DouxMatok increases $22M to commercialize its sugar reduction technology

DouxMatok, an Israel-based food-era startup, has raised $22 million to start massive-scale production of its sugar reduction solution because it commercializes the product in Europe and North America.
The enterprise’s first product can reduce up to 40% of the sugar content in diverse foods and baked goods while preserving the identical taste profile, in line with an announcement. In addition, DouxMatok is planning to increase its technology to include extra products and flavors, including salt.
The investment sphere was changed to be led by BlueRed Partners from Singapore. Other strategic investors encompass Südzucker AG, the biggest European sugar employer; Royal DSM, a global leader in technology-based total nutrition; and Singha Ventures, a corporate venture fund of one of Thailand’s biggest food and beverage conglomerates.
Dive Insight:
As consumers become increasingly involved with extra sugar in their diets, agencies are trying to find a solution that won’t negatively affect product flavor. With the investment DouxMatok obtained, the organization will likely be capable of quick-scale-up manufacturing. If it could deliver on its claims of lowering 40% sugar content in a food product without altering the flavor, mouthfeel, or texture, it could entice the interest of many CPG brands worldwide.
According to surveys, about seventy-one % of clients study the sugar content on labels, and 46% want to reduce their sugar consumption. Currently, meals and beverage corporations have invested in developing synthetic sweeteners. Stevia has been an outstanding substitute, but the non-caloric sweetener and similar merchandise have left consumers with a bitter taste. DouxMatok claims its merchandise does not have an equally off-putting aftermath.
Despite consumers’ choice to reduce sugar for fitness motives, taste is still important. This should provide a primary benefit for DouxMatok. Analysts have said that taste and the wonder that sugar offers are one of the most crucial aspects when it comes to buying choices. According to the FDA, Americans consume more than 13% of their daily calories from added sugars.
But DouxMatok is not by one in launching sugar-discount innovations. Ingredion added a line of low-sugar glucose syrups years ago to assist meal manufacturers in lessening the amount of sugar shown on Nutrition Facts panels, which the FDA requires to be indexed on product packaging as a part of the updated label starting in 2020 and 2021. Additionally, Kerry evolved TasteSense, a herbal flavoring solution designed to bring back sweetness lost when sugar is decreased. These products suggest there can be a lot of opposition to DouxMatok’s availability on the market.
However, with most CPG corporations inquisitive about sugar reduction and many prioritizing it, there might be an opportunity within the marketplace for more than one option.
Danone recently added a Greek low-fat yogurt with grams of sugar known as Two Good, and Kind has been operating to reduce the sugar content in its products for years. Additionally, Nestlé researchers have engineered hollow and rapid-dissolving sugar molecules to permit manufacturers to reduce by 40%, much less, without reducing their products’ beauty, which sounds just like DouxMatok’s era. Finally, last year, the Swiss food giant released its first chocolate bar made with its new sugar discount technology within the U.K. and Ireland.
The modern-day investment round wasn’t the first for DouxMatok. In 2017, the company acquired $8.1 million to boost manufacturing of its sugar-discount era. More of the latest investment sphere will go closer to its R&D work on salt reduction. Although there is opposition to other salt-reducing technologies, if the enterprise establishes its popularity with sugar, salt, and different improvements, it could quickly gain momentum.