Israeli food tech startup Better Juice is finally preparing to bring its first reduced sugar juices to U.S. consumers. The Rehovot-based company announced today that it has signed its first commercial partnership with an unnamed U.S.-based juice manufacturer to begin producing beverages using its patented sugar-reduction technology in the coming weeks.
Founded in 2018 by food scientist and CEO Eran Blachinsky and COO and VP of business development Gali Yarom, Better Juice produces a proprietary, non-GMO enzyme that can convert the fructose, glucose and sucrose found in juice into prebiotic fibers and non-digestible sugars. The biotechnology, the company claims, can reduce sugar content by up to 80% while retaining vitamins in order to provide full nutrition.
The company previously raised $8 million in a seed funding round this summer and has also partnered with machinery maker GEA Group to develop specialty equipment to deploy the enzyme. The machinery has a production capacity of 200 liters per hour.
“This new agreement marks an exciting milestone in our mission to get our sugar-reduction technology off the ground, to penetrate the U.S. market, and to expand our global footprint,” Blachinsky said in a press release. “We’ve officially launched our drive to help consumers enjoy reduced sugar in their favorite fruit juice.”
According to the release, the first commercial order will produce natural juices with a 30% minimum sugar reduction and the beverages are expected to be available in retail by spring 2022.
Reached via email, Blachinsky and Yarom said the launch is on track with its go-to-market strategy, but did not provide specifics on how deeply the company expects to penetrate the market next year.
They noted that most of the products produced through this partnership will be under other brand names, with some private label production also lined up. However, as the company focuses on growing a business-to-business model, the products will not use the Better Juice name.
“Better Juice will revolutionize the juice industry, in 2022 we will start to drink and eat reduced sugar products using Better Juice technology,” they wrote to BevNET. “It’s a major change!!! Come and join our revolution!”
Speaking to BevNET in June, Blachinsky said the seed funding is being used to build a full-scale enzyme manufacturing plant in Israel, which will increase production by 40x. In addition to consumer packaged beverages, he noted that Better Juice also has its eye on selling to ingredient suppliers, noting that reduced-sugar juices could be used to make ice creams, jams, powders and more.
As consumers aim to reduce their sugar intake, the juice category has been among the hardest hit in the beverage industry. According to a recent Kerry Tastesense report, there has been a 44% increase in the number of low or reduced sugar beverage products since 2015. Globally, 30% of consumers said they are cutting back on the amount of sugary beverages they drink.