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Transforming Brewers’ Spent Grain into High-Value Ingredients

Transforming Brewers’ Spent Grain into High-Value Ingredients
May 27, 2026
By Farms.com

Terra Bioindustries and Great Western Brewing Company partner to upcycle brewers’ grain into low-carbon ingredients and boost domestic food production.

A new Canadian agri-food innovation project is set to turn brewery waste into high-value ingredients.

Protein Industries Canada has announced a $1.1 million investment to support a collaboration between Terra Bioindustries and Great Western Brewing Company (GWBC). The initiative focuses on transforming brewers’ spent grain (BSG), a food-safe byproduct of beer production, into innovative, low-carbon food ingredients through advanced upcycling technology.

The project highlights Canada’s growing leadership in sustainable food systems and circular economy practices. By leveraging proprietary technology, Terra Bioindustries will convert BSG into four distinct ingredients: a high-protein concentrate, dietary fibre, a cocoa extender, and a multifunctional barley syrup known as TERRA Malt.

The partners will initially focus on TERRA Malt, which offers potential as a versatile, low-carbon ingredient for a range of food applications.

Building a Circular Food System
At the core of the project is a commitment to zero waste and full utilization of agricultural resources. Terra Bioindustries’ process separates proteins, fibres, sugars, and flavour compounds from brewers’ grain, ensuring the entire input is repurposed efficiently.

According to Terra’s Marketing Lead Rebecca Palmer, this approach creates both environmental and economic value.

“The ingredients are more versatile, production is more efficient, and nothing is wasted,” Palmer said. “This project allows us to create a truly circular system that celebrates Canada’s grains.”

The technology represents a scalable and commercially viable solution not only for Canada but also for global markets seeking sustainable ingredient alternatives.

Strengthening Domestic Supply Chains
The initiative also aligns with Canada’s broader effort to reduce reliance on imports and strengthen domestic food production capabilities.

Protein Industries Canada CEO Tyler Groeneveld pointed out that transforming existing agricultural co-products into higher-value ingredients will help grow the country’s food sector.

“This is exactly the kind of innovation that will expand food production and create new economic opportunities,” Groeneveld said. “It demonstrates how Canada can make more food at home while maximizing the value of what we already produce.”

Innovation Benefits for Brewing Sector
For Great Western Brewing Company, the project delivers both environmental and financial advantages. The company plans to use TERRA Malt in the development of a new non-alcoholic beer, taking advantage of the ingredient’s low fermentable sugar content to reduce alcohol production during fermentation.

This innovation also has the potential to lower transportation-related emissions while adding value to brewing byproducts that would otherwise be underutilized.
GWBC Chief Financial Officer Brendan Halbgewachs highlighted the business impact of the collaboration.

“This project allows us to retain thousands of dollars within our business,” he said. “Those funds can be reinvested in innovation, operations, and local jobs, strengthening both our company and our community.”

Economic Impact and Industry Growth
Of the total $1.1 million investment, Protein Industries Canada is contributing $486,000, with the remaining funds provided by project partners. The funding supports technology implementation, product development, and testing aimed at bringing these ingredients to market.

 


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