REHOVOT, ISRAEL — Oshi, an Israeli startup co-founded in March 2021 by Ofek Ron, Ron Sicsic, PhD, Ariel Szklanny, PhD, and Hila Elimelech, PhD, to manufacture plant-based salmon, has relocated production from Israel to California while its R&D team will stay in Israel. After realizing its market was in the US, the company began the move in October 2023.
“Unfortunately in Israel, mycelium is not accepted by mainstream health authorities, whereas it is accepted by the FDA in the US,” Ron said. “This regulatory difference meant that our products could not be sold in Israel, leaving us with little reason to stay unless we focused solely on development and regulatory adjustments, which would require considerable time and effort.”
The company spent approximately six months setting up machines and a co-manufacturing production facility in the US and finalized its move in July.
“This ensured we could efficiently serve the American market and capitalize on the growing demand for plant-based alternatives,” he said.
To produce its plant-based salmon, Oshi uses modular layering. Modular layering is a process that implements fat between the layers of blended plant-based protein and algae extracts to create a texture similar to salmon, according to the company.
“Before we started Oshi, the available technology could only create ground fish products,” Ron said. “To create a real market for fish alternatives, we believed it was essential to replicate the true fish fillet experience. Our focus on salmon stems from its opportunity, ensuring that our product resonates with a wide audience and meets demand for authentic fish alternatives.”
For its US go-to-market plan, Oshi said the company will focus on a phased approach beginning with its foodservice launch in 2024 and following with a product launch in retail.
“We will start with committed partners Earth Fare and Besties,” he said. “In 2026, we will further expand our US retail presence and launch our product in the EU, starting with a test phase in collaboration with Co-op. In 2027, we will focus on expanding our market presence in the EU.”
To date, the company has raised a total of $14.5 million over two funding rounds.
“This helped us create new technology, build machinery, build a process for materials and formulations that are mimicking that taste and texture of salmon fish and helped us launch a product successfully in restaurants across the states,” Ron said.
The company is aiming to scale its machinery to produce larger quantities of Oshi fillets at a lower price.
“We see ourselves in five to 10 years becoming a mainstream product in every supermarket or restaurant,” Ron said.Enjoying this content? Learn about more disruptive startups on the Food Entrepreneur page.