Forecast to 2024: The Global Plant-Based Meat Market

Forecast to 2024: The Global Plant-Based Meat Market 

Forecast to 2024: The Global Plant-Based Meat Market

The rising trend of adopting nutritious and healthy food products due to factors such as rapid urbanization and lifestyle changes has been driving the growth of the plant-based meat industry globally. Plant-based meat analogs are attractive options for consumers who are willing to change their diet and consume less meat but only if proper alternatives are proposed. In the last decade, the range of plant-based meat analogs in the market, developed by the food industry, has been significantly increased, offering products ranging from burgers and chicken to pork, meatballs, and more. 

Breaking Down the Global Industry by Region 

The plant-based meat analog industry has shown remarkable successes in North America and Europe, with the former being the largest region in the global plant-based meat analog market. The presence of established plant-based meat companies such as Beyond Meat, Gardein, Field Roast, and Impossible Foods and their constant product innovations have been the key driving factors of the North American plant-based meat market. Moreover, the government bodies supporting the development and growth of this industry also contributed significantly to its expansion. 

Meanwhile, plant-based meat analog producers are gradually establishing their roots in Asian markets, where they are projected to achieve notable performances in terms of revenue. However, there are obstacles. Several conventional soy-based meat alternatives, such as tofu and tempeh, have been widely consumed by the Asian population for decades.

Choosing the Right Protein Source

Plant-based meat analogs are derived from plant sources such as soy, wheat, pea, and quinoa; hence, they are becoming the preference of millions of flexitarians and vegetarians around the world. The soy segment dominates the global industry, and it is the most conventional and widely used plant-based source adopted by meat analog producers for its high nutritional value. Demand is expected to rise in the coming years.  

Pea proteins are increasingly used as an alternative to soy protein since pea plants can be grown in more moderate climates than soy. In addition, pea proteins are less connected to GMO concerns and are not listed as allergenic. Peas are projected to become one of the key sources of plant-based meat production and are projected to acquire a significant share of the overall plant-based meat market in the coming years, although the shortage of pea protein could be an issue in the near future.  

Major Product Categories and Analog Types 

Burgers are the most popular and easily available plant-based meat analogs. Several major plant-based meat analog players developed their business with burgers as the first and only plant-based meat product in their portfolio. For instance, Beyond Meat (U.S.) and Impossible Foods (U.S.) initially started their plant-based meat business with burger products; this segment is projected to grow at a considerable growth rate in the coming years, as these players are consistently developing and introducing an innovative range of burger products. Nowthe majority of plant-based meat manufacturers are focusing on producing a variety of plant-based chicken analog products. 

PLANT-BASED MEAT ANALOG MARKET SHARE BY PRODUCT CATEGORY, 2019 

Source: Kline’s Plant-Based Meat: Processing Alternatives and Ingredients Assessment report

 

PLANT-BASED MEAT ANALOG MARKET SHARE BY ANALOG TYPE, 2019 

Source: Kline’s Plant-Based Meat: Processing Alternatives and Ingredients Assessment report

 

The Future of the Plant-Based Meat Global Industry with Scenario Forecasts

The global plant-based meat market is forecast based on three different scenarios: conservative, moderate, and optimistic. 

The conservative scenario is based on the retail sales growth trends of plant-based meat analog products. The market is projected to grow at a CAGR of 20% during the forecast period to reach a market value of USD 5.60 billion by 2024. The rising demand for analogs free of GMOs, allergens, and gluten, combined with the limited supply of some protein ingredients, might impact market growth. Consumers’ negative perception toward highly processed food might also restrict the outlooks in the near future. 

The moderate scenario of plant-based meat analogs is based on sales growth trends, consumer trends, and insights from key industry experts who predict market growth to be around 30% in the next few years. Sourcing challenges could also be mitigated by ongoing actions from suppliers. At this CAGR, the market is projected to reach a value of USD 8.35 billion by 2024. The market growth is driven by an increasing global flexitarian population and current companies’ market expansions in terms of geographical footprints, sales channels, and expanding their product portfolios according to regional taste demands. 

The optimistic market forecast is based on the plant-based meat revenue performances of leading market players such as Beyond Meat, Tyson Foods, and the Vegetarian Butcher. For instance, the net revenue of Beyond Meat increased by 250% compared to that of previous years due to wide consumer acceptance of plant-based meat analog products based on their benefits, taste improvements, nutritional profile, and high accessibility.  

Moreover, enormous investments in the plant-based meat analog market in recent years are also considered while forecasting the accelerated plant-based meat analog market scenario. Considering the significant number of investments taking place, industry experts’ insights, and the revenue growth of the players, the plant-based meat market is projected to grow at a rate of 50% during the forecast period to reach a market value of USD 17.08 billion by 2024. 

To deep-dive into the market dynamics and ingredients behind plant-based meat from a global perspectiveread Kline’s Plant-Based Meat Global report, and watch out for our next article covering market dynamics with drivers and challenges. To receive timely insights on the food nutrition industry, sign up for our newsletter here.  

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