Foodtech: the winning union between food and technology

Born from the combination of new digital technologies with the agri-food industry, the Foodtech sector has witnessed truly astonishing growth that shows no signs of slowing down. It is, in fact, a continuously evolving field that is radically revolutionizing our approach to the world of food, from cultivation processes to catering and retail product sales. The path of digital innovation is truly indispensable for a company that wishes to keep pace with the times and have all the necessary tools to meet the new market demands.

This article provides a general overview of the topic, focusing on these key aspects:

  • the meaning of Foodtech
  • an overview of investments and the scenario
  • the main macro-areas it encompasses
  • the most interesting start-ups.

What is Foodtech

The Foodtech sector is a hybrid of two realms: agri-food (food) and cutting-edge technology (tech). It unites these seemingly disparate worlds in strategic collaboration, offering surprising results. Foodtech involves using the most advanced technologies to develop tools and techniques for the entire food chain, from cultivation to consumption. Applications include agriculture, new foods, processing, packaging, and delivery. Why does the food sector need this technological innovation?

what does foodtech do

The Foodtech sector emerged due to the need for a production system meeting modern demands: the 21st-century consumer seeks safe, healthy, ethical, and traceable food. With a growing global population and limited resources, sustainability is crucial. Achieving this requires advanced technologies, ensuring efficiency, and addressing new global needs.

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Investments in the sector

To fully understand the significance of the Foodtech sector in the global economic landscape of recent years, consider the substantial investments it has attracted, which have surged dramatically in recent years: from 2010 to the present, an estimated $65 billion has been invested. A truly impressive figure. Globally, there are now over 5,300 companies active in agrifood tech. The countries with the most prominent presence of innovative start-ups are the United States and Canada.

why foodtech is important

Europe and Asia are also rapidly catching up with their overseas counterparts. In Europe, investments even doubled in the 2018-2019 biennium, as detailed in the comprehensive DigitalFoodLab report. Despite the challenges faced by the restaurant and retail industry in 2020, significant resources were directed toward Foodtech, totaling over $17 billion. Food delivery was the frontrunner, attracting 48% of the total funds, followed by agritech, a sector experiencing robust expansion and continuous evolution.


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Challenges in the Food Industry: navigating a complex landscape

The sprawling world of the food industry, where farmers, creators, sellers, and foodies all dance to a trillion-dollar tune, is far from a cakewalk. It’s a realm of sizzling challenges that demand some serious culinary wizardry and steadfast maneuvers. Let’s plate up the key hurdles staring down this gastronomic battleground:

  1. Cooking Up Novel Delights: imagine being in a cook-off where everyone’s battling to serve up something unique. Standing out is the name of the game, and that means dreaming up never-before-seen dishes or remixing old favorites to tickle those taste buds in new ways. This culinary sleight of hand isn’t a quick recipe – it’s an epic journey that needs a heap of skill and dedication.
  2. The Quest for Flavorful Data: it’s like chasing the perfect seasoning mix for your dish, but for businesses. They’re after data that tells them the whole story from farm to fork. But, there’s a twist – the data has to be top-notch, and no half-baked facts allowed. Cooking up solid data practices becomes as important as nailing that secret sauce.
  3. Regulation Tango: it’s like choreographing a dance with a partner who keeps changing the moves. The rules in the food world are like a slippery eel, always wriggling. From what’s allowed in your ingredients to how you can whip up your creations, it’s a constant dance of keeping up and complying.
  4. Packaging Pizzazz: think of it as dressing up your dish – the packaging is like its outfit. It’s got to look good, sure, but it’s also got to keep things fresh. And let’s not forget, the eco-warriors are watching. Finding the sweet spot between keeping your creation safe and being a planet-friendly chef is quite the juggling act.
  5. The Budget Buffet: imagine you’re putting on a feast, but each dish has a different price tag. The cost of ingredients, energy, labor, and the whole kitchen sink can vary wildly. It’s like being a financial maestro, conducting an orchestra of expenses while keeping your culinary masterpiece afloat.
  6. Decoding Taste Trends: imagine you’re a mind-reader but for food cravings. Introducing new goodies means diving deep into the minds of your customers. What tickles their taste buds? What makes them wrinkle their noses? Deciphering these signals is like untangling a particularly tricky spaghetti junction.
  7. Distribution Dilemmas: picture getting your delicious creation to a hungry crowd. It’s not as simple as a walk in the park – more like a jungle expedition. The distribution web is a wild terrain with its own share of beasts and battles. Navigating this tricky path to get your creation into eager hands is an adventure in itself.
  8. Safety vs. Speed: imagine building a fortress to protect your castle, but it takes ages to construct. Safety checks are like building those walls – they’re crucial, but they can delay your entry into the market. Striking the right balance between ensuring your creation is safe and getting it out there quickly is a masterstroke.
  9. Artful Flavor Marketing: think of promoting your culinary creation as telling a tale – a tale of flavors, quality, and trust. But weaving all these threads into a compelling narrative that draws people in? It’s like crafting a gourmet story that keeps them hooked.

In this realm of simmering challenges, success in the food industry boils down to a blend of creativity, resilience, and an unswerving commitment to serving up what customers crave. Stirring up ingenious solutions to these trials is the recipe for keeping this culinary journey as delectable as ever.

The different areas of Foodtech

In short, it’s a complex and diverse world: the sectors benefiting from advanced technologies and knowledge are numerous. Below you’ll find the main “sections” into which the Foodtech sector is usually divided. These areas need close attention to understand and even anticipate the food and agriculture trends that will shape the coming years.


We’re talking about the field that currently boasts the highest number of companies active in Foodtech. Agritech focuses on optimizing agriculture and livestock by using research and technological solutions to enhance production in terms of quality and quantity. To modernize and make production processes smarter, cutting-edge robotics (intelligent sensors, machinery, satellites) and drones are utilized, along with dedicated software for managing cultivated fields and animals. It’s a revolution akin, perhaps, to the advent of agricultural machinery in the early decades of the last century.

what is a foodtech startup


Let’s move on to the branch that involves conceiving and producing new foods and beverages, as well as refining more efficient processing techniques, and treating and preserving food. You might have heard of next-gen food and drink: these are innovative foods created from perhaps lesser-known or previously underutilized ingredients, like insects or plant-based and vegan proteins, used to produce healthier and environmentally sustainable foods. One of the most prominent and intriguing examples is synthetic meat, literally “manufactured” in laboratories, a production handled by numerous Foodtech startups.


This area pertains to innovation across various aspects of the food and agriculture realm as a whole: this category encompasses the most useful and innovative services offered to both consumers and businesses, including producers, traders, and even restaurateurs. For example, think of all the apps and programs that can help you organize your meals throughout the day, prepare balanced and healthy dishes, or find restaurants and stores that match your dietary needs. Recently, several useful software programs have emerged for reading and evaluating food labels or checking their origin.

Food delivery

It’s the Foodtech sector that has garnered the majority of investments: as you know, services allowing you to easily receive food (and more!) at home are increasingly popular and widely used.

Often, a simple click on your phone or computer is all it takes. None of us can do without home deliveries, and the pandemic has only heightened this need. Food delivery also includes companies valued at over $1 billion, the so-called “unicorns,” among which the famous Deliveroo.

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Most innovative start-ups

The substantial amount of investment in the Foodtech sector has led to the emergence of numerous cutting-edge companies. Taking a cross-sectional view of the various sectors mentioned earlier, I’ve compiled a brief list of interesting start-ups.


One of the most active and recognized Italian Foodtech companies in the food delivery sector. What services does it offer? This e-commerce platform allows you to conveniently receive various types of food at your doorstep. It’s not just fruits and vegetables: you can purchase a wide range of food products, both fresh and packaged, such as meat, cheese, beverages, and pasta, with over 2500 products and 250 producers to choose from. Certainly, the most convenient and swift way to consume healthy and high-quality food, especially since you can select the delivery time slot.


An all-Italian agritech start-up born with the intention of helping farmers intelligently manage vineyards and olive groves. Modern digital devices are used to set up systems and weather stations to monitor the health of crops. New-generation technologies are used as valuable support for making informed decisions, aided by an effective system of notifications and alerts, which can be received on your smartphone.


Thinking of sustainable alternatives to common kitchen ingredients is a primary goal of several innovative Foodtech start-ups, particularly those in the foodscience domain. This Italian company has utilized food technologies to create a product very much like butter and margarine using olive oil. This provides us with a healthier, entirely plant-based food suitable for vegans. A true revolution for butter enthusiasts!

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This company’s main mission is transparency and traceability in the food supply chain. Using QR code technology, an app enables you to trace the origin of every food product, whether packaged or a simple piece of fruit. This way, you can be aware of the journey of each food item you purchase, knowing the steps it took to arrive at your table: from the producer to the store where you bought it for your meal.


A blend of delivery and foodscience: this company delivers ready-made meals, but not just any dishes! These are gourmet meals that are both healthy and balanced, tailored to your needs. It starts by setting up your personalized meal plan based on your preferences and physical characteristics, then selecting the delivery frequency. You can choose from the offered subscriptions or opt for one-time orders. In short, a helpful way to eat better, without the effort!


In conclusion, the growth of the Foodtech sector demonstrates how technological innovation is essential for doing business, now more than ever. The opportunities that the digital world can offer are limitless, not only in the food industry: companies in any field today have innovative and cutting-edge tools at their disposal to grow and are crucial to compete with competitors and potential customers. It can be of great help, then, to seek the support of professionals who can develop an effective strategy in agricultural marketing.

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