Mondelez’s SnackFutures Ventures Invests in Cultured Cocoa Biotech Celleste Bio
Mondelez International, obviously a big user of cocoa, was among six participants in a $4.5 million seed financing round in Celleste Bio, an early-stage cocoa-tech company in Israel.
Actually, SnackFutures Ventures, Mondelez International’s venture capital arm, was the investor, along with Supply Change Capital, Consensus Business Group, The Trendlines Group, Barrel Ventures and Regba Agriculture. Celleste will use the funding to accelerate R&D, infrastructure, and technological capabilities needed to pilot and scale the production of its cell-cultured cocoa.
Celleste was founded in 2022 to meet the world’s rising demand for chocolate in the face of supply chain challenges created by climate change and outdated, conventional farming practices. “Celleste uses a combination of AgTech, BioTech and AI computational models to grow 100% natural cocoa from one or two beans in optimal, controlled conditions, year-round,” the company’s announcement said.
“Climate change and conventional farming practices are depleting our rainforests – resulting in unprecedented environmental and financial challenges to grow enough cocoa to meet the needs of a $100 billion – and growing - chocolate industry,” said Michal Beressi Golomb, CEO of Celleste Bio.
Cocoa prices for decades hovered between $2,000 and $3,000 per metric ton. As we reported in October, they began a climb in January of 2023 that broke $12,000 a ton in April. While they’ve moderated since, a recent spike sent the commodity above $9,000, as of yesterday (Dec. 4).
That feature article also has suggestions for replacement of cocoa and other cost savings.
The numbers “underscor[e] the urgent need for sustainable solutions,” said Shayna Harris, co-founder and managing partner at Supply Change Capital. "As the chocolate industry grows over 10% annually, the supply-demand gap is widening. We see this as a pivotal moment for advancements in cellular agriculture and are proud to support Celleste as it leads the way in pioneering innovative, sustainable cocoa solutions.”
“As one of the world’s largest chocolate producers, we are acutely aware of the supply chain challenges we need to overcome to produce our iconic chocolate brands like Milka, Cadbury and Toblerone while also having a positive impact on our business, consumers and the environment,” said Richie Gray, vice president and global head of Mondelez’s SnackFutures Ventures. “While still in its early stages, Celleste has great promise as a complementary technology to traditional farming practices. Combining Celleste’s technology with our unmatched capability and expertise will push the boundaries of what’s possible in building the cocoa supply chain of the future.”