Market Potential and Demand for Plant-Based Meat Alternatives in India 2024-2028

Market Potential and Demand for Plant-Based Meat Alternatives in India 2024-2028

Plant-based food refers to the end product created using ingredients sourced from plants, encompassing fruits, vegetables, whole grains, nuts, seeds, and legumes. These offerings intentionally exclude any elements of animal origin, both in the manufacturing process and as constituents of the final product, providing alternatives to traditional items containing such ingredients. In India, there has been a noticeable upswing in interest for plant-based meat substitutes in recent years. The introduction of innovative plant-based meat products like sausages, burgers, and kebabs, formulated from ingredients like soy, pea protein, and mushrooms, signifies substantial progress within India's plant-based meat sector.

Market insights:

In 2023, the plant-based meat market in India was valued at INR 11,216.84 Mn. It is expected to reach INR 27,430 Mn by 2028, expanding at a compound annual growth rate (CAGR) of ~18.96% during the 2024 ─ 2028 period. Despite a considerable segment of the population consuming animal protein, there is a rising inclination towards a flexitarian diet, characterized by partially vegetarian food choices, spurred by the pursuit of dietary diversity, health consciousness, and heightened awareness regarding sustainable food systems. Numerous small and medium-sized enterprises (SMEs) and fast-moving consumer goods (FMCG) companies have delved into India's plant-based food market, offering substitutes for meat, poultry, seafood, dairy products, and even vegan pet food.

Market drivers:

Increasing consciousness about health and wellness motivates individuals to opt for healthier dietary alternatives, with plant-based meat serving as a healthier replacement for conventional meat, frequently featuring reduced levels of saturated fats, cholesterol, and calories. Amid the growing prevalence of lifestyle ailments like heart disease, diabetes, and obesity, people are reconsidering their dietary preferences, and plant-based meat emerges as a health-conscious solution. The rise in veganism and vegetarianism, driven by ethical considerations, plays a substantial role in the widespread acceptance of plant-based meat products.

Market challenges:

The pricing of plant-based meat products may surpass that of traditional meat, potentially impacting their affordability, particularly in a cost-sensitive market like India. Inadequate infrastructure and logistical challenges could result in supply chain disruptions, affecting the availability of plant-based products, particularly in remote or rural areas. Limited awareness and understanding of plant-based meat alternatives could hinder consumer adoption. It is essential to enlighten stakeholders about the advantages and nutritional value of plant-based products.