There’s not just one, but multiple challenges involved with innovating a next-generation, environmentally-friendly coffee pod.
A pod made of plant-based materials is a brilliant idea, but it’s not simple to engineer. It must achieve the needed barrier properties for the K-Cup style and the Nespresso. Additionally, there are issues with toxicity for conventional manufacturers – other pods that claim to be compostable (because of certification) might fail toxicity studies due to fossil inputs or may not compost in the time required by municipal compost facilities.
On top of that, there’s the issue of compromised taste of coffee for the end-user. New eco-based single-serve pods have fared poorly in “pour-over” tests. In other words, the coffee didn’t taste as good as people are accustomed to.
It was five years in the making, but a potential category killer has arrived that could change everything.
NEXE Innovations (TSX-V: NEXE & US: NEXNF ) designs, manufactures, and leverages disruptive technology to make plant-based products. It was founded in 2015 and has leveraged 3D printing to reach a prototype and patent what the management team cites as the world’s first compostable single-serve coffee pod, born out of the need to replace non-biodegradable plastic.
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Its first commercial product is the NEXE POD; 100% plant-based and fully compostable, catering to the market demand for such a product.
Its eco-toxicity and compostable results are backed by scientific and industrial studies. In fact, after years of research and development, NEXE has achieved a breakthrough as they’ve proved full compostable capability in as few as 35 days, compared with plastics that take centuries to do the same!
It potentially takes 35 days and not the 500+ years that old-fashioned plastic coffee pods are known to degrade in the environment, doing damage to our natural resources and harming our precious wildlife.
The NEXE POD makes the old, rigid coffee pods seem ridiculous, in our opinion. The rigid cups are usually hot to the touch, which reduces the convenience factor. They involve a complex, multi-step recycling process, and no one likes the fact that they literally take centuries to decompose. The tipping point is likely upon us – conduct due diligence on NEXE Innovations (TSX-V: NEXE & US: NEXNF)!
Meanwhile, the NEXE POD may be a clear winner in a head-to-head comparison with conventional rigid plastic coffee pods:
- Cool to the touch
- Fully compostable
- Superior taste
- No adhesives
- Soy-based ink
The cost of human labor in the production of each pod is less than 10% of the cost of the pod as the operating lines are fully automated. Once management scales the business further, that labor cost and material cost will come down even more.
This fully customized facility and the one that the company intends to expand into right next door will allow for manufacturing 220 million pods this year.
This is a 100%-owned facility, including the real estate itself.
From concept to execution, NEXE is allowing scientific research to be its guiding force in building the perfect pod.
The scientific and commercial validation offers reassurance that NEXE’s results are rock-solid and reliable, as we see it. Check out these remarks from the collaborating scientific bodies:
“Soil containing NEXE POD compost had no negative influence on the growth of carrots and onions over a period of six weeks, with no evidence of toxicity to the plants.” – Dr. Zachary Hudson, Canada Research Chair in Sustainable Chemistry, University of British Columbia
“In optimum conditions the pods can be fully degraded within a 35-day process. At an average organic waste facility, it would take approximately 70 days to fully degrade. We are working towards BPI certification.” – Terravis Ltd., Private Sector Compost Study
“The pods have demonstrated complete degradation, meeting applicable compost quality standards after 12 weeks.” – Dr. Anthony Lau, Associate Professor and Advisor, University of British Columbia and one of North America’s leading composability experts
Along with the confirmation of well-regarded scientific community and industry experts, NEXE also has the backing of government/academic partnerships, including those with the government of Canada, the NSERC/CRSNG (Natural Sciences and Engineering Research Council of Canada), the University of British Columbia, and the city of Surrey.
Through their forward-thinking leadership, management believes that NEXE has brought the world a coffee pod that’s non-toxic in soils, quickly and fully compostable, backed by verified science, and compatible with the leading single-serve coffee machines. Best of all, the NEXE POD is possibly ready to be embraced by policymakers in the U.S. and internationally, as well as the new generation of coffee drinkers who demand nothing less than a coffee experience that’s quick, convenient, and fully mindful.
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On December 17th, 2020, in connection with our agreement with Nexe Innovations that was signed on November 18 twenty twenty, we received $350,000CAD to Gold Standard Media LLC. This was for a 12 month.agreement which will start on January 4th, 2021. Wallace Hill Partners LTD on November 19, 2020 purchased 1,100,000 common shares at CAD0.80 and 1,100,000 warrants with a price of CAD1.00 through a private placement.