Interview, Podcast
a16z Podcast | Produce or Perish! (What We Eat)
Company & Product Overview
- Appeal (formerly Appeal Technology, rebranded to Appeal Sciences) is a portfolio company utilizing nanoscale material science to preserve fresh produce.
- The core product is an edible protective coating derived from unutilized plant biomass (e.g., stems, leaves, grape skins, orange peels, banana leaves).
- The extraction process isolates specific molecular isomers from plant blends, converting them into lightweight, low-cost powders.
- Reconstituted in liquid form, the solution is applied by dipping produce, creating an imperceptible layer that mimics the fruit's natural structural building blocks.
- The treatment does not alter the taste of the produce; instead, it extends freshness to match the sensory profile of the fruit immediately after harvest.
- Unlike synthetic preservatives, the solution utilizes natural building blocks already present in nature, repurposing them for external protection against spoilage.
Market Impact & Economic Dynamics
- Strawberry preservation is highlighted as a specific use case due to the high pesticide loads typically required by commercial farming to compensate for a lack of natural soil defenses.
- In the US, spoilage rates for produce range between 33% and 50%, representing a massive waste of resources including 80% of freshwater used in irrigation.
- In developing nations with inadequate infrastructure, spoilage rates can reach 80–90% due to the lack of cold chain logistics (electricity, refrigeration, roads).
- Extending mango shelf life by one week allows smallholder farmers to increase earnings by 2–3x (approximately 3–5 shillings per mango), mitigating the "tyranny of time" where traders exploit perishability to depress prices.
- The technology effectively "leapfrogs" the need for expensive cold chain infrastructure by doubling or tripling the effective radius of transportable fresh produce.
- Current supply chains are constrained by the intrinsic perishability of crops; a 25-day shelf life (up from 5 days for finger limes) unlocks commercial viability for exotic and fragile varieties.
- The market dynamic creates a bidirectional benefit: Californian farmers can export to China, and Indian farmers can export to the US or Europe, bypassing traditional seasonal limitations.
- Current retail economics favor "high-class" produce (e.g., berries) which command higher prices and are often sold in premium tiers, but the technology aims to democratize access to diverse produce globally.
Technical & Operational Challenges
- The company employs a team of 62 individuals, including over 50 scientists and 15 PhDs across chemistry, biochemistry, material science, and chemical engineering.
- Material science faces significant iteration hurdles compared to software, with a single data set potentially requiring six years of PhD-level work to develop.
- To accelerate this, Appeal has built proprietary characterization systems, utilizing 3D-printed components and Arduino/Raspberry Pi units for rapid prototyping and monitoring.
- The team uses time-lapse photography as a macroscopic "microscope" to observe physical aging processes, allowing them to compress time and analyze structural changes in produce.
- The "full stack" approach involves developing the entire system from molecule isolation to application, rather than relying on off-the-shelf solutions, to bypass existing supply chain constraints.
Future Industry Trends & Vision
- The founders predict battery technology as a major future breakthrough that will impact drones, VR, and multiple industries, potentially driven by government-led innovation.
- Additive manufacturing (3D printing) is identified as a transformative sector, with potential for "local manufacturing on crack" (e.g., NASA/Autodesk initiatives to build structures in space).
- Future grocery stores could feature a significantly wider diversity of produce, moving beyond the current dozen common varieties to millions of genetically diverse options.
- Plant breeders currently prioritize transportability and taste over nutrition (ranked 12th–13th in importance); extending shelf life allows breeding programs to prioritize flavor and nutritional value instead.
- The technology enables the cultivation of region-specific, optimized crop varieties that would otherwise rot before reaching distant markets, allowing growers to farm based on local soil suitability rather than transport durability.
- The vision includes a shift from "what can be transported" to "what is the best fruit," effectively decoupling food quality from time and geography constraints.