Netherlands-based NoPalm Ingredients has entered into an agreement with Milcobel, a Belgian dairy cooperative, to process whey permeate.
Under the partnership, Milcobel will supply whey permeate, a by-product of cheese production, to NoPalm Ingredients’ demonstration plant in the Netherlands.
The plant is scheduled to begin operations in 2026.
Also included in the agreement is a joint feasibility study to assess the establishment of NoPalm Ingredients’ first commercial-scale facility at Milcobel’s Langemark site in Belgium, with potential operations from 2028.
The companies said that co-location of facilities could allow direct processing of whey permeate at the production site.
NoPalm Ingredients has developed a fermentation technique capable of generating oils and fats that mimic the properties of palm and tropical oils, all without relying on palm-based substances.
The method utilises by-products from agriculture and industry, such as whey permeate, and is characterised as sustainable and low in emissions.
Over the last three years, industrial experiments have examined the use of whey permeate as a raw material.
These trials demonstrated that oils could be produced on a large scale and integrated effectively with Milcobel’s supply chains.
Milcobel Premium Ingredients managing director Francis Relaes said: “At Milcobel, our mission is to create the highest possible value for our cooperative members. More than 25 years ago, we made a strategic choice to focus on mozzarella.
“This new collaboration with NoPalm Ingredients completes the loop: it brings the valorisation 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 a better impact for the planet.”
The two companies intend to persist in analysing whether establishing a NoPalm Ingredients plant in Langemark is technically and operationally viable, considering how it might integrate with current infrastructure.
By situating production close to food processing units and utilising local by-products, they aim to cut down on emissions, minimise land usage, and reduce waste, all while offering a new purpose for existing facilities.
NoPalm Ingredients CEO Lars Langhout said: “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.
“Working with Milcobel shows how a biotech startup and a dairy leader can create true circularity with economic and environmental value on both sides.”
