Plastic Pollution Challenge
Viet Nam is one of the largest fresh fruit and vegetable exporters in the world. However, agricultural products have low value due to a lack of effective post-harvest preservation, leading to 50% product loss. At the same time, the popular usage of plastic bags in the preservation process in transportation contributes to the problem of plastic pollution.
In July, 2020, GALAXY BIOTECH launched the BREATHABLE BIOBAG, a starch-based bag made from industrial cassava (tapioca) starch – a popular local species that grows well in harsh soil in the Highland and South-East regions of Viet Nam. The bag provides a solution for food preservation, while being biodegradable.
The BREATHABLE BIOBAG tackles two urgent issues, including plastic pollution and food waste. Moreover, our solution also helps increase Viet Nam’s agricultural product – which is cassava, thus adding incomes for poor farmers.
We have applied both biotechnology and nanotechnology to develop 4 types of eco-friendly food preserver bags, targeting the bio-packaging industry. We are innovating with bags that can keep vegetables, fruits, meat and fish fresher and protect them from bacteria and viruses.
We have also developed a methodology to calculate the CO2 emissions to find ways to minimize pollution.
Startup Viet 2020
Startup Wheel 2020
|Agricultural sustainability prize
Viet Nam Rural Youth Innovation Award
Lowering losses and increasing the value of local products,creating more local jobs.
SDG 2: Zero Hunger:
Keeping food and agricultural products fresher for longer, reducing food waste.
SDG 9: Industry, Innovation and Infrastructure:
Applying technological innovations to reduce plastic pollution and fight food waste.
SDG 11: Sustainable Cities and Communities:
Creating jobs for local communities.
SDG 13: Climate Action:
Reducing CO2 emissions compared to normal bags made of virgin plastics. Using 1kg of our bags will reduce 5.2kg CO2 emission according to the Climate Impact Forecast.
We sell the BREATHABLE BIOBAG to B2B fruit and vegetable exporters and distributors. The target gross margin is 40%. In 2021 the gross margin target will be set lower at 15-20% to support market development.
The product line includes:
- BREATHABLE BIOBAG 1: small size – 22x32cm.;
- BREATHABLE BIOBAG 2: medium size – 30x40cm;
- BREATHABLE BIOBAG 3: large size – 45x60cm;
- BREATHABLE BIOBAG 4: custom size, to customer requirements.
Despite only a relatively recent introduction to the market, in July 2020, our products have attracted many customers including:
Our targeted customers are Vietnamese fruit and vegetable exporters and distributors with a market valuation of USD 80 million.
Table: Competitive Advantages
|Competitors||Size||Price (VND/pcs)||Ingredients||Biodegradation ability||Fruit preserver ability|
|5||BREATHABLE BIOBAG||Customized size||+||Bioplastic||Yes||Yes|
Traction and Key Metrics
- Clients and potential clients: 50+, such as DalatFoodie, Agrivis, Flowery, etc.
- Total revenue: USD 4,000 (from October to December 2020).
- Total clients and distributors: 30 stores in Ha Noi and Ho Chi Minh City.
- Have exported to Singapore and the US.
We aim to become the leading biotechnology company in Viet Nam. We want to increase the economic value of local agricultural products and reduce food waste using technology to increase local materials’ value. This solution will enhance value chain sustainability for all stakeholders, from farmers, intermediaries, manufacturers, to end-users.
By 2023, we intend to achieve a volume of 200 tonnes per annum, claiming a 3.6% share of the Vietnamese breathable biobag market.
For 2021, we are seeking to raise USD 250,000 of funding for new production facilities (35%), product innovation (25%), sales and marketing (20%) and operations (20%).