In early 2016, Uma Valeti stood in a professional kitchen staring at a pasta dish with a small meatball sitting on top. Except for the professional presentation, the dish looks rather ordinary, almost traditional. Yet there was nothing traditional about this dish \u2013 this was the world\u2019s first meatball to ever be made without involving an animal. Instead, Uma\u2019s startup, Memphis Meats, which is ironically based in the San Francisco, had grown this meat in a lab.<\/p>\n
Following this demonstration, and the accompanying promotional video, venture capitalists were clamoring to invest in Memphis Meat, which soon raised $2.75M in an over-subscribed seed round[1]<\/a>. Looking past the natural skepticism of meat grown in a lab, the startup sees a more environmentally friendly world where animals would no longer need to be raised for consumption, while still allowing people to enjoy steaks and burgers.<\/p>\n Green House Gas (GHG) emissions associated with livestock accounts for 18% of global emissions,[2]<\/a> greater than the combine impact of all cars, trucks, planes, and boats. Additionally, livestock\u2019s impact will continue to increase as the global population rises, and as diets shift to include more meat, driven by rising incomes in developing nations.<\/p>\n In contrast, cultured meat has 78% lower GHG emissions compared to chicken (the animal with the lowest GHG footprint), and 96% lower GHG emissions compared to beef. [3]<\/a> Given this radically improved carbon footprint, many people are optimistic about the future potential of cultured meat to play a meaningful role in slowing down climate change.<\/p>\n Why does livestock have such a drastic impact on the environment? The sources vary, with the primary drivers being[4]<\/a>:<\/p>\n Cultured meat is able to provide such promise because it avoids all of these conventional drivers of GHG emissions.<\/p>\n In addition to environmental benefits, cultured meat has significant humanitarian benefits. Besides the obvious issue of animal cruelty, demand for food will continue to increase with the rise in population, yet 12.9% of the population today is undernourished. Though this is a complex issue, one of the causes is that plant-based calories that could be used to feed people are instead used to raise livestock. The problem is that this process is inefficient, with 20 calories of feed used to create a single calorie of beef protein \u2013 a 20x Protein Conversion Ratio[6]<\/a>. In contrast, Memphis Meats claims they have achieved a 3x Protein Conversion Ratio[7]<\/a>.<\/p>\n With so many potential benefits to cultured meat, there are still some major hurdles. The first hurdle is getting the cost down to a price point attractive to consumers. At a reported $18K\/pound[8]<\/a>, Memphis Meat is not likely to be in stores soon. This must be priority #1 for Memphis Meats. However, some optimism is justified – Professor Mark Post of Maastricht University developed a cultured meat burger patty in 2013 at a cost of ~$1.1M\/lb[9]<\/a> [10]<\/a> and believes that the next version will drastically drop to a cost of just $28\/lb[11]<\/a> [12]<\/a> through economies of scale and improved technology.<\/p>\n Once they have cracked the cost challenge, Memphis Meats should focus on ensuring the quality of their product. For starters, taste is king, and Memphis needs to start incorporating fats to add flavor to their meat. In addition to flavor, they need to make sure it has an enjoyable texture. It is smart of them to create a meat ball first, since it is easier to emulate the texture of ground beef than a steak. However, once they have a product to compete with ground beef, they should work on developing products that emulate the feel of steaks, particularly since steaks command a premium price over ground beef. Finally, they need to address the \u2018ick\u2019 factor. This starts with having a good product to generate positive word-of-mouth. They should also get the endorsement of famous chefs, then partner with environmental groups and have them encourage people to try the product.<\/p>\n Though many challenges lay ahead, the initial results appear promising. With massive environmental benefits and $105B annual spend on beef in the US alone[13]<\/a>, environmentalists and investors alike are eager to see startups like Memphis Meats succeed.<\/p>\n <\/p>\n Word Count: 703<\/p>\n [1]<\/a> Burwood-Taylor, Louisa, \u201cMemphis Meats Closes Seed Round Oversubscribed on $2.75m, Expects Huge Demand for Cultured Meat,\u201d AgFunderNews, February 11, 2016, [https:\/\/agfundernews.com\/memphis-meats-closes-seed-round-oversubscribed-on-2-75m-expects-huge-demand5360.html], accessed November 2016<\/p>\n [2]<\/a> Hanna L. Tuomisto and M. Joost Teixeira de Mattos, \u201cEnvironmental Impacts of Cultured Meat Production,\u201d Environtal Science Technology<\/em> 45 (14), 6117\u20136123 (2011): ACS Publications via Google Scholar, accessed November 2016<\/p>\n [3]<\/a> Ibid<\/p>\n [4]<\/a> STEINFELD, H. (2006). Livestock’s long shadow: environmental issues and options<\/em>. Rome, Food and Agriculture Organization of the United Nations. pg 113<\/p>\n [5]<\/a> Includes manure management, manure application\/deposition, and indirect manure emission<\/p>\n [6]<\/a> David Tilman & Michael Clark, \u201cGlobal diets link environmental sustainability and human health,\u201d Nature<\/em> 515, 518\u2013522 (27 November 2014): Nature via Google Scholar, accessed November 2016<\/p>\n [7]<\/a> Michal Addady, \u201cYou Could Be Eating Lab-Grown Meat in Just Five Years,\u201d Fortune<\/em>, February 2, 2016, [http:\/\/fortune.com\/2016\/02\/02\/lab-grown-memphis-meats\/], accessed November 2016<\/p>\n [8]<\/a> Grant Burningham, \u201cLab-Grown Beef Will Save the Planet \u2014 and be a Billion-Dollar Business\u201d, Newsweek<\/em>, February 28, 2016, [http:\/\/www.newsweek.com\/2016\/03\/11\/lab-grown-beef-will-save-planet-and-be-billion-dollar-business-430980.html], accessed November 2016<\/p>\n [9]<\/a> ABC Rural \u201cMark Post of Maastricht University in the Netherlands has developed synthetic beef patties\u201d March 26, 2015, keynote, http:\/\/www.abc.net.au\/news\/2015-03-27\/mark-post-synthetic-beef\/6352860<\/a>, accessed November 2016.<\/p>\n [10]<\/a> \u20ac250K for a 5oz patty; assumes the 2013 average exchange rate of 1.33 euro\/USD<\/p>\n [11]<\/a> ABC Rural \u201cMark Post of Maastricht University in the Netherlands has developed synthetic beef patties\u201d March 26, 2015, keynote, http:\/\/www.abc.net.au\/news\/2015-03-27\/mark-post-synthetic-beef\/6352860<\/a>, accessed November 2016.<\/p>\n [12]<\/a> \u20ac8 for a 5oz patty; assumes the 2015 average exchange rate of 1.11 euro\/USD<\/p>\n\n