In a breakthrough that could reshape the global chocolate industry, food tech startup Celleste Bio has announced the successful production of the world’s first cell-cultured cocoa butter, offering a sustainable alternative to one of chocolate’s most expensive and resource-intensive ingredients.
Backed by snacking giant Mondelēz International, Celleste Bio claims its lab-grown cocoa butter is “bio-identical” to the natural version extracted from cocoa beans — matching its rich texture, aroma, and sensory profile. The company has so far raised $15 million, with Mondelēz serving as both a strategic and design partner, and is now setting up a pilot facility to scale production.
The innovation arrives at a crucial time for the global confectionery sector. Over the past two years, soaring cocoa prices — driven by climate change, crop disease, and aging trees in major producing regions like West Africa — have forced companies such as Hershey and Mars to raise prices and explore ingredient alternatives. Although cocoa prices have eased slightly in 2025 due to improved weather and expanded cultivation in Ecuador, the long-term supply risks remain significant, according to the International Cocoa Organization.
Industry players have already begun experimenting with substitutes: for instance, Ardent Mills, a joint venture between Cargill, Conagra, and CHS, recently launched a wheat-based ingredient that can replace up to 25% of cocoa powder in baked goods. But Celleste Bio’s technology aims to go further — offering a replacement that is chemically and functionally identical to cocoa butter itself.
“Cocoa butter is the single most important, expensive, and resource-intensive ingredient in chocolate,” said Howard Yano Shapiro, retired chief agriculture officer at Mars and an advisor to the project. “If we’ve learned anything from last year’s supply shocks, it’s that solutions for crop supplementation are crucial. This is not a replacement for traditional farming — it’s an insurance policy for the future.”
According to Celleste Bio, chocolate manufacturers spend nearly $16 billion annually on cocoa ingredients, with cocoa butter accounting for almost half of that expenditure. The company’s lab-grown version could help stabilize prices, reduce pressure on deforested regions, and ensure long-term supply security for confectionery producers.
Major chocolate makers are already investing in similar sustainability measures. Nestlé, for instance, has developed a process that uses up to 30% more of the cocoa fruit, reducing waste while improving yield.
If scaled successfully, Celleste Bio’s innovation could mark the beginning of a new era for chocolate production — one where taste and texture remain indulgent, but the supply chain becomes far more sustainable.