Periodic Reporting for period 1 - GELATEX (The first process to synthesize Leather ‒ A fabric with the identical chemical composition and exact mechanical properties as leather)
Okres sprawozdawczy: 2019-07-01 do 2019-09-30
At a time when environmental campaigners, pressure groups and growing portions of society are increasingly demanding change towards more sustainable societies and economies, our product, Gelatex, has the potential to eliminate the highly chemically polluting, water-intensive and wasteful genuine leather tanning industry. Gelatex is the first fabric with identical chemical composition and properties to leather, made from gelatine (a waste product from the meat industry). The overall objectives of the Gelatex project, to reproducibly guarantee high quality, durability and leather-like properties, have been outlined to be: 1) Optimisation of Gelatex material properties and pilot line construction, necessary for the preparation of sufficient material for pilot capsule collections; 2) Preparation of production scaling and quality assurance; 3) Material certifications and IP strategy development; and 4) effective deployment and execution of our pre-commercialisation and communication strategies.
Commercial: the global leather market (incl. genuine, synthetic and bio-based leather) was analysed, with particular focus on the segments applicable to Gelatex market entry (i.e. fashion, automotive, furniture). Our business model and production strategy was assessed within this market and the best route forward identified. An analysis of potential competitors allowed us to determine realistic pre-commercialisation, commercialisation and communication strategies, with sectoral and geographical segmentation for each target market. Barriers to commercialisation were identified and possible mitigation and corrective strategies proposed.
IP: we performed a thorough analysis of the IP situation related to Gelatex, which allowed us to conclude that we are free to operate globally without infringing the IPR of others. We thus defined steps towards further protecting our IP through patents and trade-secrets.
Regulatory: during this study we were able to identify the required certifications for the successful commercialisation of the Gelatex material (i.e. material properties as well as eco-labelling). Steps towards obtaining the necessary certifications were defined.
Financial: we evaluated the investment needs for the full execution of a Gelatex phase 2 project, with the overall budget distribution proposed, aiming to reach full Gelatex market deployment by Q1-2022. Using financial projections to 2026, we were able to quantify expected profitability, return on investment as well as the payback period of the project. This also allowed us to define the most cost-effective Gelatex material production strategy and thus consolidate a feasible business plan.
Gelatex’s material properties and efficient production method will impact the environment, society and economy positively, by: 1) potentially eliminating the highly chemically polluting, water-intensive and wasteful genuine leather tanning industry; 2) catalysing a consumer shift towards bio-degradable products, produced in sustainable ways, by offering a material substitute with identical properties to genuine leather; and 3) encouraging growth in the niche bio-based leather and sustainable fashion markets by being the first sustainable solution to offer properties the strength, durability, breathability, water-resistance, look and feel of leather.