Swedish biotech firm secures US$4M to cut New Zealand livestock emissions

NEW ZEALAND – In a significant stride towards reducing agricultural emissions, AgriZeroNZ has announced an investment of approximately NZD 4.2 million (US$2.4 million) in Agteria Biotech, a Swedish company pioneering methane reduction solutions for cattle. 

This funding, part of Agteria’s EUR €6 (US$6.26) million seed round, is co-led by AgriZeroNZ and Swedish venture capital fund Industrifonden.

Agteria Biotech has developed a patent-pending molecule demonstrating significant methane reduction in dairy cows. 

Recent trials conducted by Penn State University reported up to a 40% decrease in methane emissions when cows consumed a small dose of Agteria’s feed additive. 

Given the molecule’s small size and minimal dosage requirements, it can seamlessly integrate into various feeding systems. 

The development of this molecule represents a significant advancement in the fight against agricultural emissions, which remain a major contributor to climate change.

Wayne McNee, CEO of AgriZeroNZ, emphasised the importance of investing in innovative solutions to maintain New Zealand’s global leadership in sustainable farming.

“New Zealand farmers are among the most efficient in the world, but we must continue innovating to meet growing global demands for lower-emission products,” McNee stated. “We’re committed to providing farmers with a range of high-impact tools to reduce their environmental footprint while ensuring profitability and productivity remain uncompromised.”

Agteria Biotech CEO and co-founder Martin Blomberg highlighted the scalability and affordability of their methane-reducing technology.

“Our goal from the start has been to create a solution that is not only effective but also scalable, affordable, and, above all, safe. In 2025, we plan to conduct comprehensive safety studies and initiate trials with beef cattle,” Blomberg said.

Beyond funding, AgriZeroNZ will also support Agteria in navigating New Zealand’s regulatory approvals to bring this innovative methane inhibitor to market. 

Regulatory processes are crucial in ensuring that new agricultural technologies are safe and effective for widespread use, and AgriZeroNZ’s involvement will help streamline this process.

This investment reflects a growing global push for sustainable livestock management solutions. Methane is a potent greenhouse gas, so efforts to curb its release are imperative to achieving climate goals. 

The agricultural sector, particularly in livestock-heavy countries like New Zealand, is under increasing pressure to adopt sustainable practices, and investments like this play a critical role in that transformation.

With this latest investment, AgriZeroNZ’s total funding portfolio now stands at Us$46 million, encompassing a range of emissions-reducing technologies, including methane-inhibiting boluses, vaccines, novel probiotics, and low-emissions pasture. 

This initiative is crucial in securing a sustainable future for New Zealand’s primary sector and its global exports, ensuring that the country remains at the forefront of environmentally responsible farming.

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