Sweden has the perfect environment for growing yellow peas and fava beans, with cool temperatures and plenty of sunlight. Peas and beans might be tiny, but they are mighty: high in protein, climate-friendly and grown using few resources.
Lidköping , a small city in southern Sweden near Lake Vänern, has big hopes for these vegetables. The city will soon be home to one of Europe's most advanced pea protein production facilities.
“This facility is the result of years of planning, development and innovation,” says Magnus Fransson, the head of technical projects for the pea production site. “This is not only a new factory; it’s a fresh chapter in sustainable food production for Sweden and Europe.”
The plant, the first of its kind in the country, will be operated by Lantmännen Biorefineries, a grain and legume processing company run by Lantmännen, which is a farming cooperative owned by 17 000 Swedish farmers.
The plant will turn Swedish peas and fava beans into protein isolates that can be used to make plant-based food and sport supplements such as bars and drinks. To help build the plant, which should be running next year, Lantmännen received a €50 million loan from the European Investment Bank (EIB) in April 2025.
Making plants taste better
Food innovation is moving fast in Europe. Young companies are tapping into plant-based proteins in new ways to give people more options. While Lantmännen is dedicated to producing high-quality protein ingredients, a Spanish food company, Heura, is reimagining plant-based foods to offer more taste and variety on the tables of European families.
Heura, known for its meat alternative products like burgers, sausages and cold cuts, turns plant proteins, such as soy, into food products that are nutritious and contain lower saturated fats and cholesterol compared to traditional products.
“What sets Heura apart is its in-house innovation,” says Alberto Casorati, the EIB loan officer working on the project. “By analysing and improving food microstructure, their technology replicates the texture and taste of traditional products with soy protein, without compromising on nutrition.”
The European Investment Bank signed a €20 million loan with Heura in May 2025 to help the company expand into new categories such as plant-based cheese, snacks, sauces and pasta. Heura now plans to use its technology in new market segments by partnering with other companies. This expansion will address a growing demand for less-processed, lower-fat plant-based food that tastes good.
‘’In today’s very dynamic plant-based food sector, Heura keeps moving and innovating,” says Carmine Marzano, a senior bioeconomy specialist at the European Investment Bank. “That’s its selling point.”
Heura’s products have short ingredient lists with healthful, recognisable components, such as extra virgin olive oil and Mediterranean spices.
“We are working to build something that lasts: a food system fit for the economy of tomorrow,” says Bernat Añaños Martinez, the co-founder of Heura.
Heura
Changing the way we eat
Lantmännen and Heura are part of a push to change how Europe produces and consumes protein, with more consideration for the environment. Lantmännen uses new technologies that reduce the consumption of water, fertilisers and other resources:
- In the new plant, peas will be ground using special milling that preserves the protein’s structure and avoids damage.
- Advanced separation techniques will ensure that the protein is isolated from other pea components such as starch and fibre.
- The facility will use a drying process optimised to use less energy.
More value for farmers
Lantmännen is involved in every step of pea production, from plant-breeding, farming and processing to selling to end customers. The peas used in the facility are grown locally, which benefits the Swedish farmers who own the cooperative. The plant will increase demand for their crops, which should contribute to a better price and encourage expanded production. That means smarter land use and a fairer return for the farmers.
“Lantmännen’s real innovation is in bringing more value to farmers, with no disconnect between producers and consumers,” says Diogo Machado Mendes, an engineer who worked on the project at the European Investment Bank.
Lantmännen promotes a more climate-friendly approach to farming. The project will cut demand for chemical fertilisers, as peas and fava beans naturally pull nitrogen from the air and store it in the soil through their roots, enriching the soil. This reduces the need for nitrogen fertilisers, which take a lot of energy to produce and hurt the environment.
“Lantmännen is combining sophistication with simplification, from modern precision-farming to centuries-old crop rotation practices,” says Maris Miglans, the EIB loan officer responsible for the project. “Circularity stands out in their process: they make full use of 100% of the processed peas. Nothing goes to waste.”
Pea starch and fibres, as well as pea peel and other side streams produced during the protein-separation process, can be re-used by Lantmännen. Carbon dioxide generated when using the starch will be captured and sold to a company that uses CO2 to carbonate drinks.
The factory will run on renewable electricity supplied by the local municipality. Excess heat is returned to this same district heating and electricity plant, and the water used in production is cleaned and recycled.
“By processing locally grown crops into high-value ingredients, we are shortening supply chains and creating new economic opportunities in the agricultural sector,” Magnus says.
Lantmännen is also developing more resilient pea varieties that can better resist climate change and drier conditions and deliver high yields and protein content.
LANTMANNEN PEA PROTEIN INVESTMENTS
Construction and operation of a first of a kind production facility in Sweden for pea protein isolate. The facility will process annually 40,480 tonnes of peas sourced locally from the cooperative members.
HEURA FOODS (IEU G)
The Project finances the RDI programme of Heura Foods, a start-up that produces innovative plant-based food products. It includes RDI CAPEX investments to boost Heura's development capabilities, as well as RDI activities to develop new plant based food products, in several categories.
