Global Insect Protein Market 2024-2031

Global Insect Protein Market 2024-2031

Insect Protein Market Size, Share & Trends Analysis Report by Type (Crickets, Mealworms, Grasshoppers, Ants, Bees, Termites, Black Soldier Fly, and Others), and by Application ( Food & Beverages, Animal Nutrition, Pharmaceuticals & Nutraceuticals, and Personal Care & Cosmetics) Forecast Period (2024-2031)

The insect protein market is anticipated to grow at a CAGR of 27.7% during the forecast period (2024-2031). The global insect protein market is experiencing growth owing to various factors such as sustainability concerns, and the high nutritional value of insect-based products. Insect farming is a viable and sustainable alternative to traditional livestock farming. Furthermore, advancements in farming techniques, processing technologies, and product development have contributed to the efficiency and cost-effectiveness of insect protein production. Additionally, consumer acceptance, education, and regulatory support have driven the use of insect protein in animal feed. Increased investment in production and research initiatives further contribute to the expansion of the market.

Market Dynamics

Increasing Awareness of Insect Protein

Insect protein has been gaining prominence in the market as consumers have become more aware of various protein sources and their benefits on health. Insect protein intake among consumers is increasing, with more attention being paid to the specific demand for protein for various health benefits. Hence, key players are meeting the increasing need for sustainable animal and plant nutrition by providing innovative insect protein and oil solutions with minimal ecological footprint. For instance, in February 2024, Innovafeed introduced the Hilucia brand, a new insect-protein line featuring high-quality ingredients for animal and plant nutrition with minimal environmental impact. It introduces Hilucia Protein for Monogastrics and Hilucia Oil for Aqua, two innovative insect protein and oil solutions, utilizing Hermetia illucens larvae for efficient nutrient production.

Restraint: High Cost of Insect Protein

The average cost of insect protein ranges from $4,250-$6,066 per metric ton, which is significantly higher than fishmeal and soy protein. Therefore, the high cost of insect protein is a major restraint to the global market growth.

Market Segmentation

Based on type, the market is segmented into crickets, mealworms, grasshoppers, ants, bees, termites, black soldier flies, and others ( plant hoppers, and scale insects).

Based on application, the market is segmented into food & beverages, animal nutrition, pharmaceuticals & nutraceuticals, and personal care & cosmetics.

Animal Nutrition Holds Major Share Based on Application

Ongoing research that promotes the adoption of insect protein in animal nutrition to improve the nutrition status of animals is a key contributor to the high share of this market segment. Insect protein is primarily consumed as a feed additive for poultry, aquaculture, and other animals. High digestibility band amino acid and protein content ranging from 40.0% to 70.0% are gaining traction from animal feed manufacturers.

Regional Outlook

The insect protein market is further segmented based on geography including North America (the US, and Canada), Europe (UK, Italy, Spain, Germany, France, and the Rest of Europe), Asia-Pacific (India, China, Japan, South Korea, and Rest of Asia-Pacific), and the Rest of the World (the Middle East & Africa, and Latin America).

Europe Holds Major Market Share

Government initiatives and approvals for various insect proteins for food, beverages, animal feed, and other applications have made significant contributions to the high regional market share. The European Commission authorized the 4th insect, Alphitobius diaperionus, the lesser mealworm in the market, as food in the year 2023.The regional demand for animal feed is increased by pig farming, while insect protein emerges as a wholesome and sustainable substitute for conventional soy products and fish meal. According to the Agriculture and Horticulture Development Board (AHDB), in January 2022, the pig farming sector experienced a 4.0% increase in results, resulting in the execution of 11.1 million clean pigs. In December 2021, 952,000 pigs were slaughtered; however, owing to longer farm holding periods, the average carcass weight was greater at 90.9 kg.

Market Players Outlook

The major companies serving the insect protein market include Darling Ingredients Inc., GoDaddy, LLC, Innovafeed, Protix B.V., and Ynsect (SAS) among others. The market players are increasingly focusing on business expansion and product development by applying strategies such as collaborations, mergers, and acquisitions to stay competitive in the market. For instance, in October 2023, Tyson Foods partnered with insect protein startup Protix to build a plant in the US for insect protein items, aiming to increase the presence of insect ingredients in pet food, aquaculture, and livestock production.