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P.PSH.1518 - Development of a powdered beverage supplement sachet with the inclusion of Australian collagen

The global collagen market size was valued at USD 9.9 billion in 2024 and is projected to grow at a CAGR of 11.3% from 2025 to 2030 due to growing health and wellness trends.

Project start date: 01 June 2024
Project end date: 15 May 2025
Publication date: 22 April 2025
Project status: In progress
Livestock species: Grain-fed Cattle, Grass-fed Cattle, Sheep, Goat, Lamb
Relevant regions: NSW
Download Report (4.5 MB)

Summary

The project’s outcomes demonstrate benefits to the Australian red meat industry by creating new value streams for collagen products, especially those with improved sustainability stories, and positioning Australian-sourced functional ingredients in global health markets.

Objectives

The overarching objective was the development and consumer evaluation of an Australian-sourced powdered beverage blend containing naturally sourced fruit fibre from the baobab (boab) tree and Australian-sourced collagen designed for gut health, skin and hydration.

Key findings

1. Ingredient choices and regulatory assessment and market assessment: African baobab was preferred over Australian boab for its superior solubility, sensory appeal, and nutrient density. Bovine collagen was used in the consumer test due to limited availability of ovine collagen in time for the consumer test. External regulatory assessment ensured label compliance with Australian and US food safety standards, validating potential health claims, and market research highlighted strong growth potential driven by demand for clean-label, collagen-infused products.
2. Consumer test: Positive consumer feedback on taste, convenience, and health benefits supported product desirability with target consumers (women aged 35–50). The dual benefit of gut health and collagen was deemed highly appealing, confirming a multiple benefit product was of interest. Some recommendations were made for branding and flavour considerations to improve appeal for Australian consumers.

Benefits to industry

This project creates new value streams for the Australian red meat industry by highlighting Australian-sourced bovine collagen as an ingredient in a multi-functional powdered beverage format. As an example of a desirable product concept, it demonstrates commercial opportunities in the rapidly growing global health and wellness market, positioning Australian-sourced collagen as a premium, functional ingredient in a range of branded products with multiple functional benefits for the US market. This project also highlights opportunities for exploring and testing innovative ideas and demonstrates collaborations between international startups (such as TIIGA Inc.) and innovative Australian companies value-adding in the red meat industry (such as OTH).

MLA action

A public final report has been published for wider industry.

Future research

Several new opportunities to explore have been identified through this project. TIIGA Inc. has highlighted emerging need states for collagen-based products, including joint health (collagen plus other ingredients such as hyaluronic acid and chondroitin) in addition to the product for gut-health + hydration + skin health tested in this proof-of-concept study. Commercial conversations to explore these are currently underway between the commercial partners.

More information

Project manager: Angelica Pickup
Contact email: reports@mla.com.au
Primary researcher: Startupbootcamp