ISRAEL – PhenOlives, an innovative Israeli food-tech start-up, has launched the world’s first commercial production line for upcycled olive flour at the ASSI Olive Mill in Emek Hama’ayanot, transforming olive oil waste into a high-value, sustainable ingredient.
The fully automated facility began operations in late 2025, producing 10 tonnes in its inaugural season and targeting up to 400 tonnes per season from 2026/27 onward.
This milestone addresses a pressing issue in the global olive oil industry: approximately 85% of each olive, pomace, seeds, pulp, and black water becomes costly waste after oil extraction, burdening mills with disposal fees.
PhenOlives’ patented, chemical-free process prevents oxidation, converting the entire byproduct stream into gluten-free olive flour rich in fibre and polyphenols, and into kernel and polyphenol extracts.
CEO Chen Lev-Ari described it as a “landmark moment,” shifting olive mills from waste management to revenue generation with minimal staffing and seamless integration alongside oil production.
“Out of an estimated 25,000 olive mills worldwide, there is now one operating mill that turns olive oil waste into a commercially viable product; a landmark moment for the olive oil sector and a strong validation of PhenOlives’ commercial readiness,” said Chen Lev-Ari, CEO at PhenOlives.
“We now have a working, automated system alongside a real olive mill, producing tonnes of finished product. That changes the conversation entirely for both olive mills and food manufacturers.”
The flour suits bakery, pasta, snacks, crackers, and gluten-free products, offering a consistent, traceable supply chain without additional land or crops.
The launch validates years of Research & Development, supported by Israel Innovation Authority funding, positioning PhenOlives to scale globally in olive-growing regions such as Spain, Italy, Greece, and Portugal.
It aligns with circular economy principles, reducing environmental impact, while global mills generate millions of tons of waste annually.
Food manufacturers benefit from a novel, nutritious alternative to traditional flours, enhancing fiber content and sustainability credentials. PhenOlives is now partnering with mills for add-on installations and B2B buyers seeking innovative, eco-friendly sourcing.
This breakthrough not only cuts disposal costs but creates economic opportunities in agribusiness, reinforcing Israel’s leadership in food-tech sustainability.
The announcement further details that the successful commercial run also unlocks supply for food manufacturers seeking high-fiber, gluten-free, low-calorie upcycled ingredients.
With the system now validated, PhenOlives is actively engaging food companies interested in sourcing olive flour as well as olive mills seeking to install the system as an add-on to existing operations.
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Dining and Cooking