Innovation boost for Agri-tech & Food-tech in Mid and North Wales as local businesses receive support

A new competition has also opened, offering more businesses the chance to apply for funding — see below for details.

The latest recipients are driving solutions to some of the sector's biggest challenges — from sustainable production and food safety to smart processing and robotics. Thirteen companies have received backing to explore ideas with the potential to transform the food and farming industry.

Each project has been awarded funding under the Minimal Financial Assistance (MFA) route of the Innovate UK-funded programme, designed to enable small-scale Research and Development and feasibility projects. This support allows businesses to test, trial, and develop ideas that can later be scaled through further innovation funding.

Here's the 13 projects and what they are trying to achieve:

• Agroceutical Products Ltd, Powys. The Wool2Lube project aims to address two critical challenges: the underutilization of Welsh sheep wool and the growing global demand for sustainable, eco-friendly lubricants.
  
• Amped Pcr Ltd, Ceredigion. Development of a smart data dashboard to enhance a rapid pathogen detection system, PurifAI, in helping food producers and public health bodies quickly identify and respond to contamination risks with real-time, predictive insights—supporting safer, more efficient global food supply chains. 
  
• Arcitekbio Ltd, Ceredigion. The XyloPrO-CX project, in partnership with AberInnovation, aims to commercialise ARCITEKBio Ltd.'s sustainable fermentation process to produce eco-friendly xylitol from waste as a healthier, greener sugar alternative.
  
• Chitexo Limited, Ceredigion. This project aims to develop a mealworm biorefinery model, turning local food waste into sustainable poultry feed, a natural crop booster, and an animal health product—helping reduce waste, cut emissions, and support a circular farming economy.
  
• Cleobury Project Management Limited, Powys. This project, Sustainable Encapsulation and Nutrient Optimisation foR Agriculture (SENORA) led by Cleobury, is creating a sustainable fertiliser from food and farm waste, including eggshells, to improve soil health, reduce environmental impact, and offer a cost-effective alternative to synthetic fertilisers, supporting Welsh agriculture and circular economy goals.
  
• Conwy Kombucha Limited, Conwy. Conwy Kombucha Ltd., in partnership with Phytoquest Ltd., is developing a 'Smart Jar: Family Fun Fermenting for Health' make-at-home smart brewing system to produce health-enhancing Kombucha aimed at boosting immunity and managing Type 2 Diabetes and Inflammatory Bowel Disease.
  

• Data Dynamics Ltd, Powys. Data Dynamics is developing an AI-powered crop yield forecasting system with Castell Howell Foods to help Welsh growers and suppliers better predict harvests, reduce waste, and improve supply chain planning. Using satellite imagery and machine learning, the project will support a more stable, efficient, and sustainable food system in Wales.

• Diagnostig Ltd, Anglesey. Diagnostig is testing a new, simple blood test to find Johne's disease in cattle earlier than current methods. Working with local farmers, the team will compare their test to existing ones to show it can better help spot and manage the disease before it spreads, helping more herds become Johne's-free.

• Neurabotics Ltd, Ceredigion. A feasibility study that aims to assess whether robotic technology can provide a viable solution to the labour and cost challenges facing the UK fruit growing sector.

• Pennotec (Pennog Limited),Gwynedd
  This project, MilaCel Plus, aims to develop innovative, sustainable, and fibre-rich fat and sugar replacement ingredients for prepared foods, using underutilised local crops to support healthier diets, reduce food waste, and boost biodiversity in Mid and North Wales. 
  
• Terrafarmer Agriculture Ltd, Powys. The Terrafarmer Biologicals Project will help farmers in Mid and North Wales test natural products to improve soil, grow better crops, and reduce the need for chemicals. Trials will run on ten fields in 2025 with the long-term aim is to support healthy, strong, and more sustainable farms.
  
• Ymchwil Tetrim Research Cyf, Ceredigion. The Functional Ageing Nutrition Beverage Innovation (FANBI) project, aims to combat malnutrition in older adults by developing sustainable, high-protein tea and chocolate milkshake powders enriched with natural, functional ingredients to support muscle, cognitive, and overall health, while supporting Welsh agriculture and clean-label innovation.
  
• Yr Ardd Fadarch Eryri Cyf, Gwynedd. The Valorisation of Spent Mushroom Substrate: Bioethanol and Bioactives Production for Sustainable Energy Solutions (VaSMS) project, led by Madarch Cymru, aims to turn waste from indoor mushroom farming into valuable bioethanol and health-boosting compounds. By using advanced bioprocessing techniques, the project will reduce waste, support renewable energy goals, and create new income opportunities for growers.

These projects join a growing network of Agri-tech and Food-tech innovation spanning Mid and North Wales — strengthening rural economies and supporting the transition to a more sustainable and data-driven future for the food system.

Barbara Green, Project Manager for the Agri-Tech and Food Cluster Management Organisation of Mid and North Wales, Growing Mid Wales said: "The MFA awards are a vital boost for innovation in our agri-tech and food-tech sectors. These projects demonstrate how even small-scale funding can unlock big ideas — from sustainable food systems to advanced diagnostics. They're helping build a more resilient, forward-thinking economy across Mid and North Wales."

Louise Jones, Wales Manager, Innovate UK said: "We're pleased to see this first wave of MFA funding go to such a diverse group of businesses. It shows the breadth of innovation across the region and how targeted support can help address real-world challenges in food, farming and sustainability. We're excited to see these projects develop and deliver long-term impact."

Elliw Hughes, Growth Deal Programme Manager, Ambition North Wales said: "These MFA-supported initiatives reflect the ingenuity and ambition of businesses in our region. By giving them the opportunity to test and explore new ideas, we're helping create the conditions for innovation-led growth — not just within agriculture and food but across the wider economy."

A new funding competition by Innovate UK will open on 30 June 2025, offering further opportunities for Agri-tech and Food-tech businesses in Mid and North Wales to access innovation support. Businesses are encouraged to register for the applicant briefing webinar on 3 July 2025, which will provide detailed guidance on how to apply and what makes a strong submission. More details about the competition and webinar (in the Dates tab) can be found on the Innovate UK competition page: https://apply-for-innovation-funding.service.gov.uk/competition/2212/overview/4411087f-2a92-4aed-b735-d1a813376bec#summary

Over the next 18 months, through the Nurturing Innovation in the Agri-tech and Food Technology Cluster for Mid and North Wales, the Cluster Management Organisation will coordinate activities and promote more funding opportunities from Innovate UK.

Businesses interested in joining either the Agri-Food or Food Technology clusters and staying informed about future funding opportunities can find more information on the Growing Mid Wales website: www.growingmid.wales/AgriTechFoodTech.

Source: https://www.growingmidwales.co.uk/article/18931/Innovation-boost-for-Agri-tech--Food-tech-in-Mid-and-North-Wales-as-local-businesses-receive-support