NoPalm's Yeast Derived Palm Oil: Laboratory Flask to Industrial Scale
- Marc Violo
- 1 day ago
- 3 min read
Palm oil's ubiquity masks an environmental catastrophe. Present in half of all supermarket items, palm oil represents two-fifths of all oil produced globally. Yet its production drives rampant deforestation in tropical zones, threatens wildlife habitats, and displaces Indigenous communities. As global supplies have increased tenfold since 1980, the environmental toll has reached a tipping point that regulatory authorities can no longer ignore.
The European Union's impending deforestation regulation, set to take effect in December, will ban imports of products featuring deforestation-linked commodities like palm oil. This regulatory pressure has catalysed a search for alternatives, with fermentation-based solutions emerging as the most promising pathway forward.
The Dutch Innovation
In Wageningen, a Dutch startup called NoPalm Ingredients exemplifies this shift towards sustainable alternatives. The company has developed a proprietary fermentation process using non-GMO yeasts to convert local agricultural sidestreams—potato peels and whey permeate—into oils that can serve as drop-in replacements for palm oil.
The elegance lies in the simplicity: these alternatives cost the same as conventional palm oil, and manufacturers don't need to reformulate their recipes. Such seamless integration addresses one of the primary barriers to sustainable alternatives—the disruption to existing production systems.
NoPalm's journey from concept to commercialisation illustrates the trajectory many biotechnology companies must navigate. Currently operating a 400-litre fermentation-scale pilot line whilst relying on external partners for industrial-scale samples, the company has reached a critical juncture in its scaling process.
Strategic Partnership for Scale
The company's partnership with contract manufacturer Nizo Food Research represents a calculated approach to industrial scaling. Rather than building standalone infrastructure, NoPalm will construct a demonstration facility at Nizo's food innovation campus in Ede. This arrangement exemplifies the collaborative model increasingly adopted by biotechnology firms seeking to mitigate the substantial capital requirements of manufacturing scale-up.
"With this factory, we are taking our technology to technology readiness levels 7 and 8, and bringing the full process under our own control at industrial scale," explains COO Jeroen Blansjaar to Green Queen Media. The facility will enable production of hundreds of tonnes annually, with full-scale capacity exceeding 1,200 tonnes.
The timeline reflects the deliberate pace of biotechnology commercialisation: first industrial production is expected in the second half of 2026, with further scaling planned for 2027 and 2028. The plant will employ 25 people, doubling the company's workforce from its current 25-person team at headquarters.
Addressing Market Realities
The environmental case for palm oil alternatives is compelling. NoPalm's yeast-derived oils generate 90% fewer emissions and require 99% less land than conventional palm oil production. Yet environmental benefits alone rarely drive commercial adoption—economic viability remains paramount.
The company has secured partnerships with established multinational corporations including Unilever and Colgate Palmolive, alongside emerging players like Those Vegan Cowboys.
Under its Revóleo brand, NoPalm currently produces two distinct products: Revóleo Soft, a beige semi-solid microbial oil for food applications, and Revóleo Silk, designed for cosmetics and personal care products.
Industrial Integration Strategy
The factory's design reflects lessons learned from pilot-scale operations. Until now, process steps occurred at multiple locations, creating logistical complexity and cost inefficiencies. The new facility will consolidate the entire production chain under one roof, addressing both speed and cost optimisation.
Chief commercial officer Julie Cortal emphasises the strategic importance of process control: "We have proven that our technology works, and by taking the entire process into our own hands, we maintain maximum control over every step: from raw material to end product."
This vertical integration approach addresses a fundamental challenge in biotechnology scaling: maintaining quality consistency whilst reducing production costs. The facility will provide space for testing new raw materials and process improvements, supporting the iterative development essential to biotechnology commercialisation.
Competitive Landscape
NoPalm operates within an increasingly crowded field of fermentation-based alternatives. Competitors include Palm-Alt, Clean Food Group, Äio, Time-Travelling Milkman, Savor, and Smey, among others. This proliferation suggests both the market opportunity and the urgency of achieving commercial scale.
The convergence of regulatory pressure, environmental consciousness, and technological capability creates a unique moment for sustainable alternatives. Yet success will ultimately depend on execution—translating laboratory breakthroughs into reliable, cost-effective manufacturing processes.
The Broader Implications
NoPalm's trajectory illustrates the complex pathway from biotechnology innovation to market impact. The company's progression from pilot scale to industrial production reflects broader patterns in sustainable technology development, where regulatory frameworks, environmental pressures, and economic incentives align to create commercial opportunities.
The ultimate test lies ahead: whether fermentation-based alternatives can achieve the scale, cost structure, and reliability necessary to meaningfully displace conventional palm oil. NoPalm's factory represents one attempt to answer this question, transforming laboratory innovation into industrial reality.