New Zealand’s Bioeconomy Science Institute Secures $20M for Research

The Bioeconomy Science Institute (BSI) has received over $20 million in funding from New Zealand’s Endeavour Fund to support two innovative research programmes aimed at transforming the country’s food, biotechnology, and horticultural sectors. This initiative integrates several key research organizations, including AgResearch, Manaaki Whenua – Landcare Research, Plant & Food Research, and Scion, into a single entity.

One of the funded programmes, titled Super-Storing: Extending the Life of NZ’s Perishable Fruits, has been allocated $10.2 million. This project, led by Associate Professor Robert Schaffer and Dr. Rosie Schröder, seeks to enhance the storage life of traditionally perishable fruits, such as summer fruits and berries, by applying advanced genetic technologies. The goal is to replicate the long storage life of kiwifruit, allowing these fruits to be shipped to distant markets, including Asia and Europe, thereby increasing New Zealand’s export potential.

Currently, New Zealand’s fresh fruit exports generate approximately $3.5 billion annually, primarily driven by kiwifruit and apples. This research initiative aligns with the government’s objectives to boost export values from $7 billion to $12 billion per year. The anticipated outcomes include over $600 million in additional domestic economic activity, a reduction in food waste, and a decrease in emissions by shifting from air freight to sea freight.

“This work will directly benefit growers, extend harvest windows, and build resilience against extreme weather,” Schaffer stated. “It’s about unlocking the full potential of New Zealand’s horticultural diversity.”

The second research initiative, Turning Pine Waste into Premium Proteins, has been granted $10.4 million and will span five years. This project aims to utilize Precision Fermentation (PF) to convert pine forestry residues into high-value proteins. Led by Dr. David Hooks and Dr. Scott Knowles, this programme will transform softwood residues, often discarded or burned, into fermentation feedstocks through novel chemoenzymatic methods. These feedstocks will support the cultivation of engineered yeast strains capable of producing specialty proteins like osteopontin and casozepine, which offer similar nutritional benefits to traditional animal-derived ingredients.

This initiative underlines New Zealand’s commitment to transitioning towards a low-emission circular bioeconomy while addressing essential challenges related to feedstock availability, manufacturing scale, and the regulatory landscape surrounding genetic technologies.

“This is more than a research programme,” Dr. Hooks emphasized. “It’s a blueprint for how New Zealand can lead in the next generation of food and biotech innovation. This is about creating value from what we already have. New Zealand has abundant bioresources and world-class science. Precision Fermentation allows us to connect the two.”

Dr. Knowles highlighted the environmental benefits, stating, “By converting forestry residues into feedstocks, we’re unlocking a new pathway for sustainable protein production—one that aligns with global efforts to build climate-resilient food systems.”

Researchers anticipate numerous innovations from this programme, including the development of novel enzymes to convert lignocellulosic biomass into fermentable sugars, advancements in yeast engineering for high protein expression, and the creation of single-cell protein as a co-product for animal feed. They also plan to implement digital twin modelling to simulate and optimize PF processes.

The establishment of the Bioeconomy Science Institute follows a government review emphasizing the need for a restructured research landscape in New Zealand. Earlier this year, the government announced plans to merge the seven Crown Research Institutes into four new Public Research Organisations, with BSI being the largest of them.

During a recent visit to the BSI’s Lincoln campus, Hon Shane Reti, Minister of Science, Innovation and Technology, unveiled the new visual identity of the institute. “This is an exciting step in sharing our new organisation with the outside world,” said Mark Piper, Transition Chief Executive. “As we start our journey as the Bioeconomy Science Institute, it’s great to share this new visual identity, which speaks to the organisation that we are building for the benefit of Aotearoa New Zealand and the world.”

Additionally, Minister Reti announced $6.5 million in new industry funding aimed at developing strategies to reduce methane emissions from grazing livestock. He also witnessed the signing of a new licensing agreement with Nelson-based Seaweave to commercialise aquaculture monitoring technology.