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Making a Clean Swap – NuTek Natural Ingredients

May 15, 2023

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NuTek Natural Ingredients is a global supplier of cost effective, clean label ingredient solutions. Founded in 2006 by two CPG executives, the company creates and manufactures solutions for a healthier food supply all centered around one idea: “created in nature, nurtured by science.” In 2016, they opened a manufacturing facility in Fargo where they have set out to fulfill this mission, working with their customers to make a clean swap to natural ingredients.

Why NuTek?

NuTek has three product platforms:

  1. Salt for Life and Beyond Salt sodium reduction solutions – Salt substitutes made with potassium salt, sea salt, and mineral salt that delivers the same flavor and functionality as regular table salt. This was NuTek’s first patented ingredient.
  2. NuXtend Natural Preservative – A fermented, plant-based preservative that prevents mold and offers the same functionality and taste as synthetic preservatives.
  3. NuForm Texture Solution – A plant-based, upcycled texture solution that delivers the same functionality as other hydrocolloids in the market with a clean label.

“Consumers are shifting to more clean label foods across the world. NuTek plays in a 70 billion global market of ingredient solutions. Our patented technology allows us to create these products in an efficient, environmentally friendly way.”
– Anna Biehn, VP of Marketing and Strategy. “

Creative Financing for More Creative Products

As demand for NuTek’s products continued to grow, so did their need for additional capacity and capabilities at their Fargo location. NuTek met with the Greater Fargo Moorhead Economic Development Corporation (GFMEDC) to learn more about financing resources available for this expansion. It was through this process that they were introduced to Dakota Business Lending and the New Markets Tax Credit (NMTC) program.

In 2022, NuTek received a NMTC allocation towards their expansion project. “Our plant expansion in Fargo involved adding new capabilities such as fermentation to grow our preservatives platform. We also built out our foundation for future growth.” shared Biehn. This allocation allowed NuTek to move forward with their expansion efforts without delay and take this next step towards growing their business.

Improving Global Health and Our Local Community

The NMTC program has several components to ensure that projects have a transformative impact on their community, including creating high quality jobs. NuTek plans to create 27 additional jobs over the next 7 years. To date, they have completed 70% of their goal and anticipate overachieving it.

By growing their Fargo plant, NuTek also plans to leverage agriculture products from North Dakota for their ingredient solutions.

Spreading the Impact

As part of the project, NuTek delivered a “pay it forward” donation to several local community organizations, including YMCA of Cass and Clay Counties, YWCA Cass Clay, and the F5 Project. The concept is part of Dakota Business Lending’s effort to maximize the impact in the community and pass along direct financial assistance to others in need, while supporting workforce development and infrastructure vitality in the state.

“The ‘pay-it-forward’ component of the program was very impactful to us. Part of our Environmental, Social, and Governance (ESG) plan is to support workforce diversity, and what better way to do that than by supporting women through these three organizations. The ‘pay it forward’ component took our expansion and our mission to the next level for us.”

What’s Next for NuTek?

NuTek plans to continue fulfilling their mission, one ingredient at a time. “Our growth plans focus on entering new categories with our current product platforms, expanding our capacity and capability,” shared Biehn. “We also continue to build out our ESG agenda.”

For more information about NuTek Natural Ingredients, visit their website.

This article was written by Dakota Business Lending with permission from NuTek Natural Ingredients and is not to be edited or redistributed without permission.