An Argentine Startup Turns to Bacteria to Rethink the Future of Fats and Oils

An emerging Argentine biotechnology startup, Abydos Bioscience, is betting on an unconventional approach to address one of the food industry’s most pressing challenges: the growing instability of global fats and oils supply chains. Founded in Buenos Aires in 2025, the company is developing fermentation-derived fats produced by oleaginous bacteria, positioning its technology as an alternative to traditional agricultural inputs whose prices have become increasingly volatile. According to information reported by AgFunderNews, the company is initially focusing on applications traditionally dependent on high-value specialty fats, with plans to expand into multiple consumer markets.

The initiative comes at a time when manufacturers of food, cosmetics, and personal care products are reassessing long-standing supply strategies. What were once considered low-cost, predictable raw materials have turned into sources of uncertainty due to climate pressures, sustainability scrutiny, and sharp swings in global commodity prices. For many multinational consumer packaged goods companies, this volatility has translated into higher costs, reformulation challenges, and pressure to diversify sourcing.

Founded by a team that combines decades of academic research with entrepreneurial leadership, Abydos Bioscience takes a different technological route from many peers in the fermentation space. While much of the sector relies on yeast or microalgae, the Argentine startup is working with oleaginous bacteria, microorganisms capable of accumulating large quantities of lipids in a relatively short time. The company argues that this biological efficiency could translate into higher productivity and improved economics at scale.

At the center of the project is a scientific foundation built over more than 30 years. The company’s chief scientific officer, Héctor M. Álvarez, began studying lipid-accumulating bacteria during his doctoral research in Germany, initially in the context of bioplastics. Over time, that work evolved into a deeper exploration of bacterial strains capable of storing up to 70–80% of their biomass as lipids. Together with Ana Arabolaza, the company’s chief technology officer, and Martín Hernández, its chief operating officer, Álvarez brings long-term expertise in microbiology and bioprocess development to the venture.

The business side is led by Karina Amado, cofounder and chief executive officer, who joined forces with the scientific team to translate laboratory research into a commercial platform. The company was formally launched in April 2025, marking the transition from academic science to an industrial biotechnology startup with global ambitions.

Rather than relying on genetic modification in its early stages, Abydos Bioscience is currently optimizing non-genetically modified bacterial strains selected from a proprietary collection of more than 50 native microorganisms. The focus, according to the company, is on fine-tuning the production process itself—adjusting parameters such as oxygen and nitrogen levels, selecting appropriate feedstocks, and improving downstream lipid extraction—to maximize oil yields and control fatty acid composition.

This process-driven approach allows the company to tailor fats for specific applications. Early development efforts explored broad-use oils, but economic realities led the team to prioritize higher-value specialty fats, where price volatility and supply constraints are more acute. Internal testing has shown that the fats produced by Abydos’ bacterial strains can closely match the functional properties required by manufacturers, including melting behavior, crystallization, and solid fat content.

Beyond food applications, the company sees opportunities in cosmetics and personal care, where demand for consistent texture and performance is critical. Additional long-term projects include the development of fats for nutraceuticals and even specialized nutritional applications, leveraging the ability of bacteria to produce highly specific lipid profiles.

A key element of Abydos Bioscience’s strategy is its location. Argentina’s extensive ag-processing and biofuels industries generate large volumes of low-cost byproducts such as glycerol, whey, and other sugar-rich residues. These materials can serve as feedstocks for bacterial fermentation, potentially lowering input costs while offering industrial partners a productive outlet for side streams that might otherwise require disposal.

From a commercial standpoint, the startup plans a flexible business model. In some cases, it expects to sell finished fats directly to customers; in others, it anticipates custom development agreements or licensing arrangements with large consumer goods companies seeking tailored lipid solutions. Manufacturing is expected to rely on partnerships with contract manufacturers rather than heavy upfront capital investment, at least in the early phases of scale-up.

Funding remains a central priority. Abydos Bioscience received early backing from Big Idea Ventures and recently opened a pre-seed fundraising round as it works to advance its technology toward regulatory approval and industrial validation. The company’s leadership acknowledges that investor expectations have become more stringent at early stages but argues that the depth of its scientific foundation provides a competitive edge.

Looking ahead, the startup’s immediate goals include filing intellectual property protections in the United States, preparing regulatory submissions for its first commercial product, and securing manufacturing partners capable of supporting pilot and commercial-scale production. While regulatory pathways for bacteria-based ingredients may be more complex than those for more established microorganisms, the company views this as a manageable challenge rather than a barrier.

As global manufacturers search for ways to stabilize costs and build more resilient supply chains, Abydos Bioscience represents a broader trend within industrial biotechnology: the shift from traditional agriculture toward precision fermentation as a strategic tool. If successful, the Buenos Aires-based startup could position Argentina as a notable player in the next generation of sustainable ingredient innovation.