From Waste To Value: Upcycling Fruit Pits into a Global Food Innovation

Sara Fedele, Lead, PR and Communications at Kickstart Innovation

As part of our Open Innovation Program, we showcase the journeys of our participants and alumni. Today, we’re highlighting Kern Tec, a pioneering food tech company dedicated to transforming the way we think about waste, by turning discarded fruit pits into valuable, sustainable ingredients.

In 2024, the global upcycled food market continued its upward trend, driven by consumer demand for sustainable, circular alternatives. A growing number of food and cosmetic brands are rethinking supply chains — and Kern Tec is at the forefront of that movement.

Each year, over 1 million tons of fruit pits are discarded worldwide by juice and jam producers. But what most consider waste, Kern Tec sees as raw material for the future of food.

Founded in Austria, Kern Tec has developed a proprietary process to upcycle stone fruit pits into high-quality plant-based ingredients used in chocolate, dairy alternatives, snacks, and cosmetics. Their method allows for 100% utilization — kernels are detoxified and turned into nutritious ingredients, while the shells are used in cosmetic applications.

Their environmental impact speaks volumes:

– 90% less water usage compared to almonds

– 50% less CO₂ emissions

– Zero need for new cultivation or irrigation

Kern Tec joined the Kickstart Open Innovation Program in 2021, where we proudly facilitated a collaboration with Coop Switzerland. This partnership brought Kern Tec’s innovation to market in products like snacking spreads and plant-based drinks — a tangible success story of how circular solutions can scale through the right ecosystem.

In our latest Interview with the Founder, we speak with Michael Beitl, Co-Founder of Kern Tec, about the origins of their idea, the challenges of working with overlooked raw materials, and what the future holds for circular product innovation.

What inspired the foundation of Kern Tec, and how did you identify the potential of fruit pits as a resource?

Kern Tec was inspired by the over 1.000.000 tons of fruit pits discarded annually worldwide, especially by the juice and jam industries. These side-streams contain highly valuable nuts, rich in healthy proteins and oils. Recognizing this potential, Kern Tec developed technologies to turn them into high-quality nuts for the chocolate, non dairy, snacking and cosmetic industry. Until today, we use 100 % of these fruit pits, the nuts for food as well as the shell as cosmetic peelings. The visionary question in the room was: Why do we not use this highly valuable raw material given by nature, while planting new ones globally? That question was enough to set the goal, to upcycle and distribute this raw material globally.

What were the primary technical hurdles in developing a safe and efficient process to extract usable ingredients from fruit pits, and how did you overcome them?

A core technical hurdle was on the one hand the difficulty to split and sort the nuts as well as the presence of naturally occurring amygdalin in stone fruit seeds, making them toxic. Kern Tec developed processes to safely reduce these substances, thereby making the ingredients food-safe. Kern Tec’s methods involve (cracking the pits, separating seeds from shells), and detoxifying the kernels. The detoxification specifically removes amygdalin, without harming the protein structure and maintaining their nutritious profile our nature provides.

How does Kern Tec approach the development of new products from upcycled fruit pits, and what role does innovation play in this process?

Product development is driven by continuous innovation. Kern Tec produces ultra-fine seed pastes for plant-based dairy alternatives, spreads, snacks and chocolates. It’s important to continuously push innovation, since our raw material has so many application opportunities . In the future, we research plant-based cream cheese and diced seeds for confectionery and bakery ingredients.

Production Process at Kern Tec

Kern Tec’s process contributes to reducing the environmental impact compared to traditional nut and dairy production. Can you share any notable achievements to date? Kern Tec’s upcycling method saves vast amounts of water and CO₂—up to 90% less water and 50% less CO₂ emissions compared to conventional nut production. Unlike almonds or soy, the fruit pits used don’t require new cultivation, land use, or irrigation, as they are by- products. The company contributes to global sustainability goals by reducing agricultural waste and offering more eco-friendly alternatives.

Kern Tec integrates circular economy principles into its business model. What impact has this had on waste reduction in the industry? Circular economy principles are deeply embedded in Kern Tec’s model. The entire fruit pit—seed and shell—is utilized. The seeds become nutritious food products, while the shells are used in non-food applications like cosmetics. This 100% utilization approach significantly reduces industrial food waste and offsets the need for newly farmed raw materials.

KernTec has partnered with leading Swiss retailer Coop. How do such collaborations enhance your mission, and what have been the key outcomes?

Partnerships with Coop Switzerland have been absolutely necessary. These collaborations brought Kern Tec’s ingredients to the shelves in products like snacking chocolate spreads or plant-based drinks. Especially the first movers are hard to get with radical innovations, for that reason such companies are very often the key to success. Kickstart Innovation was an essential enabler for today’s success. They gave us the opportunity to present our solutions on stage, and essentially acted as our sales representative in Switzerland, especially valuable since we’re based in Austria. While you can never be certain, I’m confident that without Kickstart we would definitely not be as present as we are today in Switzerland.

How have consumers and industry stakeholders responded to products made from upcycled fruit pits, and what strategies have you employed to educate the market?The market has in general responded positively to our upcycled products. But we also experienced recurring questions that were sceptical. The products must be cheaper, I don’t want to eat waste. These are the most regular negative reactions. However, the change has already happened and upcycled products get more and more popular, in terms of shelf space as well as increasing demand. Actually there is a new study by the Duale Hochschule Baden-Württemberg that researched how sustainability impacts purchasing behaviour. Education is key, and the narrative is how the branch will develop: Kern Tec promotes transparency and highlights environmental benefits to raise awareness about food waste and the advantages of upcycling. Labeling and B2B storytelling play a central role in consumer engagement.

What does the future look like? With plans to enter new markets, what are the main trends, challenges and opportunities Kern Tec anticipates in scaling its operations internationally? Kern Tec plans to expand further across Europe and into the US once current market challenges have stabilized. The expansion is driven by growing demand for circular products with a story.  In the next five years, the company aims to become a global benchmark for upcycled food ingredients and circular product innovation.Key challenges include regulatory approvals, logistics, and consumer education. Programs like Kickstart help bridge these gaps by providing visibility, investor access, and network for internationalization.

Is there any specific advice you’d like to offer to future entrepreneurs in this industry? My advice is not to be afraid of taking the first step into entrepreneurship, even if you fail, you will have so much experience you can’t get in any other corporation. And this will be worth a lot in your future career. 2nd: Don’t hide to develop the idea in your room. Define your assumption of the target group, present your idea to as many people and gather their feedback, especially negative ones. That helps you to develop the right product in the most efficient way.

About Michael Beitl, Founder Kern Tec

Michael Beitl

Michael Beitl is the co‑founder and managing director of Kern Tec GmbH, the Austrian upcycling and food-tech pioneer founded in 2019  . A graduate of WU Vienna University of Economics and Business, Michael’s entrepreneurial journey began in the university’s “Garage” start-up course in summer 2018—where an idea from an Austrian fruit farmer about using discarded fruit pits sparked the foundation of Kern Tec. In 2023, the company closed a record-breaking €12 million Series A round to scale its circular food technology across Europe, and prepare for entry into the US market. Michael is passionate about circular economy innovation. His vision: to eliminate food waste by turning low-value by-products into high-value, nutritious, and sustainable food ingredients. His leadership continues to drive Kern Tec’s mission to reshape supply chains and contribute to climate-positive nutrition.

About Kern Tec

Kern Tec transforms overlooked food waste into valuable, sustainable ingredients. By upcycling fruit pits from the juice and jam industry, Kern Tec unlocks a new category of high-quality, plant-based ingredients for the food, cosmetics, and non-dairy sectors. Through proprietary technologies, the company ensures the safe and efficient use of 100% of the fruit pit — from detoxified kernels to shells — supporting circular production models and reducing environmental impact. With an ever-expanding product portfolio, Kern Tec enables businesses to innovate sustainably, without compromising on quality or nutrition.