Cellugy, a Danish industrial biotech company, has received €8.1 million in EU funding to scale up production of EcoFLEXY, a biodegradable cellulose-based material designed to replace microplastics in everyday cosmetics.
A Hidden Threat
Microplastics, (i.e. tiny plastic particles under 5mm), are now found in everything from toothpaste and moisturiser to shower gels and makeup. These particles often go unnoticed by consumers but can persist in the environment for centuries, posing long-term risks to marine life and potentially human health.
Cosmetic companies have used fossil-derived polymers such as carbomers for decades because of their ability to provide smooth textures, stabilise emulsions, and extend shelf life. However, these ingredients are increasingly under scrutiny, both from regulators and from environmentally aware consumers. The European Chemicals Agency (ECHA) has estimated that more than 42,000 tonnes of intentionally added microplastics are used in EU products every year, with rinse-off cosmetics among the major contributors. That’s where Cellugy’s new products come in.
Who Is Cellugy?
Founded in Aarhus, Denmark, Cellugy is a synthetic biology startup developing sustainable, high-performance alternatives to petrochemical ingredients. The company is led by CEO and co-founder Dr Isabel Alvarez-Martos, who appears to have become quite an outspoken advocate for bio-based innovation as a means of catalysing systemic change in consumer goods.
Funding
Earlier this year, Cellugy secured €8.1 million from the EU LIFE Programme to support its BIOCARE4LIFE project with the main aim being to commercialise EcoFLEXY, the company’s flagship ingredient designed specifically for the personal care sector.
The Technology Behind EcoFLEXY
EcoFLEXY is a fermentation-derived, biofabricated cellulose, which is essentially a high-purity biopolymer produced without cutting down trees or using harsh extraction chemicals. Cellugy feeds sucrose to specially engineered bacteria in a controlled environment, allowing them to synthesise cellulose in ultra-pure, crystalline form.
The resulting material is a rheology modifier, i.e. a substance used to control the texture, viscosity, and flow of cosmetics. It performs a similar role to carbomers but offers what Cellugy describes as “enhanced stability, compatibility, and sensoriality”, industry terms referring to product consistency, chemical resilience, and feel on the skin.
Importantly, EcoFLEXY is biodegradable, bio-based, and scalable. Its structure is stable in the presence of salts and other charged compounds, making it suitable even for more complex product formulations like sunscreens and gels.
How Much Impact Could This Really Have?
Cellugy estimates that EcoFLEXY could prevent the release of 259 tonnes of microplastics into the environment each year, scaling to over 1,200 tonnes annually by 2034. That’s equivalent to removing millions of contaminated beauty products from the market.
This projection appears to be based on current usage patterns and is being validated by project partners including The Footprint Firm, a Danish circular economy consultancy, and Sci2sci, a Berlin-based AI company helping optimise Cellugy’s fermentation process.
“Our role is to optimise every layer of production so that EcoFLEXY can compete not just on environmental benefits, but on cost and performance metrics that matter to manufacturers,” said Angelina Lesnikova, CEO of Sci2sci.
Cellugy’s funding will cover four years of industrial scaling and validation, with the company aiming to generate “significant revenue within three to five years,” according to Dr Alvarez-Martos.
Why Microplastics in Cosmetics Are So Problematic
While most consumers are now aware of the dangers of plastic bottles and packaging, fewer realise that the products they apply to their skin may also contain plastic particles. Worryingly, these ingredients do not break down in wastewater treatment plants and often end up in rivers, lakes, and oceans.
Once in the environment, for example, they are consumed by marine organisms such as plankton, worms, and fish, working their way up the food chain to humans. A 2018 study by WWF suggested the average person may ingest up to 5 grams of plastic per week, equivalent to a credit card’s worth!
Also, it’s not just the environment at risk. For example, some synthetic polymers are known or suspected to interfere with hormones, trigger allergies, or accumulate in tissues. While research into long-term effects is ongoing, consumer concerns are growing.
Implications for the Cosmetics Industry
EcoFLEXY enters a market already under pressure to clean up. For example, in 2023, the EU adopted legislation to restrict intentionally added microplastics in cosmetic and cleaning products. The new rules are expected to gradually phase out many current formulations, forcing brands to reformulate or risk non-compliance.
Yet it seems that not all “natural” alternatives perform well. For example, according to Cellugy, many plant-based thickeners lack the chemical stability needed for modern cosmetics. EcoFLEXY aims to fill this gap, offering brands a way to remain compliant without sacrificing product performance.
“An alternative material that simply aims to be more sustainable is not enough,” said Dr Alvarez-Martos. “The critical challenge is about delivering bio-based solutions that actually outperform petrochemicals.”
Cellugy Not the Only One
It should be noted here that Cellugy isn’t the only company exploring microplastic alternatives for cosmetics. Examples of other startups and multinationals exploring the same thing include:
– Geno (USA), a biotech firm backed by L’Oréal and Unilever, is working on bioengineered alternatives to fossil-derived surfactants and polymers.
– Lignopure (Germany), which has developed LignoBase, a lignin-based ingredient for personal care formulations.
– CarbonWave (USA), which is turning sargassum seaweed into emulsifiers and stabilisers for skin care products.
However, it seems that few have focused as specifically on the rheology modifier market, where carbomers still dominate due to their low cost, proven performance, and widespread availability.
By targeting this particular category, Cellugy appears to be carving out a commercially attractive and environmentally urgent niche.
Challenges Ahead
Despite the promising figures, there are some key challenges to take note of. For example, biotech production processes like fermentation can be difficult and expensive to scale, especially when consistency and purity are paramount. Manufacturers also need to be convinced not only of EcoFLEXY’s ecological merits, but of its price competitiveness and long-term supply reliability.
Some industry insiders caution that switching ingredients often requires lengthy reformulation cycles and new safety testing. And while regulatory pressure helps push adoption, it also creates risks if new rules change or enforcement is delayed.
Sceptics may also question whether bio-based equals low-impact. Although fermentation is generally cleaner than petrochemical processing, it still requires energy, water, and feedstock inputs, raising questions about lifecycle emissions and land use.
That said, at the moment, the momentum appears to be on Cellugy’s side. With regulatory deadlines looming and younger consumers demanding transparency and traceability, the pressure to eliminate microplastics from cosmetics is unlikely to subside.
As the personal care sector enters a new phase of sustainability-led innovation, Cellugy’s success (or failure) could set a precedent for how the industry balances performance with environmental responsibility.
What Does This Mean For Your Organisation?
If EcoFLEXY delivers on its promises, Cellugy could become a key driver in shifting the cosmetics industry away from petrochemical dependency. By offering a material that is not only biodegradable and biobased but also capable of meeting the technical demands of high-performance formulations, the company is addressing a gap that has long held back broader adoption of sustainable alternatives. The emphasis on performance parity matters here, particularly for manufacturers who are unwilling or unable to compromise on product quality to meet environmental goals.
For UK businesses, the potential benefits are clear. Brands looking to stay ahead of incoming regulations around microplastics could find in EcoFLEXY a ready-made solution that reduces risk and supports green innovation claims. At the same time, contract manufacturers, product developers, and retailers in the UK may see opportunities to differentiate themselves in an increasingly sustainability-conscious market. However, cost remains a likely sticking point. Unless fermentation-based materials like EcoFLEXY can be made competitively at scale, some firms may hesitate to switch without regulatory or market pressure.
For regulators and environmental advocates, Cellugy’s approach demonstrates how public funding can help bridge the gap between lab-scale promise and commercial viability. It also shows that innovation-led solutions don’t always come from inside the legacy cosmetics giants. In fact, small biotech firms like Cellugy may be better placed to build sustainability into the core of their business models rather than treating it as a retrofit.
Still, the industry’s next steps will be critical. If larger companies fail to follow through on public sustainability pledges, or if reformulation efforts stall, the microplastics problem in cosmetics may simply shift rather than shrink. Also, although firms like Geno, CarbonWave, and Lignopure are bringing complementary solutions to market, broader uptake will depend on how quickly the sector aligns behind credible standards for biodegradability, toxicity, and lifecycle impact.
What Cellugy has done here is to essentially raise the bar, but the coming years will reveal whether the rest of the industry is ready to meet it.