Fermented proteins: Nosh.bio on cost, performance and hybrid meat potential

Germany-based Nosh.bio leverages Koji mycelium, a type of mycoprotein, to produce minimally processed proteins suited for vegan and hybrid applications. From improving texture and nutrition to enabling cost-efficient reformulation, the company’s approach is designed to integrate seamlessly into existing production lines rather than requiring “parallel alt-protein” systems.

Fermentation is rapidly shifting from a niche alternative protein strategy to a crucial part of the mainstream food manufacturing toolbox. Cost pressures, sustainability targets, and consumer clean label demands are driving food producers to explore fermentation-derived proteins for reliable functionality, scalability, and price competitiveness over traditional plant-based ingredients.

Manufacturers are increasingly utilizing fermentation in applications such as meat substitutes. About 20% of these products have fermented or microbial ingredients, indicates Innova Market Insights data. Cultured and microbial ingredients, especially mycoprotein, have experienced significant growth and are now featured in many products.

Food Ingredients First discusses the evolving fermentation landscape with Felipe Lino, co-founder and CTO of Nosh.bio, to explore how the manufacturing process is moving into the mainstream and pinpoint where hybrid applications are unlocking the strongest commercial value.

How do you see fermentation becoming part of the mainstream manufacturing toolbox rather than a separate category?

Lino: Fermentation is becoming part of the mainstream manufacturing toolbox because it solves three long-standing industry barriers at once: cost, functionality, and scalability.

As fermentation scales, it achieves far steeper cost reductions than plant-based ingredients, since microorganisms, like fungi, grow rapidly on low-cost feedstocks and require minimal processing. The rapid growth of fungi compared to plants enables more batches to be produced with the same facilities in a given amount of time. This enables price parity, or even a cost advantage, over animal ingredients, making fermentation-derived proteins commercially viable rather than niche alternatives.

Fermentation-produced proteins naturally deliver meat-like texture without extrusion or additives, says Lino.Fermentation also produces minimally processed materials that naturally deliver the texture, juiciness, and flavor of meat, without extrusion or additives. This makes it easier for manufacturers to blend these ingredients into their existing recipes and production lines, as true drop-in solutions, rather than having to build parallel “alt-protein” processes.

Fermentation also unlocks unique, bio-identical or functional molecules that conventional plant proteins cannot provide, enabling new levels of performance in hybrid applications.

Finally, the ability to reuse existing fermentation infrastructure, such as breweries, makes scaling both fast and capital-efficient, turning fermentation from a specialized category into a practical and reliable tool for large-scale food production. In short, fermentation is entering the mainstream because it fits the industry’s real needs: affordable, functional, and scalable ingredients that integrate seamlessly into today’s manufacturing systems.

What industry and consumer factors are driving interest in fermentation-derived proteins?

Lino: Interest in fermentation-derived proteins is growing because they address several pain points for both industry and consumers, especially around clean label, transparency, affordability, and sustainability.

For consumers, the first wave of plant-based products created an appetite for alternatives but also scepticism. Many shoppers want to reduce their meat consumption, yet they are increasingly wary of long ingredient lists, additives, and products labeled as ultra-processed. Fermentation offers a clear path out of this tension by producing minimally processed, single-ingredient proteins with familiar, natural origins. This reassures consumers that they are choosing something both healthier and easier to understand.

On the industry side, manufacturers are looking for ingredients that deliver reliable taste, texture, and functionality without requiring complex formulation work. Fermentation-derived proteins offer consistent performance while enabling simpler labels and cleaner recipes, a clear advantage when retailers and regulators are pushing for more transparency. Additionally, the combination of cost competitiveness and lower resource intensity makes fermentation attractive to partners looking to meet sustainability targets without compromising on price or product quality.

Cost competitiveness, reliable functionality, and lower environmental footprint are primary demand drivers. Partners seek taste/texture parity and clean label functionality at scale while reducing environmental impact at an affordable price.

How does Koji mycelium operate as a fermented protein source, and what advantages does it offer over plant or animal proteins in formulation?

Lino: Koji mycelium functions as a fermented protein source by growing natural fungal fibers through a fermentation process. The result is an ingredient with a uniquely meat-like structure and a nutritional profile that outperforms both plant and animal proteins in several areas.

Nosh.bio’s Koji protein contains around ten times less saturated fat and significantly lower cholesterol than beef (Image credit: Nosh.bio).Fermentation-derived proteins offer strong nutritional advantages by providing high-quality protein and fiber with far lower saturated fat and cholesterol than meat. Nosh.bio’s Koji protein, for example, contains around ten times less saturated fat and significantly lower cholesterol than beef, making it a naturally healthier choice for modern formulations. Functionally, Koji mycelium stands out from other mycoproteins because it naturally forms long, aligned fibers that replicate meat texture. It also brings an inherent umami flavor that can be maintained or made neutral depending on the application, enabling versatility across categories, from meat and seafood analogues to dairy, chocolate, and bakery.

Koji integrates easily into both vegan formulations and hybrid applications, improving texture, nutrition, and binding while keeping recipes clean label and simple. This makes it a powerful, multifunctional ingredient for modern food formulation.

What is your take on hybrid applications compared to purely plant-based or purely fermented solutions?

Lino: Hybrid meat offers a middle ground between conventional meat and plant-based or purely fermented alternatives. Rather than asking consumers to commit fully to plant-based or cultivated options, hybrid products blend real meat with sustainable proteins like Koji mycelium. This allows people to reduce their meat intake without changing how they cook or what they enjoy, retaining a familiar cooking and eating experience that can be more easily accepted by consumers.

Our own data highlights this clearly: over 80% of consumers say our hybrid mince tastes just like beef, and that they would eat it again. This level of familiarity and repeat intent shows how effectively hybrids match consumer expectations.

Nutritionally, hybrids benefit from the overall strengths of Koji protein, including reduced cholesterol and fat (up to 20%), 17% protein, and 3% added fibers and beta glucans in our hybrid recipe; while delivering the same protein per calorie as conventional mince and maintaining the cooking behaviour and formats consumers already know.” In essence, hybrid applications are not a compromise but a bridge; they enable meaningful dietary shifts while delivering margin-improved products that remain true to familiar taste, texture, and use.

Where do you see hybrid formats unlocking the most near-term value: ground meat, processed foods, ready meals, or something else?

Lino: Hybrid formats create the strongest early commercial value in processed foods and ready meals. These segments allow manufacturers to adopt hybrid ingredients with minimal formulation complexity, while giving consumers clear, ready-to-eat examples of how hybrid mince can be implemented across different cuisines. This visibility helps to familiarize consumers with the format and accelerates the acceptance of ground-meat alternatives.

Ground meat represents the next key growth area. Because hybrid mince already mirrors the experience of conventional beef, it becomes a straightforward step for consumers once they have encountered it in the foodservice or prepared dishes. Only a handful of ingredients can deliver this level of performance, and Koji mycelium is one of them, due to its natural fiber structure, clean flavor, and ability to integrate smoothly into existing meat processes.