Friday, May 24, 2024
Last month, Relocalize, a Montreal-based cleantech startup, secured an additional $2.3 million in funding. The funding, which brings this seed round to a total of $5.8 million, will support the development and deployment of its technology-powered micro-factories.
Relocalize is hoping to revolutionize the manufacturing and packaging of food-related items by localizing production in their micro-factories. By decentralizing production of the items, Relocalize will help the grocery industry vastly reduce its transportation costs and corresponding emissions, as well as mitigating supply chain risks.
The first product that Relocalize has focused its efforts on is packaged ice, especially in the southern United States. There are a few reasons for starting with packaged ice. First, logistics is the single highest cost for manufacturers. Second, the market is dominated by geographic monopolies, so localizing production will have a substantial impact on transportation costs and emissions. Third, and finally, packaged ice can be a necessary product in the summer months, particularly during extreme weather events, so reducing supply chain risks is especially impactful.
Author: Noah Lew, 2023/2024 Articling Student-At-Law