Ananda Food, page-21

Hi Fox. Good questions. I DID have thoughts on all this in about 2004, and I went through my archives and found a short internal paper I wrote on exactly this subject. Here it is:

Hemp Protien Isolate.pdf

I wrote both about the type of product Ananda is currently selling, which contains about 40% protein, and also about 12% fats (the good kind) and carbohydrates.

In a hemp nutshell, increasing the protein is simply a matter of removing the stuff that ain't protein. There are toxic chemically ways to do this (hexane) and other more mechanical methods. The method I mention vaguely in that paper was newly patented by an Australian gentleman, and I found both heads of agreement and confidentiality agreements connected to that technology. I looked up the company he was using at the time, and it doesn't seem active anymore, but I'm sure we could find him, as I also have his address. He wasn't that old in 2004 when we were in discussions with him. Because FSANZ legislation wasn't happening anytime soon at that point, the whole discussion sort of faded away.

Let me address directly your questions and give you my revised assessment since that time:

1. I’ve read that is is more of a byproduct of making the oil, but who do you think would buy regularly?

So the hemp protein product Ananda sells now is indeed a by product of hemp oil production. 12% oil remains. What you get is a product that requires nothing more than to be ground into a consistent powder packaging, and poof! You have a pretty damned good "whole food" that provides all of the nutrition a human would need for survival for weeks at a time: 40% protein, 12% fat, the rest carbs for energy.

I didn't understand nutrition well when I wrote that paper, and I had not yet heard of "rabbit starvation" (Google it if you don't know the concept). Thus I proposed that a superior "survival product" would have more protein. I was wrong. The proper product to make a survival bar or nutritional snack bar for everyday consumption would indeed be exactly what Ananda is selling now: a balanced product containing protein, fat and carbs. A product like this is for EVERYDAY SNACKING, AND COULD BE ADAPTED FOR SURVIVAL FOODS WITH THE RIGHT PACKAGING (because the remaining oil gives it a short shelf life).

What I should have written is that by using just the nut (now we are not using the byproduct of oil production anymore, be are using the supply of our other premier product, the dehulled hemp nuts, so now this has a COST rather than an efficiency by using a by-product!) and removing everything from the nut that ain't protein (extracting that 12% of remaining oil down to 0.5%) we COULD INDEED make a high protein hemp isolate. But now it would be MORE EXPENSIVE THAN THE HEMP NUT PRODUCT due to decreased yield, and the additional processing cost to produce. A product like this is for BODYBUILDERS. It could also be a stand along meat substitute for survival situations since the oil has now been mostly extracted, extending shelf life.



2. Would you have any thoughts about the strategy with the protein powder given the low protein content compared to other protein powders?

What DON'T I have thoughts about, Fox? My mind is a complicated salad of useless knowledge.

It should be kind of clear by now. The current Ananda Hemp Protein powder is not really aimed at muscle heads. It is aimed at people making healthy lifestyle choices, and giving them a nutritional balanced product that they could survive on if necessary. It is a complete meal replacement. Good for vegans. Good for the gluten free. Good for people on diets, replacing meals (391 calories in 100 grams). I'd say the current product has quite broad appeal.

The hypothetical high protein isolate, which is technically possible, would probably be much more expensive than other products currently on the market. Gut feeling says that our target market looks more like a soy boy than a muscle head.

Most muscle heads aren't worried about a vegetable source for their protein. They famously eat fish, steaks and chickens by the kilo. They would actually achieve their goals even faster if they just ate rabbits.

Hope that helps.