Raisio secures US$2M for upcycled grain fibre innovation project
The funding will support research and development activities aimed at transforming grain-processing side streams into high-value dietary fibre ingredients for use in food manufacturing across Europe.
FINLAND – Raisio has successfully secured €1.8 million (US$2.1M) in funding from the national innovation agency, Business Finland, to spearhead an ambitious four-year research and development project focused on upcycling grain by-products.
Raisio will inject an additional €2.7 million (US$3.1M) of its own capital into the initiative, bringing the total financial commitment to €4.5 million (US$5.2M).
Scheduled to run from 2026 through the end of 2029, the enterprise marks a substantial expansion of the company’s internal research capabilities, closely matching its entire fiscal 2025 research and development expenditure of €3.2 million (US$3.7M).
Titled “Valorisation of Grain Sidestreams for Functional Fibres,” the project aims to develop high-value, functional dietary fibre ingredients from manufacturing side streams that are traditionally underutilized or treated as industrial waste.
The research protocol will focus heavily on bridging nutritional and technical parameters, ensuring the newly derived fibres deliver clear digestive health benefits while maintaining the sensory and structural qualities required for commercial food formulation.
Structurally, the commercial scaling and validation of these upcycled technologies will take place at Raisio’s newly completed pilot plant at its primary Raisionkaari industrial site, which previously received infrastructure support via NextGenerationEU funding.
The initiative is part of a broader, multi-sector Finnish bioeconomy consortium valued at approximately €12 million (US$14M).
Coordinated by Åbo Akademi University, this domestic alliance comprises 16 prominent industrial companies and research institutions, including Aalto University and the University of Turku.
Furthermore, the consortium is strategically linked to the international Global Centre for Sustainable Bioproducts network, a collaborative alliance that bridges academic institutions and commercial enterprises across Europe, North America, and Asia to accelerate the global transition toward renewable, circular economies.
According to Reetta Andolin, Chief Innovation Officer at Raisio, the global food industry is experiencing a pronounced shift toward upcycled nutrition, driven by surging consumer demand for functional ingredients that support gut health and weight management.
Andolin noted that transforming high-volume, stable grain side streams into high-value components allows the company to tap into lucrative international markets while significantly improving raw material efficiency.
By converting domestic agricultural by-products into functional food alternatives, the project is designed to insulate regional food supply chains, reducing industry reliance on raw materials imported from economically, ecologically, or geopolitically vulnerable territories.
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