By: Karena Liebetrau & Ema Kosova, 25-06-25

Even while the regulatory landscape on sustainability is in flux, one thing is for certain: producing and consuming food sustainably is a pressing issue on which both human and planetary health depend.

With six of the nine planetary boundaries transgressed, companies in the food sector are increasingly exposed to risk. It's not a question of when sustainability will be a legislative priority again, but whether your company is ready when it is (Rasche, 2025). Now, more than ever, is a time to embrace sustainability, move beyond compliance and place it at the core of your business strategy.

In this blog, we explore how upcycled ingredients can be a powerful tool in your sustainability strategy, helping your company meet environmental goals, appeal to consumers, and create innovative and nutritious products that people love.

How do Upcycled Ingredients Contribute to Sustainability?

1) Reducing Food Loss & Waste

The world’s population is growing and the demand for food is rising. Yet according to the UN, around one third of all food is wasted, with 13.2% percent of food produced lost in the supply chain prior to retail. Together, food loss and waste are a major source of emissions, contributing to 8-10% of greenhouse gas annually.

Upcycling repurposes edible byproducts that would otherwise go to waste (e.g., spent grains from brewing, fruit pulp from juice production, used coffee grounds) by turning them into new nutritious and delicious ingredients. Giving these materials a second life maximises the use of edible resources, meaning that more food ends up on our plates rather than in the bin.

2) Lowering Environmental Footprint

Discarding edible side-streams is not just a waste of nutrition, but also a waste of the energy and land used to grow and produce them in the first place. On the flip side, a core benefit of upcycled ingredients is that, often, almost no virgin land and resources are required to produce them.

For example, replacing 1kg of regular flour with upcycled Agrain spent grain saves 2 squared metres of farmland (Agrain LCA, 2023). This makes the integration of upcycled ingredients a straightforward and effective strategy for reducing the environmental impact of food production.

Environmental impact of Agrain ingredients vs conventional flour ingredients. (Source: Agrain LCA).

3) Supporting Healthy Diets

Alongside planetary health, human health is integral to sustainable food systems. The food we produce should preserve natural resources while also sustaining us, by providing the energy and nutrients that people need to thrive physically and mentally.

Diets rich in plant-based and nutrient-dense foods contribute to better health outcomes, including reduced rates of chronic diseases like obesity, diabetes and heart disease. Upcycled ingredients contribute by turning nutrient-rich byproducts into valuable foods. Just think of anti-oxidant rich cascara, a byproduct of coffee production, and high-fiber brewers' spent grain!

Upcycling unlocks a world of nutrients with minimal environmental damage, further preventing health risks associated with pollution of water, land and air from high-impact methods of food production. Using upcycled ingredients thus contributes to better health of people and planet!

Why Upcycling is Good for Food Business

Valorising unused sidestreams and incorporating upcycled ingredients in place of conventional ones is one of the most effective ways to reduce environmental impacts in food production, while offering economic benefits too.

Align with Sustainability Goals

Incorporating upcycled ingredients aligns with global sustainability frameworks like the United Nations’ Sustainable Development Goals (SDGs), particularly Goal 12 (Responsible Consumption and Production), Goal 13 (Climate Action), Goal 2 (Zero Hunger), and Goal 3 (Good Health & Well-Being). Aligning with the SDGs signals commitment to sustainability and responsibility, which is is likely to enhance brand reputation and customer loyalty.

How upcycled ingredients support the UN Sustainable Development Goals.

Stand Out on the Market

Consumers are increasingly prioritising products that take action on sustainability (Innova Market Insights), while upcycled foods are becoming trendy, too. By integrating upcycled ingredients, your company can appeal to this growing demographic and establish itself as an industry leader.

Under CSRD regulations, large companies will soon be required to document their environmental and social impacts in detail. Similarly, the anticipated Green Claims Directive requires all sustainability claims to be substantiated with verifiable environmental impact assessments.

Adopting upcycled ingredients is an opportunity for food companies - both large and small - to considerably reduce value chain impacts in a measurable way and jump ahead of the sustainability curve as front-runners in circular food solutions.

Create Economic Value

Upcycled products not only reduce waste but also open new sources of revenue. By revaluing sidestreams as premium, sustainable products, companies can turn what was once a cost into profit. Dealing with food loss and waste is a top priority for innovation and new solutions.

When scaled up, upcycled ingredients are likely to be as affordable as - if not cheaper than - their conventional counterparts. With increasing supply and improved processes, we’re already seeing signs that prices will level out. Estimates suggest that the upcycled food products market size could reach $97 billion by 2031 as production costs decrease and consumer demand rises.

Sustainable Innovation with Agrain Spent Grain Ingredients

At Agrain, we combine innovation and sustainability to provide delicious and nutritious food solutions using upcycled spent grain ingredients. We collaborate with companies that want to add culinary value to their food products while also delivering on their sustainability goals.

Case studies: How Agrain's customers have implemented upcycled ingredients with sustainability in mind.

Our international collaborations demonstrate the variety of ways in which upcycled ingredients can be an asset that inspires innovation, adds value, and propels food production in a sustainable direction. See how our partners and customers use Agrain to create sustainable, innovative and delicious products on our 'Case Studies' page.