Industry

Zero km (and risk) supplements in Milan

Start-up Nip Tech patents method for vertical farm production: from seed to finished product with supply chain and quality certification

by Lello Naso

Il centro Giulio Natta di Giussano in cui è stato costruito l’impianto Nip Tech

3' min read

Key points

  • First plant ready by end 2025 and scalable by end 2026
  • Extraction yield and quantity present ten times higher than the traditional method
  • Capital increase opened to support investments

3' min read

The light bulb went on during Covid, when Nip Tech, a Milanese start-up active in the production of food supplements, experienced the difficulty of sourcing raw materials. 'The trade blockade,' says startupper Glauco Isella, former founder of Babasucco, a company producing vegetable juices and extracts that has become a success story in Italy, 'had stopped the production of the food supplements that we were producing and selling in large-scale organised distribution and in parapharmacies. We could not get the active ingredients we needed, mostly from India and China'.

At that time, it was Covid. At other times, wars and international tensions, one of which was the Red Sea crisis over Houthi attacks on merchant ships, had slowed and stopped production or caused severe fluctuations in commodity prices. All of them came from territories subject to geopolitical crises. 75% of the raw materials from which the active ingredients are obtained are imported into Europe from China and India, the rest from Africa or South America. The active ingredients extracted from the seeds of ashwagandha, dandelion, centella and dozens of other medicinal herbs are then processed and transformed in Europe, Germany, Austria and Italy, particularly in the Milan and Pisa areas, and used for the industrial production of supplements, cosmetic products or medicines. This is an extremely vulnerable supply chain, which has often broken down in recent years.

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"During Covid, given the success of the vertical farms," Isella continues, "we thought that zero kilometre production would eliminate all the problems in the supply chain. From seed to finished product in one plant would have been the ideal solution for the sector'.

So, Nip Tech set up a working group of technicians (an agronomist, a biochemist, a biologist and a pharmacist) who, together with the Universities of Parma and Pavia, studied the feasibility of the vertical farm project and started experimentation. Nip Tech's process has an ecological approach with enzymatic extraction of the active ingredients, without chemical solvents. The process is based on a combination of technologies that makes it scalable and reproducible everywhere. The active ingredients are zero-kilometre, transport and environmental costs are lowered. The extraction yield increases while preserving the purity and quality of the ingredients. Technicians document extraordinary results compared to standard processes: higher assimilation and concentration of active ingredients by almost ten times and twelve times shorter extraction times. Total production times are halved.

The next step is to patent the process of extracting the active ingredients from the individual raw materials. A patent for each seed, including the software and the industrial process. The first patented process was the extraction of mullein.

But in addition to the industrial results, there are also regulatory ones. The Nip Tech method, in fact, eliminates the other major problem of the supplement industry. The quality and quantity of the active ingredients. 'Often,' explains Isella, 'we have had to send back raw materials of inadequate quality. This can be done by the best equipped companies that carry out checks on incoming goods. But there are companies that cannot afford it'. Thus, due to the shortcomings of legislation, which does not oblige to indicate the percentage of active ingredient present in a supplement, products of low quality or unverified quality may arrive on the market. A problem that the Nip Tech method eliminates at the root. The manufacturer will be able to certify the origin of the seeds, the process for producing the active ingredients and the quantity present in the product.

Nip Tech, thanks also to a capital increase closed last July, has built the first production plant in the Giulio Natta Innovation Centre in Giussago, a centre of technological and scientific excellence, a reference point for the agricultural, environmental health and wellness industry. By the end of 2025, the industrial production plant will be completed, and from the end of 2026 it will be possible to license the entire process, as well as sell the active ingredients obtained with it.

'We have opened another capital increase, which we expect to complete by the end of the year,' says Isella, 'in order to get the new plant up and running and close the first licensing contracts.

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