Reality check
Gaston Bilder: What prompted you to launch Procens? (*)
Julien Laurençon: It all started when I was working in a private bank in Singapore as a VP. I came from a couple of years as a consultant at Accenture. I was working in strategy and technology, developing innovations for finance like blockchain, deep learning algorithms, and automated trading. One day, I woke up and asked myself three questions: Do I have a purpose? Does my life have meaning? Am I happy? The answers were all no, which was a harsh reality check.
I was about to get married. So, I went to Bali for a silent retreat. I wanted to reconnect with my inner child. That’s when I realized it was time to change paths. I had accomplished the “success story” of our consumer society. I was earning $20,000 per month. I was engaged to a Russian model. I also held a VP position in a private bank in Singapore. But I wasn’t happy.
I returned to Singapore, resigned from my job, canceled the wedding, and went on an 18-country trip for a year. I came to Argentina to do volunteer work, not knowing Spanish or Argentinian. I went back to school to learn about social problems and the environment. That’s when I realized the socio-ecological crisis we’re facing.
I decided I needed to do something. I did a master’s in NGO management and sustainability to combine my newfound knowledge. I launched a startup called “Comunidad Huerta” (Green Garden Community). It worked with agroecological vegetable producers to sell directly to consumers. This approach avoided intermediaries.
Gaston Bilder: What led you to abandon Comunidad Huerta and join forces with your co-founder Francois Nolet to start Procens?
Julien Laurençon: I met Francois at a meeting at the Ministry of Environment of Argentina. He was there to investigate the potential of the insect industry. He was doing this for Pauli Gunter’s foundation, Zeri, in the frame of the blue economy. We connected and decided to cut our involvement in our then current startups. We joined forces to start a new venture in Argentina. We are leveraging the country’s potential and the insect industry’s possibilities.
Turning Waste into Opportunity
Gaston Bilder: What problem is Procens solving?
Julien Laurençon: We’re contributing to solving the high volume of food waste. This waste averages around 35% between the producer and consumer. This waste often ends up in landfills, producing methane and contributing to global warming. We’re working with companies like McCain to process their potato peels, which have no sustainable waste management solution.
Gaston Bilder: Can you describe Procens’ current stage and achievements?
Julien Laurençon: We started with a small prototype in a maritime container, trying to understand the black soldier fly’s biology.
In late 2020, we moved to Balcarce, Argentina, to work with McCain and process their potato waste. We raised seed funding to build our first industrial proof of concept facility. The facility has a capacity to process five tons of food waste per day.
The biodegradation process by the larvae produces a 100% natural biofertilizer rich in microorganisms, life, and carbon. We sell this back to McCain for their potato crops, creating a circular economy model. The larvae also accumulate protein and fat. We extract and sell these as natural animal protein and oil for pet food and animal feed.
We’ve seen benefits in terms of increased yields and reduced defects in McCain’s potato crops. Our insect-based solutions are solving the food waste problem while providing regenerative agriculture solutions and sustainable animal feed ingredients.
Gaston Bilder: Are you satisfied with your rate of progress?
Transitioning from Pilot to Commercial
Julien Laurençon: I have mixed feelings about the progress of Procens. On one hand, we’ve made great strides and I’m satisfied with what we’ve accomplished so far. But on the other hand, I know we need to accelerate our efforts. We must transition from pilot projects to becoming a commercially workable and profitable business.
The key is to keep a strategic focus. We need to carefully consider whether to build certain capabilities in-house or acquire them through partnerships. The value chain is becoming increasingly specialized, especially when it comes to suppliers.
A major priority is being capable of setting up production facilities quickly and efficiently anywhere in the world. We want to become the go-to experts in the potato supply chain and a strategic ally to potato producers. This will allow us to improve our own operations. It will also create a roadmap for replicating our plants in new geographies.
Innovating Business Models
Innovation is also crucial, particularly when it comes to packaging ourselves as a turnkey solution and exploring new business models. Differentiating ourselves in a competitive market while meeting evolving consumer demands is essential.
In summary, while I’m proud of how far we’ve come, I know we need to kick things into high gear. Becoming a profitable commercial entity is the goal. We’ll get there by making strategic decisions. We will also leverage partnerships and continuously innovate. The insect-based industry has huge potential and I’m excited to see what the future holds for Procens.
Patience et longuer de temps
Font plus que force ni que rageJean de La Fontaine
(*) I am an early investor.