars Edge at Mars. It also brings a “legacy of scientific rigor” to science and technology alongside a track record of convening partners to address complex societal issues, particularly those intensified by climate change.

“Our ambition is to provide people around the world with consumer-centric products, services and experiences. One example is personalized nutrition solutions that fit an individual’s lifestyle by reconciling the food they want with the nutrition they need. We are clear that we need forward-thinking partnerships and collaborations to do this,” he says. 

Advances in personalized nutrition
Personalized nutrition is a broad term, which could encompass factors such as gender, age or health condition, to more advanced considerations including personalization based on genetics or gut microbiome. As consumers are increasingly driven by health and wellbeing, personalized nutrition has developed into a major driver in the nutrition industry in recent years with a multitude of NPD in the works and on the market. 

Experts in the personalized nutrition space are pointing to the role of wearable devices, mobile apps and forward-looking options such as genetic profiling, while personalized nutrition was a big theme at this year’s at Vitafoods Europe, as the number of suppliers continue to develop their R&D in this direction. In particular, work is expanding into how to develop adequate delivery methods which have, so far, been lacking, in personalized nutrition. 

A big player such as Mars looking to get a foothold in the space through this JVP agreement demonstrates the mainstream potential that personalized nutrition holds. 

By Gaynor Selby