Investors Quickly Adapt to Growing Wave of Emerging Food Start-ups

Summary: Natasha Vandenhurk, co-founder of Three Farmers Foods, reports significant growth in her Saskatoon-based snack business, which focuses on pulse-based products like roasted chickpeas. As the company expands its production following a recent facility upgrade and successful funding round, it illustrates a larger trend among Canadian food entrepreneurs seeking investment amid ongoing challenges in capital accessibility. While Vandenhurk envisions doubling revenues, others in the industry face hurdles, such as investor hesitancy and valuation pushback, especially in the food-tech sector. With a 10-15% increase in new market entrants post-COVID, Farm Credit Canada has responded by launching FCC Capital, aiming to invest $2 billion by 2030 to support innovation in agriculture and food. Despite the demand for capital, particularly among small-scale producers driven by a local food movement, funding gaps remain a pressing issue in Canada’s food industry.