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JBS Accelerates The Bet On Higher Value Ingredients, Transforming Byproducts Into Collagen And Gelatin Focused On Higher Margins And Global Scale
With A Factory In Presidente Epitácio Inaugurated In 2022 And Exports To More Than 20 Countries, Genu-in Advances On The Boom Of Functional Foods And Supplements
Created by JBS with an investment of R$ 400 million, Genu-in was born to transform slaughter byproducts into gelatin and collagen peptides with high added value. The manufacturing operation in Presidente Epitácio, in the western part of São Paulo, was inaugurated in 2022 and quickly gained traction in the B2B market.
According to executive director Ricardo Gelain, the company is already operating above originally planned levels, driven by the expansion of functional foods. The growing demand led the company to prepare a new phase of expansion to meet customers in supplements, food, and cosmetics.
Today, Genu-in exports to more than 20 countries, with the United States as the main destination. Industry estimates indicate that the global collagen market for supplements is close to US$ 7.5 billion per year, while consumption in Brazil still lags behind more mature markets.
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The company does not disclose revenue and profit, but emphasizes the strategy of growing with higher-margin ingredients and diverse applications. Genu-in’s collagen is used in capsules, post-workout, protein drinks, and products for the food and pharmaceutical industries.
Capacity Bursting, Factory In Presidente Epitácio Operating At The Limit And Expansion Enters The Plan
The unit in Presidente Epitácio has a capacity for about 6 thousand tons annually of collagen peptides and another 6 thousand tons of gelatin. The volume has proven insufficient given the sales pace, and the company is already working on alternatives to increase supply.
Gelain states that the increased demand for protein and fortified products has expanded Genu-in’s space over the past two years. The company also sees opportunities in categories that go beyond traditional supplements, opening the way for new lines and formats.
In the domestic market, consumption is still significant, but lower than in countries with a tradition in supplements. The strategy, therefore, combines growth in Brazil with the consolidation of international destinations, especially in North America.
JBS Strategy With Byproducts, Higher Margin And Industrial Integration As Competitive Advantage
The main raw materials for collagen are bovine, swine, or fish hides, byproducts of slaughter traditionally directed to lower value uses. By refining this input, Genu-in captures margins higher than those of the traditional animal protein business.
According to industry estimates, collagen peptides can achieve Ebitda margins close to 30%, above those observed in meat sales. This economic difference helps reduce exposure to cattle cycles and smoothes sector volatility.
According to Gelain, integration with JBS’s network of slaughterhouses and tanneries speeds up processing and reduces the degradation of raw material, a critical element for final quality. Genu-in purchases inputs from other JBS units at market prices, operating independently within the group.
This movement is not isolated. In 2024, MBRF entered the segment by acquiring 50% of Gelprime, from Londrina (PR), for R$ 312.5 million, valuing the company at around R$ 625 million, marking its formal entry into nutraceutical ingredients.
Customers, Anvisa Authorization And Scientific Debate On The Efficacy Of Oral Collagen
Genu-in supplies the line of protein foods from Seara, also from JBS, and the protein water from Mamba, a brand of the Heineken group. In the ecosystem of the Batista family, Swift operates with the supplement brand Pro & Fit, which sells whey protein and pre-workouts.
The company is the only Brazilian producer with Anvisa authorization to associate its collagen with skin firmness and elasticity benefits. The regulatory validation is based on clinical studies conducted since the company’s inception and allows customers to indicate these effects directly on labels and advertising.
This regulatory differential is seen as a significant commercial advantage in a competitive and globalized market. For brands, being able to communicate benefits clearly and backed by evidence accelerates ingredient adoption.
The efficacy of oral collagen, however, remains under discussion within the scientific community. During digestion, proteins break down into amino acids and peptides that the body redistributes as needed, leading some experts to question benefits targeted at skin or hair.
Even with the debate, the combination of demand for well-being and regulatory validation keeps the ingredient in high demand. For Genu-in, the focus is on building technical support and consistent applications to sustain expansion.
Next Phase, Functional Foods And Habit Change With GLP-1 Pens Drive New Applications
The company is preparing to expand its portfolio to include beverages and dairy products enriched with collagen protein, following the preference for products with higher nutritional density. From ready meals to yogurts and protein drinks, the industry is reshaping portfolios to deliver convenience and clear benefits.
The growing use of GLP-1 weight loss pens reinforces the search for more protein items in daily life, creating new opportunities for collagen in everyday applications. In Gelain’s assessment, the combination of health, practicality, and quality aging supports sector growth in the coming years.
What do you think of JBS’s bet on collagen and the benefits promised by the ingredient, even with the ongoing scientific debate? Leave your comment, agreeing or criticizing, and tell us if you would include functional foods with collagen in your routine. Does this strategy generate sustainable value for the protein chain, or is it just another passing fad in the wellness retail sector?
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