Milcobel and NoPalm Ingredients partner to valorize whey permeate into sustainable palm oil alternatives
This strategic partnership enables Milcobel to further valorize its whey permeate while securing feedstock for NoPalm Ingredients’ demonstration factory. Building on NoPalm Ingredients’ September 2nd, 2025, announcement, the demo facility is planned to start operations in 2026. In parallel, both companies will explore the feasibility of co-locating NoPalm Ingredients’ first commercial production facility at Milcobel’s Langemark site, targeted for 2028.
17th September 2025 - Kallo, Belgium & Wageningen, Netherlands – NoPalm Ingredients, a biotech pioneer producing sustainable palm oil alternatives through fermentation, has signed a strategic partnership agreement with Milcobel, a leading Belgian dairy cooperative, aimed at scaling the production of circular, sustainable alternatives to palm oil.
The agreement covers two critical pillars:
- A supply agreement for Milcobel’s whey permeate, a cheese byproduct, securing feedstock for NoPalm Ingredients’ demonstration factory in the Netherlands, (starting operations in 2026).
- A joint feasibility study for establishing NoPalm Ingredients’ first commercial factory at Milcobel’s Langemark site, with potential operations by 2028.
From whey permeate to sustainable oils: upcycling dairy by-products
Foodtech startup NoPalm Ingredients has developed a cutting-edge fermentation technology that produces oils and fats identical to conventional palm and other tropical oils, without using any palm-derived raw materials. Instead, the process uses agro-industrial side streams, such as whey permeate. This innovative approach is both circular and low emission, offering a viable alternative to palm oil, which is widely used in consumer products, but often linked to deforestation and environmental degradation.
Industrial trials confirm feasibility of whey-based fermentation
Industrial trials over the past two years have demonstrated the feasibility of using whey permeate as a feedstock for NoPalm Ingredients’ fermentation process. The technology consistently produced oils on specification at industrial scale, confirming compatibility with Milcobel’s streams.
“At Milcobel, our mission is to create the highest possible value for our cooperative members,” said Francis Relaes, Managing Director Milcobel Premium Ingredients. “More than 25 years ago, we made a strategic choice to focus on mozzarella. In 2022, our partnership with Arla Foods Ingredients to valorize whey protein retentate was a further reinforcement of our strategy and a significant step up in the valorisation of our whey permeate sidestream. This new collaboration with NoPalm Ingredients completes the loop: it brings the valorization of whey permeate higher up the value chain, turning it into sustainable, high-value oil ingredients for food and non-food. It not only strengthens our economic model but also reinforces our commitment to circularity principles and better impact for the planet.”
Co-location as a model for circular production
Both companies will further explore the operational feasibility of co-locating a NoPalm Ingredients factory at Milcobel’s Langemark site, including integration with existing infrastructure. By building factories adjacent to food production facilities and using local side streams, NoPalm Ingredients aims to drastically reduce emissions, land use, and waste, while bringing new economic value to existing infrastructure.
“This partnership proves the strength of our co-location model: turning side streams into high-value ingredients where they are generated, reducing transport and sharing infrastructure” said Lars Langhout, CEO of NoPalm Ingredients. “Working with Milcobel shows how a biotech startup and a dairy leader can create true circularity with economic and environmental value on both sides.”
Together, NoPalm Ingredients and Milcobel are showing how biotech and dairy can join forces to create high-value, sustainable ingredients at scale, building a food system that is resilient, circular, and future-proof.
About NoPalm Ingredients
Founded in 2021, NoPalm Ingredients® is pioneering the production of sustainable yeast oils and fats through the fermentation of upcycled agri-food side streams. Headquartered in Wageningen, the Netherlands, their innovative solutions provide a perfect drop-in alternative for palm and other tropical oils used in food, pet food and personal care products. Their proprietary fermentation process, which utilizes non-GMO yeasts and a patented low-CAPEX technology, delivers price parity with palm oil while reducing carbon emissions by 90% and land use by 99%. NoPalm Ingredients® has successfully scaled its technology from lab to industrial scale and is on a mission to create a green parallel oil and fat industry.
For more information, visit www.nopalm-ingredients.com or follow on LinkedIn and Instagram @NoPalmIngredients
About Milcobel
Milcobel is a leading Belgian dairy cooperative and a recognized player on the international dairy market. With around 1,000 passionate employees working across its production sites in Belgium, Milcobel delivers high-quality dairy products to customers in more than 100 countries. The cooperative is committed to quality, safety, customer focus, and sustainability, engaging the entire dairy value chain from milk collection on the farm to production and commercialization. Known for its open dialogue, transparency, and reliability, Milcobel builds strong partnerships to create long-term value. https://www.milcobel.com
Media Contacts
For NoPalm Ingredients: Simone Hendriksen – simone.hendriksen@nopalm-ingredients.com - +31 6 44074387
For Milcobel: Kathleen De Smedt – kathleen.de.smedt@milcobel.com - +32 (0)478 88 44 82