FoodLogiQ Raises $19.5 Million

Wall Street Journal writer Erica Phillips reported last week that, “FoodLogiQ LLC, which develops supply-chain software to track food safety, raised $19.5 million in a new funding round that included investments by Tyson Foods Inc. subsidiary Tyson Ventures and sensor-manufacturer Testo Inc.

“The Durham, N.C.-based company’s platform allows a food company’s suppliers to provide details about the processes or pesticides used in farming, when and how products were shipped, audit filings and other factors a company wants to keep on file.

“The new backing, which was led by Renewal Funds and includes backing from Greenhouse Capital and Pontifax AgTech, comes as venture-capital investors are seeding a new crop of technology companies that aim to bring transparency to food industries as consumers and regulators are applying closer scrutiny to food supply chains.”

The Journal article added, “The software developers are aiding the industry with a problem known as food traceability—the ability to track a product from farm to wholesaler, manufacturer, packager, distributor and finally to a retailer or restaurant. Having electronic records of every point in the supply chain where food is handled allows suppliers to trace incidents such as contamination or to verify the quality or authenticity of food sources.

“That’s become an imperative for food companies as consumers are demanding more transparency about the origins of their food and also in light of new Food and Drug Administration rules, finalized in 2016, requiring U.S. food manufacturers to set detailed plans to prevent foodborne illness.”

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