Startup Battlefield company ÄIO invented a method to make edible fat from ag waste like sawdust

ÄIO, a startup from Estonia named after the Estonian god of dreams, has developed an innovative process to convert agricultural waste such as sawdust into edible fats suitable for the food and cosmetic industries. This technology offers a sustainable alternative to palm oil, whose production has led to significant environmental damage, including deforestation of rainforests. The company’s founders, including former Tallinn University of Technology professor Lahtvee and scientist Bonturi, engineered a microbe capable of fermenting sugars derived from agricultural waste to produce fats with a profile similar to chicken fat. The process can also be adjusted to create liquid oils, potentially replacing oils like canola or rapeseed. Since its commercial launch in 2022, ÄIO has raised approximately $7 million, won the 2024 Baltic Sustainability Award, and attracted interest from over 100 companies worldwide. The startup is now focused on scaling production with plans to build a commercial facility by 2027 and licensing its technology to food and cosmetic manufacturers.