08:29 AM EDT, 10/21/2024 (MT Newswires) -- Nexe Innovations ( NEXNF ) over the weekend said its R&D department created what it believes is a superior pod that can also compete on price with plastic.

The company has undertaken rigorous commercial testing of its NEXE pod over the last 24 months with several customers as part of its strategy to target business-to-business customers (B2B). It is in the final stages of negotiating master manufacturing supply agreements that will cover a series of purchase orders. Nexe expects to finalize some of these negotiations shortly.

The company's 54,000 sq. ft. Windsor facility in Ontario is operational, with a targeted annual production capacity of up to 500 million Keurig- and Nespresso-compatible compostable coffee pods. The facility provides easy access to major markets in the U.S. and Canada. The in-house tool shop also ensures minimal machine downtime.

"While Keurig and Nespresso are just starting to explore sustainable alternatives, these developments highlight the growing importance of sustainable solutions like compostable materials," said Ash Guglani, President and Co-founder of Nexe. "By reshoring all operations and bringing every aspect of manufacturing in-house, we have gained a competitive advantage, allowing us to deliver a superior product at a competitive price. As the demand for eco-friendly coffee pods grows, we are confident NEXE will stand out with our innovative and cost-effective solutions-even against plastic."