A Biodegradable Straw from Malaysia's Rice Fields

ADA Biotech is turning agricultural waste into certified straws, with production booked and a blockchain partnership, while seeking its first outside capital.

About ADA Biotech Sdn Bhd

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The first thing you notice about ADA Biotech's straws is what they are not made of. They are not plastic, nor are they the typical paper or PLA. They are, according to the company, a composite of broken rice, wheat pollard, palm kernel residues, and other agricultural leftovers [ADA Biotech site]. For founder Akmal Amir, who started the company in 2019, the goal was to replace single-use plastics with something that disappears, using the materials already piling up around him in Malaysia [ADA Biotech site].

The wedge of waste and certification

ADA Biotech's answer hinges on a low-cost feedstock and a wall of certifications. The company sources rice husks, wheat pollard, and palm kernel from local agricultural processors [The Sun, 2024]. Its production process, which it describes as using Industrial 4.0 technology and AI robotics, is designed to keep costs down [Venture Grab, 2023]. It has assembled a stack of approvals: Halal, FDA, ISO 22000, BRC, and Gluten Free [Venture Grab, 2023]. This combination is the wedge, positioning the product as a direct, compliant replacement for plastic straws.

Traction and the search for scale

The company reports its production capacity is fully booked [The Sun, 2024]. Public revenue figures show early-stage growth: RM 1.1 million in 2022, with a projection of RM 2.4 million by the end of 2023 [Venture Grab, 2023]. It has expanded its product line beyond straws into biocomposites and cat litter [LinkedIn Akmal Amir]. A partnership with Masverse Technologies was announced to integrate blockchain technology into its rice straw products for supply chain traceability [MalaysiaKini]. The company won the Judges' Favourite prize at the Cyberview Living Lab Accelerator demo day in 2025 [BusinessToday, 2025].

The funding gap and competitive landscape

ADA Biotech remains a largely self-funded operation [Venture Grab, 2023]. It is seeking its first external investment: RM 2 million at a RM 20 million pre-money valuation, listed on a business sale platform [Venture Grab, 2023]. This capital is intended to install new machinery and further reduce production costs.

Company Primary Focus Known Differentiation
ADA Biotech Biodegradable straws & biocomposites Waste-derived feedstock, broad certifications
Verdastro Not specified Not specified
Eco Touch Not specified Not specified
Green Eco Paradise Not specified Not specified

For ADA Biotech, the path forward involves proving named demand, scaling with capital efficiency, expanding beyond straws, and utilizing the blockchain narrative. The bet is that a certified, biodegradable alternative, born from local waste, can be just as cheap and reliable as plastic. The next step is to show who's buying, and prove the unit economics can travel beyond Malaysia.

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