C16 Biosciences has entered the food industry with a fermented cocoa butter equivalent. The New York biotech, known for sustainable palm oil alternatives, is now applying its technology to edible fats.
The new product is sold under the Palmless brand and is made through precision fermentation. Several multinational food manufacturers are already using it in product development, the company said.
Co-founder and CEO Shara Ticku said fermentation has always shaped chocolate’s flavor, and it is now shaping its texture and performance as well.
C16 uses aerobic precision fermentation, relying on a naturally oil-producing microorganism that has been refined through process optimization and adaptive lab evolution to increase lipid output. The company says this solves a longstanding issue with cocoa butter: inconsistency. Traditional cocoa butter varies by bean origin, growing season and harvest, which creates problems for chocolate makers, including shifting tempering curves and structural defects.
These challenges have grown more pressing as cocoa prices rise. Extreme weather now threatens a third of the world’s cocoa trees, according to C16, and cocoa butter costs reportedly rose sixfold in 2025.
C16 says its fermented alternative offers a more predictable fat profile. It gives manufacturers a wider tempering window and a lower risk of fat bloom, all without relying on cocoa harvests. Other companies are pursuing similar solutions, including Planet A Foods, Terra Oleo and Celleste Bio.
C16 also expanded its beauty ingredient lineup. Three new products join its existing Torula Oil platform. TorulaSilk offers a lightweight, fast-absorbing finish and can replace certain silicones. Torula Butter melts at skin temperature and offers conditioning benefits, while Torula Carotenoid Complex provides antioxidant protection using fungal-specific compounds.
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