I have been updating the Entomology Company Database in this site now for 1,5 years and the list of active companies has been growing a month after a month until this summer. There was a two month break that I didn’t find a single new company and when I finally did find the summer’s first I had the feeling that there must be something happening in the background. I went through the complete list of the companies on 20th of August and this is what I found out:
25 companies had their status changed from active to not active.
8 companies had their status changed from active to unknown.
Even though 25 up to 33 companies have left the industry it does not mean that the industry would have lost its potential, but it tells of loss of the biggest hype and arrival of realism. The ones with no real potential are moving on.
What is worth noticing is that of the 25 closed down companies only four were farming companies. This change is a step towards healthier structure of the industry. Before this change, and also still today there are very little raw material producers (beginning of the supply chain) compared the end product manufacturers and sellers (end of the supply chain).
Would be really interesting to know the reason for the companies to quit. Are the end product companies quitting mostly because of:
- Difficult regulatory environment?
- Challenges entering the markets with insect products?
- Because of the lack of supply in the raw material side?
Any idea about this? Please leave a comment!
Check out the latest update of the Entomology Company Database here: https://ilkkataponen.com/entomology-company-database/