Phyconomy: Seaweed Industry Is On The Rise

Phyconomy: Seaweed Industry Is On The Rise - Carbon Herald
Photo by Francesco Ungaro from Pexels

According to a report issued by information portal Phyconomy, investment in the seaweed industry has seen a massive increase in 2021. The full report is available through this link.

Venture capital funding jumped 36% reaching a total of $168 million, and the number of investment deals doubled last year. 

The numbers are indicative of ever-growing interest in the budding seaweed industry, with impact investors already enjoying overrepresentation in the sector and the number of traditional venture capital firms steadily increasing.

The data published by Phyconomy also demonstrates the world’s recognition of microalgae and seaweed’s role in sequestering carbon from the atmosphere – a critical means of mitigating climate change. 

In addition to its vast potential for carbon sequestration, seaweed is a crop that has a great many more applications such as food, textiles, pharmaceuticals, construction, etc., which is why it is today often referred to as the biomass of the future. 

Investment numbers might still be comparatively small, but the upward trend is certainly noteworthy and holds promise of more to come. 

For example, the number of Series A and B funding rounds has increased ninefold (from 1 to 9) and the number of seed rounds has nearly doubled. 

As a portal dedicated to covering the entire seaweed value chain, Phyconomy is currently tracking over 1,000 companies around the world. 

Relevant: New Carbon Capture Technology Uses Algae To Offset Industrial Emissions

The database is both open-access and open-source and is the first of its kind. 

Notable companies included in it are start-ups like Norwegian biorefinery Alginor and Sea Forest in Australia, both of which are leaders in the funding rounds with $33 million and $26 million raised, respectively. 

Relevant: Microalgae Found To Remove Thousands Of Tons Of Carbon

Close behind are New Wave Foods in the US that specialize in producing plant-based shrimp with $18 million raised and the bioplastics manufacturer Notpla in the UK, having secured $13.5 million.

Although the seaweed industry is clearly dispersed throughout the world, Europe is evidently shaping up to provide the liveliest ecosystem for seaweed startups. 

Phyconomy’s report and detailed analysis of the seaweed industry highlights the enormous potential that seaweed has to be developed as an effective climate solution.

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