Food tech startups in the Philippines are changing how the agricultural and hospitality industries operate, creating opportunities and solutions for farmers, the local economy, and other sectors. According to Statista Research, the country's food market will reach USD 138.40 billion in 2024.
The Philippines is a diverse country where citizens cannot succeed with a one-size-fits-all solution to problems. Understanding local needs and taking a tech-based approach to solving food-related needs is essential.
Below are 5 Filipino food tech startups that are positively impacting the country:
CloudEats
The largest cloud kitchen in the Philippines, CloudEats, stands as a testament to innovation. It offers online-optimised menus for its brands, sharing kitchen spaces to reduce operational costs while serving its customers well. The brands it hosts, including 24/7 Eats, Pia's Kitchen, Casa Crawford, Healthy Appetite, and Burger Beast, are all pioneers in their own right.
CloudEats raised USD 7 million from Nordstar in 2022 to digitalise food services in Southeast Asia. Its backend tech solution enables it to manage its brands on its platform. The company is also looking to invest in more technology to scale its business.
FoodFlow
The Philippine Food and Drug Administration registered FoodFlow as a food manufacturing, import, and export company in 2005. It is a privately held company with 51 to 200 employees working in South Science Avenue, Santa Rosa, Laguna Technopark. FoodFlow innovates sustainable food alternatives like plant-based meats, dairy-based beverages, and ready-to-eat meals and sauces.
It provides finished goods and raw materials to retail markets, restaurants, and hospitality and service companies. Since Filipinos are adopting healthier and more nutritional lifestyles, it aims to deliver customised, eco-friendly, and nutritious food products. Moreover, it will continue to fund innovation to enable food businesses to incorporate plant-based menus.
Kita
Agritech company Kita is revolutionising the agricultural sector in the Philippines through its supply chain solutions. It takes food and farm produce from farmers and distributes it to the top 100 hotels and restaurants. It integrates modern technology like artificial intelligence (AI) and Big Data to provide a reliable supply of fresh and affordable produce.
Kita raised USD 3 million from Gentree Fund and Altara Ventures to further digitalise the agricultural sector and enable market access for farmers. Furthermore, the company aims to improve inventory management and logistical efficiency and reduce operational costs. The supply chain is fragmented, but Kita's approach can deliver sustainable income to stakeholders.
Worth the Health (WTH Foods)
Plant-based company Worth the Health (WTH) Foods engages in food innovation, delivering a sustainable alternative to animal protein sources. It provides meat-like products made from soy, microalgae, and wheat as substitutes for sausages, ham, corned beef, and others. Examples of its products include meat-free burger patties, mung bean-based ground meat, fish-free tunas, mango cashew granola clusters, and more.
It believes plant-based alternative proteins are healthier, eco-friendly, economically beneficial, and helpful to farmers. The company aims to export its products to countries like Thailand and Singapore before supplying Middle Eastern, European, and North American nations. WTH Foods is a portfolio company for Big Idea Ventures (BIV), an investment firm.
Kraver's Canteen
Cloud kitchen services provider Kraver's Canteen is changing how Filipinos eat by providing freshly delivered pre-ordered meals. It offers bundles such as Krave Daily for budget meal plans, Corporate Canteen for bulk daily meals, and the Six Pack Chef for healthy, restaurant-quality meals. Moreover, it has a transparent breakdown of ingredients, an encrypted wallet and a pre-order system.
In 2022, Kraver's Canteen secured a USD 3 million investment from Quest Ventures Asia Fund II. The investor was impressed by the leadership team and the company's tremendous commercial potential, with plans to expand and build 100 cloud kitchens by 2025. Filipino investment firm Foxmont Capital Partners also has Kraver's Canteens in its portfolio.
Future outlook for the Philippines' food industry
A Statista Research study on climate change found that the Philippines led the way in the Association of Southeast Asian Nations (ASEAN), with 73.8% considering the threat serious and immediate. The country must find alternative solutions since supply chain disruptions, inflation, geopolitical tensions, adverse weather changes, and more can hamper the region's food supply.
Filipino leaders must fund and support innovative technologies in various industries. They should also consider updating the laws to make it easier for investors to financially back emerging businesses with the potential for success.
The emergence of food tech startups in the Philippines offers long-term sustainable food options, tackles food insecurity challenges, and supports local farmers and businesses. However, stakeholders must prioritise eco-friendly methodologies and recyclable packaging to ensure a sustainable future.
Entrepreneurs opening food tech startups are not just creating jobs and generating tax revenue, but also bringing unique products to the market, making the economy more competitive. Their efforts are a beacon of hope for the future of the industry and the local economy.
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