Canada Supports Innovative Solutions to Single-use Coffee Pods

News release

January 19, 2021                                Vancouver, British Columbia                                 Natural Resources Canada

The Government of Canada has committed to banning single-use plastics and is encouraging innovators to develop alternatives. We are dedicated to creating jobs and driving innovation by investing in climate solutions.

Canada’s Minister of Natural Resources, the Honourable Seamus O’Regan Jr., today announced a $1-million investment to NEXE Innovations, formerly GCUP Technology Corporation, as part of the second phase of a Bioplastics Challenge aimed at helping small businesses reduce pollution by turning forest-based residue into sustainable domestic plastic material.

With this funding, NEXE Innovations will be able to focus on Phase 2 of their project, which supports:

  • scaling up the manufacturing process of their Nespresso-compatible pods; and
  • improving the compatibility of bioplastics derived from wood-based biomass for early-stage commercialization.

As part of Phase 1, NEXE developed a completely plant-based and compostable single-use coffee pod from bioplastic wood fibre.

Natural Resources Canada collaborated with Agriculture and Agri-Food Canada to develop this challenge as part of the Domestic Plastics Challenge under the federal government’s Innovative Solutions Canada (ISC). ISC is a $100-million program dedicated to supporting entrepreneurs and small businesses in developing innovative and sustainable solutions to complex environmental challenges. The Government of Canada may then act as a first customer, helping these small businesses to commercialize their innovations, scale up their business and create good jobs for Canadians.

Clean innovation benefits our economy, our communities and our well-being. Investments in bioplastics present an array of new opportunities in the forest industry while fighting global pollution and embracing a sustainable way of life for the future. 


“A morning coffee with zero plastic waste. It’s just one of the ways our forest sector is building a cleaner, greener future.” 

The Honourable Seamus O’Regan Jr.
Canada’s Minister of Natural Resources

“Canada’s agriculture and forestry sectors are leaders in sustainability and continue to find cutting-edge approaches to protecting the environment. Through this Challenge, our government is supporting innovation in sustainable, bio-based solutions to address the problem of plastic waste. Today’s announcement demonstrates the role that these important sectors can play in advancing the Canadian bioeconomy and the transition to a clean, low-carbon economy.”

The Honourable Marie-Claude Bibeau
Minister of Agriculture and Agri-Food

 “Our government is dedicated to supporting entrepreneurs and small businesses. It is becoming increasingly important to invest in sustainable solutions that will support not only our economy but also our environment. When our government invests in innovative and sustainable work from small businesses like NEXE, we are growing the economy, building Canadian technological leadership and contributing to Canada’s fight against global warming.”

The Honourable François-Philippe Champagne
Minister of Innovation, Science and Industry

“We are grateful to the Government of Canada for this award, which reflects its commitment to nurturing innovative, Canadian-made solutions to some of the world’s most challenging problems. At NEXE, we have developed and validated sustainable plant-based materials that are better for the environment without compromising on the needs of the consumer. We look forward to bringing them to market with the support of Innovative Solutions Canada.”

Dr. Zachary Hudson
Chief Scientific Officer, NEXE Innovations

Associated links


Natural Resources Canada
Media Relations

Ian Cameron
Press Secretary
Office of the Minister of Natural Resources


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