Enifer and FS bring PEKILO mycoprotein production to Brazil using corn ethanol side streams

Finnish biotech firm Enifer has announced a new partnership with Brazilian ethanol producer FS to launch PEKILO Pet and PEKILO Aqua mycoprotein production in Brazil. This marks the first deployment of Enifer’s proprietary fermentation technology in South America and the first time corn ethanol side streams will be used to create the nutrient-rich protein ingredients.

The initiative will see FS construct a pilot-scale industrial fermentation facility integrated directly into its ethanol operations. The plant will produce around 500 tons annually of PEKILO Pet and PEKILO Aqua, targeting the growing demand for sustainable protein sources in pet food and aquaculture markets. The collaboration represents Enifer’s first foray outside Europe and a strategic milestone in its international expansion.

PEKILO mycoproteins are created via biomass fermentation using a fungal strain, in a process similar to brewing. The result is a product with 60% protein content, rich in beta-glucan fiber, low in fat and carbohydrates, and highly digestible – characteristics that make it especially attractive for use in pet and aqua feed.

“Transferring this process across the Atlantic to a new continent and using a new agricultural side stream is a significant validation of the flexibility and robustness of the PEKILO fermentation technology,” said Simo Ellilä, CEO & Co-founder of Enifer. “It shows that PEKILO can deliver consistent performance from a wide variety of raw materials and in very different industrial settings,” he added.

The fermentation process will utilize thin stillage, a residual output from FS’s ethanol production from second-crop corn, without affecting the company's current output of dried distillers grains (DDG) used for animal feed. This integration supports FS’s broader commitment to maximizing the value of agricultural inputs and promoting circular economy principles.

“This project reinforces our commitment to innovation, science, and sustainability,” said Rafael Abud, CEO at FS. “We are adding extra value to second-crop corn by developing a relevant and innovative solution for animal nutrition, using a pre-existing raw material without compromising DDG production. This is a significant technological advancement for the sector.”

To support the project, FS has secured 9.8 million Brazilian reais (approximately US$1.85 million) in public funding through the Mais Inovação Brasil program, which is backed by the national innovation agency FINEP. This support will fund the development of the pilot plant and allow FS to begin market testing of the mycoprotein products.

“With this funding, we will advance key stages related to fungal fermentation, enabling us to move toward industrial production,” said Daniel Lopes, VP of Sustainability and Business Development at FS. “We will now implement our pilot plant, learn how to scale its operation, and test the market with high-performance functional solutions for animal nutrition.”

Initial production will focus on the Brazilian market, but Enifer and FS also plan to supply countries like Ecuador and Chile, which have established aquaculture industries specializing in shrimp and salmon, respectively. The long-term ambition is to scale the plant to a full industrial capacity of 10,000 tonnes per year, significantly expanding the supply of sustainable mycoprotein in Latin America.

This collaboration in Brazil is part of Enifer’s larger global growth plan. In Finland, the company is close to completing its first full-scale PEKILO facility, supported by €33 million (US$35.7 million) in funding, with a targeted capacity of 3,000 tonnes per year. With the process now proven to work across multiple feedstocks and continents, Enifer is positioning its technology as a flexible and scalable platform for sustainable protein production worldwide.