Greg,

NASA ADS has 13 'hits' for insect & microgravity: of those the most interesting to you, perhaps, might be:

http://adsabs.harvard.edu/abs/2014cosp...40E1071G

And a quick trawl of the NASA TRS reveals some gems:

https://trs.jpl.nasa.gov/bitstream/handle/2014/34529/94-0879.pdf?sequence=1&isAllowed=y

The short answer is 'yes' the subject has been studied - but not in depth to the extent that a working food factory has been prototyped and flown.

Thanks for the articles James. Very interesting, I am very curous about it. We have to (obviously?) explore more the suject in the future. Best regards. Greg

 On November 16, 2009 three monarch caterpillars from Monarch Watch lifted off with the space shuttle Atlantis (STS-129), destined for the International Space Station. Thousands of "Monarchs in Space" participants raised monarchs in the classroom or at home and watched as the monarchs on the ISS completed their development and emerged as adult butterflies - the first monarchs in space! 

http://monarchwatch.org/space/

 Thanks a lot for info Vijay, I will have a look. I was more interested however on the rearing and the study of insect species that we already know are suitable candidate for mass-feeding ;) Not that much tho` Their biology and natural history are pretty well-known on Earth. Best regards

Interesting project on Monarchs but my question is that apart from the fact that there was zero gravity, all other aspects were controlled artifically, as mentioned in the link given by Mr Vijay. So what is the actual outcome of this project, scientifically? Just like how a suitable artificial environment is created for humans the larvae got an even more sophisticated setting so what exactly are we trying to achieve by these experiments?

Thanks for an interesting post. :)