Insect farming has long been touted as a game-changing solution for some of the world’s toughest challenges: feeding a growing population, replacing unsustainable soy and fishmeal, reducing food waste, and creating circular systems for agriculture.
But while the promise has always been there, early attempts to scale the industry fell short. Many farms failed to overcome steep operational challenges, and the dream of thriving commercial insect farming seemed just out of reach.
Until now.
Insects are not just the future of feed—they are also our past. Humans have relied on insects as a food and feed source for thousands of years. What’s different now? We have new tools to do it smarter, faster, and on a scale that matters.
The Struggles of the Past
It’s no secret that the first wave of commercial insect farms faced significant obstacles. These businesses were tackling complex, biology-driven problems without a roadmap.
Over-investment Without a Plan
In the early days, huge investments were poured into the industry with expectations of overnight success. The result? Farms grew too big, too fast—only to discover the problems they were unequipped to handle:
Unpredictable production cycles without robust data or systems.
High labor costs from manual monitoring and maintenance.
Inconsistent yields caused by subtle fluctuations in temperature, humidity, or substrate.
The lack of an established playbook meant these farms were scaling before solving the fundamental challenges of insect production. "Fail fast" may work for software startups, but in insect farming, failure often came at a massive cost: dead colonies, skyrocketing expenses, and broken trust with buyers.
Demand Is Not Patient
Here’s the hard truth: When a farm is unable to meet consistent demand, that demand disappears. Buyers can’t afford to gamble on unreliable supply chains, so they look for alternatives—traditional soy, fishmeal, or another protein source that won’t disrupt operations.
Inconsistent production didn’t just hurt individual farms; it eroded confidence in the entire industry. Without reliability, scaling was impossible.
Lessons Learned: Why This Time Is Different
The difference between then and now? Understanding. The insect farming industry has spent the past decade learning hard lessons and building the tools needed to succeed.
Smarter, Not Bigger
Farms today are scaling strategically, leveraging technology to minimize risk and maximize efficiency. Instead of growing too quickly, modern farms are taking a smarter approach:
- AI and automation: Tools like Bug Mars’ Hexapod platform allow farms to monitor key metrics, manage feed schedules, and identify irregularities before they become catastrophic.
- Data-driven insights: Years of trial and error have created a deep understanding of optimal environments, feed compositions, and insect lifecycles. Decisions are no longer based on guesswork.
- Integrated systems: From environmental controls to feed management, modern farms use connected systems to reduce manual labor and improve consistency.
Farms today know better than to chase scale without solving the fundamentals. Instead, they’re building reliability first—and scaling second.
The Role of Financing in Scaling Insect Farming
Understanding alone isn’t enough. One of the biggest barriers to insect farming success has always been a lack of resources. Building a farm takes capital, and early farms often couldn’t secure funding to fix their problems once they hit scale.
But the tide is turning.
The latest rounds of financing in the insect farming industry are different. Investors now recognize the long-term potential of insects to disrupt the $150B soy industry, providing sustainable alternatives for livestock feed, aquaculture, and pet food. And they’re funding farms that are solving problems—not just chasing growth.
A Shift in Market Expectations
At the same time, new regulations like the European Union Deforestation Regulation (EUDR) are putting pressure on industries to move away from soy-based feed. Insects are the obvious, sustainable replacement. Farms that can reliably meet this demand are perfectly positioned to succeed.
Why Timing Matters
Industries rarely get a second chance to redefine themselves. Insect farming is seizing this moment with better tools, better funding, and a clearer path forward.
Here’s why the timing is right:
Demand is surging: Global interest in sustainable protein is accelerating, driven by supply chain disruptions, policy changes, and consumer awareness.
- Technology has matured: AI and automation have proven their ability to drive measurable improvements in farm efficiency, yields, and profitability.
- Financing is available: Investors are backing the sector, and farms can now access the resources needed to scale strategically—not recklessly.
- Farms are no longer rushing to “fail fast.” Instead, they’re using AI to build reliability, meet demand, and earn their buyers’ trust.
Bug Mars: Building the Future of Insect Farming
Bug Mars, has seen firsthand how far the industry has come. When we started, the challenges were daunting. But today, the combination of knowledge, technology, and financing has created the perfect environment for farms to succeed.
Our Hexapod platform is designed to solve the very problems that held the industry back:
Automating monitoring, feed management, and environmental controls.
Providing real-time insights into insect health, hatching events, and pest presence.
Enabling farms to scale without ballooning labor costs.
We believe insect farming isn’t just a niche—it’s a necessity. And with the right tools, farms can finally meet demand, deliver consistent supply, and fulfill the promise of a sustainable protein future.