Angela Mancho, CEO of Phoenix Foods: “We convert organic waste into sustainable proteins to boost the bioeconomy with the support of CDTI Innovation”

Every year millions of tons of organic by-products are generated from the agri-food industry, which, in many cases, continue to be treated as waste. At the same time, the growing global demand for protein forces us to look for more sustainable alternatives to raw materials such as soya or fishmeal, the production of which has a significant environmental impact. Solving both challenges at the same time was the starting point for Phoenix Foods, a biotechnology company that is committed to transforming a waste management problem into a new source of resources.

The company was born with the aim of transferring to the industrial field a process that nature has been perfecting for millions of years. Its technology takes advantage of the extraordinary capacity of the black welded fly to transform organic matter into proteins, oils and natural fertilizers, promoting a production model based on the circular economy and the valorisation of waste. "We saw that nature had already solved that problem millions of years ago through the black soldier fly, one of the most efficient bioconverters in existence," explains Angela Mancho, CEO of Phoenix Foods.

The Bioconversion Revolution

The basis of the project is a simple principle: to convert what is today considered a by-product into a new raw material with economic value. To do this, the company uses black welded fly larvae fed with agro-food industry by-products that would otherwise end up being used for composting, landfill or incineration.

For just a few days, the larvae consume this organic matter and transform it into three products of high added value: a high-quality protein for animal feed, an oil with different industrial and nutritional applications and a natural fertilizer for the agricultural soil known as frass. The result is a process that makes the most of available resources and significantly reduces the environmental impact associated with traditional waste management.

The larvae of Hermetia illucens (black soldier fly) are a natural source of healthy proteins and fats

Compared to other conventional systems, this ‘bioconversion’ makes it possible to obtain marketable products without the need to resort to energy-intensive processes. Biology itself carries out the work of transformation, closing the cycle of materials and favoring much more sustainable production models. “With bioconversion instead of ‘treating’ a waste by expending energy and emitting CO₂, we let biology do the job and go out with market products,” the CEO summarizes.

Industrializing a natural process

Although the biological principle is simple, moving it to an industrial scale is a major technological challenge. Working with living organisms involves precisely controlling the breeding conditions, feeding or development of colonies to ensure a homogeneous yield and a constant quality of the final product.

To meet this challenge, Phoenix Foods has developed a system that combines automation, continuous monitoring and genetic improvement. Automation makes it possible to standardize production processes and increase productivity; monitoring facilitates permanent control of environmental conditions and larval development; while genetic improvement seeks to select colonies that are increasingly robust, efficient and adapted to the industrial process.

This set of tools makes it possible to optimize biological performance and ensure stable and homogeneous production, which is essential for manufacturing proteins on an industrial scale.

Circular economy with real impact

Beyond technological innovation, the company’s proposal responds to one of the great challenges of the bioeconomy: producing food and raw materials while reducing the consumption of natural resources. Faced with a model based on cultivating new raw materials or importing them from other continents, the company is committed to taking advantage of existing resources and returning them to the production cycle.

This approach is particularly relevant in sectors such as aquaculture. As Angela Mancho points out, this is “a paradigm shift: instead of waste being a cost with an environmental footprint, it becomes the raw material of saleable products. We reduce carbon footprint, soil and water use relative to conventional proteins, and allow local and decentralized circular circuits.”

Bioconversion process driven by Phoenix Foods

For the company, sustainability is not an added value incorporated into the product once developed, but the principle on which all technology is built. "Sustainability is not a marketing addition to our model: it is in the very logic of the process, because every kilo of protein we produce is part of something that would otherwise be a waste," says the CEO.

Beyond its industrial application, this technology contributes to moving towards a more sustainable production model, aligned with the United Nations Sustainable Development Goals. The reuse of organic by-products, the reduction of environmental impact and the promotion of the circular economy directly connect with goals such as responsible production and consumption (SDG 12), climate action (SDG 13) or industrial innovation (SDG 9).

The impulse of the CDTI Innovation

As with most science-based companies, bringing technology from research to the market requires significant investments and long periods of development. "For Phoenix Foods, NEOTEC has been a driving force at a key time to advance technology and scaling, as well as a seal of quality that opens doors to customers, partners and investors," says Angela Mancho.

Beyond financing, the CEO highlights the role played by this type of initiative to promote female scientific entrepreneurship in sectors of high technological intensity: “Industrial biotechnology and deeptech remain environments where women are underrepresented, especially in leadership positions and in science-based intensive projects.”

In this context, programs such as NEOTEC Women Entrepreneurs of CDTI Innovation contribute to reducing this gap. “That there is a program that specifically drives innovative businesses led by women is critical, and opens the way for other women entrepreneurs. For me, as CEO, having that institutional support is a boost and also a responsibility," he says.

A technology called to transform the bioeconomy

The transition to more sustainable production models is driving the development of new sources of alternative proteins and technologies capable of making better use of available resources. In this context, solutions such as the one developed by Phoenix Foods aspire to play an increasingly relevant role in the transformation of the agri-food industry.

However, the sector still faces major challenges. Achieving greater competitiveness compared to traditional sources of protein, guaranteeing a stable supply of raw materials, advancing the development of the European regulatory framework and promoting market acceptance will be some of the factors that will mark its evolution over the coming years.

For Ángela Mancho, the potential of this technology goes far beyond waste management. "I believe that technologies like ours will be a pillar of the bioeconomy and food security of the coming decades, especially in the decarbonization of the animal feed chain. The demand for sustainable protein will continue to grow, and the insect offers a scalable and circular response," he concludes.
 

CDTI Innovation

The Center for Technological Development and Innovation, CDTI E.P.E. It is the innovation agency of the Ministry of Science, Innovation and Universities, whose objective is the promotion of technological innovation in the business environment. The mission of the CDTI is to ensure that the Spanish business fabric generates and transforms scientific and technical knowledge into globally competitive, sustainable and inclusive growth. In 2025, within the framework of the Strategic Plan 2024-2027, the CDTI provided 2,423 million euros of support to Spanish companies and startups.

 
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