Waste Valorization of Tofu Residue through Zero-Waste Snack Development: A Business Feasibility Assessment

Abstract

Agro-industrial by-products represent an important resource for advancing circular economy practices through waste valorization and sustainable food production. Among these by-products, tofu residue (okara) remains underutilized despite its nutritional value and potential for conversion into value-added food products. This study aimed to develop a zero-waste snack product using tofu residue and to evaluate its business feasibility as a sustainable waste valorization strategy. A prototype-based product development approach was implemented through three production cycles conducted in Meureubo Subdistrict, West Aceh Regency, Indonesia. The business feasibility assessment employed Cost of Goods Sold (COGS), Break-Even Point (BEP), Revenue–Cost (R/C) Ratio, and Return on Investment (ROI) analyses. Six product prototypes were successfully developed, with a total production cost of IDR 194,000 for 100 packages, resulting in a COGS of IDR 1,940 per package. Financial analysis yielded an R/C Ratio of 2.58, an ROI of 157.73%, a profit of IDR 306,000 per production cycle, and a break-even point of 39 packages, indicating strong economic feasibility. These findings demonstrate that transforming tofu residue into a marketable snack can support waste valorization, promote resource efficiency, and contribute to sustainable entrepreneurship within a circular food system. The study provides practical evidence that zero-waste product innovation can simultaneously generate economic value while reducing agro-industrial waste.