Greencovery raises €1M to scale cocoa waste

Dutch startup Greencovery has raised €1 million in funding to scale its technology for upcycling cocoa waste. The company, founded in 2018, transforms food industry byproducts into higher-value functional ingredients.

North Holland’s regional development agency, ROM InWest, joined existing investor Brightlands Venture Partners and a private investor in the round. Greencovery is now targeting a follow-on financing round of up to €3 million to fund full-scale commercial manufacturing.

From sidestreams to ingredients

Greencovery uses a mild chemical-physical separation process to analyze and transform food industry sidestreams. The technology, developed at Wageningen University, uses less water and energy than standard methods. It turns waste into proteins, fibres, fats, and flavours with improved taste and stability.

Managing director Carlos Cabrera stated the company has proven its technology across coffee, oil press cakes, and nuts. "But cocoa is where we are reaching commercial scale," he said. The startup's first products included a banana extract from vinegar waste and an umami flavour from parmesan rinds.

Targeting the cocoa crisis

The move into cocoa comes as the commodity faces severe pressure. In 2024, cocoa stocks hit a decade low and prices reached record highs. Approximately 70-80% of the cacao fruit is discarded during chocolate production, despite its nutritional value.

Greencovery is developing three specific ingredients from cocoa sidestreams to give manufacturers an alternative amid price volatility. The products also help meet demand for natural flavours and reduced-sugar items.

Scaling with regional partners

The company plans to leverage its location in the historic European food processing hub of Zaandam, North Holland. The region generates over 350,000 tonnes of food-grade sidestreams annually. Cabrera explained that bringing ROM InWest into the funding round connects Greencovery directly to this industrial network.

Bas Kalshoven, investment manager at ROM InWest, said upcycling sidestreams into functional ingredients instead of incinerating them supports a circular food system. "Deploying this technology with an industrial partner in North Holland is a prime example of regional collaboration," he noted.

Greencovery has validated initial commercial batches with key clients. It is now expanding operations with a strategic manufacturing partner to reach a processing capacity of 1,000 tonnes. The startup's approach contrasts with other companies developing cocoa-free alternatives or using cellular agriculture. For instance, Denmark’s Endless Food Co uses cacao fruit shells and other sidestreams to make a chocolate alternative.