The Rise, Fall and Reinvention of Apeel Sciences

Apeel Sciences, the California-based food technology company known for its plant-based coatings that extend the shelf life of fresh produce, is attempting a new phase of growth after years of financial challenges, layoffs and an intense misinformation campaign that damaged its position in the United States. According to AgFunderNews, founder James Rogers believes the company has overcome major operational hurdles and is now focused on expanding new post-harvest technologies and strengthening its international presence.

At its peak in 2021, Apeel Sciences employed around 450 people, was valued at more than $2 billion and had partnerships with major retailers. Today, the company operates with about 50 employees and generates most of its revenue outside the United States.

Rogers acknowledged that Apeel's difficulties began before the social media controversy. The company conducted significant layoffs in 2022 as part of efforts to address operational inefficiencies and adapt its business model.

According to AgFunderNews, Apeel's original coating technology effectively reduced moisture loss and oxidation in fruits and vegetables, but required specialized equipment, dedicated staff and complex installation processes at supplier facilities. Over time, the company redesigned the product to make it easier and less expensive to use.

The newer formulation can be applied using existing packing-house equipment and significantly lowers implementation costs. Rogers claims these improvements reduced application expenses by a factor of ten and allowed Apeel to shift its focus from retailers to suppliers.

The company’s recovery efforts faced a major setback beginning in 2023, when social media influencers started circulating claims that Apeel's products were unsafe. According to Rogers, many posts falsely described the coatings as toxic, linked the company to conspiracy theories and accused it of using harmful ingredients.

“When we first started getting attacked, we thought people were confused,” Rogers told AgFunderNews. “What we found out was that these people were not actually confused. This was a coordinated attack.”

According to AgFunderNews, the campaign affected relationships with major retailers and suppliers. Some businesses paused partnerships while others declined to move forward with planned agreements. Apeel later filed legal action against wellness influencer Robyn Openshaw and her company GreenSmoothieGirl.com, alleging defamation and false advertising.

The lawsuit was eventually settled, with Openshaw agreeing to issue an apology and make a payment under undisclosed terms. Several other influencers and organizations also retracted previous statements about the company.

Despite the challenges, Rogers argues that Apeel's technology remains relevant as food waste reduction becomes a growing priority for retailers and consumers. The company's coatings are designed to create a protective layer around produce, extending freshness and reducing spoilage during transportation and storage.

Today, Europe, the Middle East and Africa account for roughly 70% of Apeel's business. According to Rogers, these markets have become key growth drivers as retailers seek alternatives to traditional waxes, plastic packaging and certain post-harvest treatments.

Beyond coatings, Apeel is expanding into new technologies. One of its latest developments is RipeTrack, a portable quality measurement system that uses artificial intelligence and machine learning to evaluate fruit characteristics such as dry matter, sugar levels and oil content without cutting the fruit open.

The company is also preparing to launch Zero MI, a new post-harvest treatment designed to reduce fungal infections in citrus fruits and avocados. Rogers believes the product could eventually replace some conventional fungicides used after harvest.

Looking ahead, Apeel's founder says the company is focused on rebuilding trust, expanding its technology portfolio and re-establishing its position in the fresh produce industry.

“My dream is to be able to walk into grocery stores that I used to in the United States and see our product benefit Americans,” Rogers said, according to AgFunderNews. “I would like to see Apeel replacing these waxes and synthetic pesticides around the world.”