Last week, we hosted our inaugural Unpuzzling webinar on Intellectual Property (IP) Essentials for Food Innovators. CFIN’s Hubba Khatoon and Julie Daigle were joined by IP professionals for an engaging session that covered the importance of IP in food innovation, practical strategies for IP management, and resources available to help food and beverage companies protect their intellectual assets.
Here are a few of the key takeaways that the food industry's top IP experts shared throughout the webinar.
Why IP is the Secret Sauce for Food Innovation Success
IP is a key asset for food and beverage companies aiming to secure a competitive edge in the market. “Ninety-two percent of the valuation of companies in the S&P 500 comes from intangible assets,” said Alla Darwish, Director of Commercialization & IP Mobilization at Conestoga College. “It shows how vital IP is for any business's success, especially in innovation-driven markets.”
Darwish explored why protecting unique recipes, processes, or branding is essential to ensuring long-term business success. Despite the potential benefits, very few Canadian companies possess an IP strategy, presenting a significant opportunity for innovators to get ahead.
Tips on Mastering the Art of IP Strategy
Dumitru Olariu, IP Advisor at the Canadian Intellectual Property Office (CIPO), stressed the importance of a robust IP strategy for food and beverage companies. "An IP strategy involves decisions and methods designed to maximize the contribution of your IP assets to achieve your business goals," Olariu explained. He outlined the key types of IP, from patents to trade secrets, and detailed a strategic approach to managing these assets.
Olariu emphasized the necessity of integrating IP considerations into every phase of business planning and execution. This includes conducting regular IP audits to identify and protect valuable assets, understanding competitive IP landscapes, and ensuring that IP strategies adapt to changing business conditions. By doing so, companies can fully leverage innovations and maintain a competitive edge in the market.
Where to Find IP Funding Opportunities
Layla Lahiji, Venture Manager at ElevateIP Alberta, shared advice for innovators looking for support in initiating IP implementation processes like patent drafting and registration. “ElevateIP has a number of different funding recipients that are region-based,” she said. Lahiji explored the services offered by some of those regional funding recipients like Innovate Calgary, Springboard Atlantic, momentumPI, and New Ventures BC—and how innovators across Canada can work with those organizations to access IP funding opportunities.
A Solid IP Foundation Begins with Smart Contracts
Ally Bharmal, Partner at Fasken and Co-Lead of the firm’s national food and beverage group, emphasized that thorough, well-articulated contracts are the first line of defense when protecting IP. He highlighted three critical areas for companies to focus on: internal team agreements, non-disclosure agreements (NDAs) for business discussions, and IP ownership clauses in external contracts. "Having proper IP assignment clauses ensures that any innovation developed by employees or consultants is owned by the company,” Bharmal explained. “Without these, businesses risk losing control of their most valuable assets."
He also covered the importance of including confidentiality and ownership provisions in contracts with suppliers, co-manufacturers, and collaborators to safeguard trade secrets and other IP assets.
Food Cycle Science: A Case Study in Foodtech IP Success
Lesley Thompson, VP of Sustainability and Communications at Food Cycle Science, provided an inspiring example of the importance of IP in food innovation. Funding support from CFIN enabled the company to accelerate its R&D and commercialization efforts, leading to a necessary expansion of its IP portfolio. By leveraging both external IP lawyers and internal teams, Food Cycle developed a strategic, customized approach to managing patents, trade secrets, and trademarks.
Thomspon emphasized that any successful strategy requires flexibility and constant fine-tuning. "An IP strategy is more like a rose bush—you need to keep deadheading and pruning so that it stays healthy,” she said. This proactive approach has been critical to Food Cycle’s ability to maintain a competitive edge and unique value proposition as other companies flood into the food recycling space.
“IP has become an incredibly valuable asset for our company,” Thompson continued. While IP strategies can be complex, time consuming, and expensive, she considers it an essential investment and encouraged all food innovators to explore the IP support organizations and resources covered throughout the webinar.