EIB to finance half of Lantmännen’s US$107M pea protein plant construction in Sweden
European Investment Bank will finance half the cost of the facility, which is aimed at boosting local plant-based protein production. The plant will use Swedish-grown peas to reduce soy imports and support sustainable food systems.
SWEDEN – Swedish agricultural cooperative Lantmännen is constructing a new pea protein isolate facility in Lidköping with financial support from the European Investment Bank (EIB).
The bank has agreed to provide a loan worth approximately US$53.5 million (€50 million), which will cover around half of the total investment cost for the project.
Construction of the plant is scheduled to conclude in the first half of 2027, with the facility set to process over 40,000 tonnes of locally grown peas annually.
Once operational, the plant will produce pea protein for use in a variety of food and drink products including meat substitutes, dairy alternatives, breads, protein drinks, and snack bars.
This facility is being described as the first of its kind in Sweden, with the aim of supporting domestic food production and reducing dependency on imported protein sources such as soy.
According to Lantmännen, the peas used will be cultivated by its member farmers, aligning with broader efforts within the European Union to strengthen regional supply chains and agricultural sustainability.
The EIB loan is part of a wider EU strategy that seeks to boost plant protein production, reduce environmental impact from agriculture, and increase food system resilience.
Peas and other legumes such as field beans are known for their low demand for water and fertilizers, making them beneficial from a climate and biodiversity standpoint.
By relying more on Swedish-grown legumes, Lantmännen intends to contribute to lowering the share of imported soy used in food processing across Sweden and the EU.
The company’s chief financial officer, Michael Sigsfors, stated that the EIB’s support reflects recognition of the long-term value of domestic plant-based protein production.
He also said that increasing output for export and local consumption could improve both farmer earnings and national food security.
The investment comes as interest in alternative proteins continues to rise across Europe, with growing consumer demand for plant-based diets driven by health and environmental concerns.
According to market forecasts, the European plant-based protein sector is expected to expand significantly, contributing to a projected global market value of US$40.8 billion by 2027.
Pea protein, particularly from yellow split peas, has become a common ingredient in the sector due to its adaptability in processed foods and appeal to consumers seeking non-animal protein sources.
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