Reducing Feed Costs Through Black Soldier Fly Bioconversion: A Scalable Circular Solution
June, 2025, Bio Cycle Labs
Recent developments in controlled insect farming and organic waste processing are now enabling this solution to be implemented at commercial scale, particularly among small to mid-size producers.

The global agri-food sector is under increasing pressure to reduce environmental impact, improve resource efficiency, and lower production costs. Feed constitutes one of the most resource-intensive aspects of livestock and aquaculture systems, often accounting for up to 70% of total operational expenses.

In this context, the Black Soldier Fly (Hermetia illucens) has emerged as a powerful biological tool for converting low-value organic waste into high-quality protein and fat suitable for animal nutrition.
The Economics of Traditional Feed Systems
Conventional protein sources - such as soybean meal and fishmeal - are heavily reliant on monoculture agriculture and overfished marine ecosystems. They are:

  • Price-volatile, linked to global commodity markets;
  • Environmentally burdensome, contributing to deforestation, overfishing, and high carbon emissions;
  • Geographically centralized, requiring long-distance transportation and storage.

The volatility in global supply chains, climate stress, and regulatory scrutiny have intensified the search for sustainable, decentralized protein alternatives.
Black Soldier Fly Larvae (BSFL): High-Efficiency Protein from Organic Residues

BSFL are non-pest, non-invasive insects capable of digesting a wide variety of organic residues, including:

  • Agricultural by-products;
  • Food processing waste;
  • Manure and slurry (with appropriate pre-treatment);
  • Brewery and distillery residues.

In controlled farming systems, BSFL can convert waste into biomass containing up to 50% protein and 35% fat on a dry matter basis - suitable for animal feed applications in poultry, aquaculture, swine, and pet food.
Application Models for Farmers and Feed Producers

At BioCycle Labs, we design integrated systems that combine waste preprocessing, substrate conditioning, and insect rearing modules. Our containerized and scalable models are ideal for decentralized settings and can be implemented as:

  • On-farm feed systems for poultry or fish farms;
  • Regional insect bioconversion hubs near food production or waste collection points;
  • Closed-loop nutrient cycling systems in vertical farming or greenhouse operations.

With the right substrate formulation and environmental controls (temperature, humidity, ventilation), protein yields can be optimized while ensuring biosecurity and compliance with EU animal feed regulations.
  • Rapid Biomass Conversion: Larvae reach harvest size within 10 - 14 days, converting up to 2x their body weight daily.
  • Nutrient Recovery: High levels of digestible amino acids, including lysine and methionine, support efficient growth in monogastric animals.
  • Waste Reduction: Organic matter is reduced by up to 70% by mass, reducing the need for costly disposal.
  • By-product Valorization: Residual frass can be used as a nutrient-rich organic fertilizer.

From a lifecycle analysis (LCA) perspective, BSFL protein requires significantly less land, water, and CO₂ emissions compared
to conventional feed inputs.
Scientific and Operational Advantages
The EU has authorized the use of BSF-derived protein in aquaculture since 2017 and extended approval to poultry and swine feed in 2021 under Regulation (EU) 2017/893. This regulatory support, coupled with rising demand for alternative proteins, has catalyzed investment in insect protein supply chains.

BSFL meal is now recognized for its:

  • High digestibility;
  • Palatability;
  • Low allergenicity;
  • Antimicrobial benefits (via antimicrobial peptides, lauric acid and chitin content).

As feed prices continue to rise and waste disposal becomes increasingly regulated, the economic case for BSF bioconversion grows stronger. Beyond simple cost savings, BSFL farming aligns with circular economy principles - transforming waste into feed, and by-products into soil inputs.

At BioCycle Labs, we believe that the future of feeding lies in modular, waste-driven innovation - where even small producers can generate their own feed from what was once discarded.
Black Soldier Fly farming is no longer experimental - it’s a practical, science-backed tool for building sustainable agri-food systems.