Plant-based Meat Market Forecasts to 2028 – Global Analysis By Type (Beef, Chicken, Fish, Mushrooms), Product (Burger Patties, Meatballs, Natto), Process (Blending, Forming/Shaping, Grinding), End User, and By Geography

Plant-based Meat Market Forecasts to 2028 – Global Analysis By Type (Beef, Chicken, Fish, Mushrooms), Product (Burger Patties, Meatballs, Natto), Process (Blending, Forming/Shaping, Grinding), End User, and By Geography

According to Stratistics MRC, the Global Plant-Based Meat Market is accounted for $5.53 billion in 2022 and is expected to reach $12.46 billion by 2028 growing at a CAGR of 14.5% during the forecast period. A food made from non-meats or sometimes without any other animal products such as dairy products which act as a meat substitute or meat alternative but has same amount of protein content is called plant based meat product. Many plant based meat products are soy based or gluten based products. Plant based meat products are currently processed through two basic methodology i.e. either by thermoplastic extrusion or fiber spinning. Thermoplastic extrusion is most commonly used methodology to produce plant based meat products. It is considered to be cost effective method of accommodating large scale productions. On the other side, fiber spinning increases the cost of production which eliminates the advantage of creating an inexpensive plant based meat products.

In 2020, North America was the region with the largest market share in the plant-based meat market worldwide with a share of approximately 44 percent. The Middle East and Africa had a market share of approximately four percent.

Market Dynamics:

Driver:

Rising inclination for plant-based meat

The nutritional benefits of plant-based meats and their safety compared with conventional meat are also some of the important factors that have been contributing to gaining the attention of consumers. Excessive consumption of animal-based meat may result in diet-related diseases such as obesity, type-2 diabetes, heart disease, and certain cancers. Plant-based meat contains lower levels of saturated fat, cholesterol, and calories than animal-based meat. The plant-based trend continues to grow, encouraging people to eat more fruits, vegetables, legumes, nuts, and seeds. Also, there are various health benefits associated with plant-based products, about which consumers are getting more aware recently.

Restraint:

Higher cost of products

Plant-based meat is uneconomical when compared to animal-based meat, which is likely to impact its growth in price-sensitive markets such as India, China, and South Africa. Companies offering plant-based meat alternatives are trying to reduce prices, as their high price over conventional meat hinder the rapidly growing plant-based industry. Plant-based meat is more expensive than regular meat. The prices of plant-based meat products are further expected to increase due to trade barriers, disruptions in the supply of raw materials, and inefficient distribution channels due to COVID-19. The non-availability and high cost of raw materials and high production costs are likely to restrain the growth of the global market. The market growth is further grappled due to the economic slowdown in various countries due to the coronavirus outbreak.

Opportunity:

Beneficial marketing of plant-based meat

The rising sales of plant-based meat can be increased by adopting marketing strategies such as diversification and segmentation. The objective is to create more demand among consumers, such as health-conscious consumers, vegetarians, flexitarians, and vegans. Along with this, it is crucial to position the product at the right place through the right sales channel. Key players need to focus on this criterion to sustain in the market and increase their sales. They need to position themselves by expanding their customer relationships and extended their reach globally. The North American and European plant-based meat markets relatively emphasize the labeling criterion. It is expected that this will be followed by the Asia-Pacific region as well, leading to market growth. Appropriate labeling can further accelerate market growth.

Threat:

Discrimination on the taste of plant-based meat products

Consumers have a perception that there is a significant compromise in taste if they opt for meat substitutes. For instance, the off-flavor of soy protein makes it undesirable for consumption. The off-flavor is caused by compounds, such as aldehydes, ketones, furans, and alcohols. Medium-chain aldehydes are among the major reasons for the beany and grassy taste of soy products. However, the high nutritional value of soy has led to its demand. Plant-based meat products contain nutritional benefits similar to that of animal meat. Manufacturers try to make the meat substitutes similar to meat in terms of texture, color, flavor, and taste. Besides, consumers believe that meat substitutes are either too gummy or too chewy. This has led meat substitute manufacturers to offer innovative products, such as an increase in the density of flesh, mainly the soy protein and wheat gluten, to improve the texture of their meat substitutes.

Covid-19 Impact

The outbreak of the COVID-19 pandemic has impacted all industries, including the plant based meat market. The plant based meat market is subjected to a positive and negative impact due to the sudden outbreak of the COVID-19 pandemic. Amidst the lockdown, the market has witnessed moderate volume growth and earnings due to a rising use of plant based meat in the food and beverage industry and the pharmaceutical industry. The COVID-19 crisis provides significant growth opportunities for the plant based meat market. Presence have also contributed to the development of global plant based meat market at a global level. However, the disrupted supply chain for plant based meat materials is due to the shutdown of boundaries and strict lockdowns imposed by the government to control the spread of the virus.

The pea segment is expected to be the largest during the forecast period

The pea segment is estimated to have a lucrative growth. It is perceived as a clean-label ingredient and has the added benefits of being soy-free, gluten-free, and lactose-free. Pea serves as an alternative for consumers with a soy allergy. Beyond Meat (US) uses pea protein for producing meat alternatives, lending a chewy, meat-like texture to their products. Beyond Meat’s (US) veggie burger consists of pea as one of the key ingredients. The company is joined by Lightlife Foods (US), which, in 2019, expanded its plant-based meat product offerings with the launch of a veggie burger with pea as one of the key ingredients.

The beef segment is expected to have the highest CAGR during the forecast period

The beef segment is anticipated to witness the fastest CAGR growth during the forecast period. Beef-related plant-based products such as meat-free beef pieces, no-beef burgers, beef watercress, and beefsteak are made from sources such as soy and wheat. Plant-based beef provides similar characteristics to that of beef. It provides similar characteristics to that of beef. Furthermore, manufacturers are focusing on new product launches to meet consumer demand from vegetarian populations.

Region with highest share:

North America is projected to hold the largest market share during the forecast period. North America is the hub for the plant-based meat market, as the region is backed by start-ups such as Impossible Foods Inc. (US) and Beyond Meat (US); which initiated the development of plant-based meat products. The growth is attributed to rising consumer awareness of the risks associated with consuming contaminated meat goods, along with increasing consumption of meatless meat products. Consumers' perceptions about food sustainability and safety are expected to shift further in response to accelerated consumption of plant-based foods, including plant-based meat. In 2020, Starbucks added a sandwich to its breakfast menu in most of its locations in the U.S. The sandwich contains plant-based sausage to meet consumer demand.

Region with highest CAGR:

Asia Pacific is projected to have the highest CAGR over the forecast period. The plant-based food products are gaining popularity in the region owing to the adaptation of healthy lifestyles, urging consumers to opt for natural ingredients. This is expected to boost sales of plant-based food. Furthermore, the demand for plant-based meat products is expected to increase in the coming years, owing to the growing health concerns among consumers related to animal-based protein sources, ethical concerns, and environmental concerns.

Key players in the market

Some of the key players profiled in the Plant-Based Meat Market include Amy’s Kitchen, Beyond Meat, Gardein Protein International (Pinnacle Foods), Gold&Green Foods Ltd, Impossible Food Inc, Maple Leaf Foods, Morningstar Farms, Quorn Foods, Sunfed, Tofurky, VBites Foods Limited, Vegetarian Butcher, The Kellog Company, Planterra Foods, and Omni Foods.

Key Developments:

In June 2021, Kellogg’s extended its partnership with Sodexo, a leader in providing catering, hospitality, and food retail services. Through this partnership, the company aimed to provide delivery service of plant-based Incogmeato by MorningStar Farms Burger Patties to its customer at above 3000 locations. Also, the company aimed to fulfill the rising demand for plant-based and meat alternatives.

In February 2021, Beyond Meat signed a three-year agreement with McDonald’s, a fast-food company based in America. Following this agreement, Beyond Meat would become a vendor of patty for McDonald’s McPlant. In addition, the companies would develop more plant-based items such as plant-based chicken, pork, and egg items for the McPlant range.

In October 2021, OmniFoods introduced OmniMeat into Woolworths supermarket shelves and selected grocery stores across Australia. The new product range is a 100% plant-based pork-style protein. The latest line of products consists of three latest plant-based pork substitutes which are- Luncheon, Mince, and Strips. Through this launch, the company aimed to offer a healthier and meat-free alternative to its customer in Australia.

In October 2021, Quorn unveiled meat-free ChiQin Wings and ChiQin cutlets, an expansion in its meatless alternative offerings. The new products would be available in two types viz. Kickin and Homestyle, featuring a chicken breast covered with breadcrumbs and carrying 15g protein and 5g fiber.

Types Covered:
• Beef
• Chicken
• Fish
• Mushrooms
• Pork
• Quorn
• Seitan
• Tempeh
• Tofu
• Other Types

Products Covered:
• Burger Patties
• Meatballs
• Natto
• Sausages
• Strips & Nuggets
• Other Products

Processes Covered:
• Blending
• Forming/Shaping
• Grinding
• Mixing
• Storage

Sources Covered:
• Gluten Based
• Mycoprotein
• Pea
• Soy Based
• Wheat
• Other Sources

Distribution Channels Covered:
• Business-to-Business
• Business-to-Consumer
• Other Distribution Channels

End Users Covered
• Food Industry
• Hotel/Restaurant/Cafe (HoReCa)
• Households

Regions Covered:
• North America
US
Canada
Mexico
• Europe
Germany
UK
Italy
France
Spain
Rest of Europe
• Asia Pacific
Japan
China
India
Australia
New Zealand
South Korea
Rest of Asia Pacific
• South America
Argentina
Brazil
Chile
Rest of South America
• Middle East & Africa
Saudi Arabia
UAE
Qatar
South Africa
Rest of Middle East & Africa

What our report offers:
- Market share assessments for the regional and country-level segments
- Strategic recommendations for the new entrants
- Covers Market data for the years 2020, 2021, 2022, 2025, and 2028
- Market Trends (Drivers, Constraints, Opportunities, Threats, Challenges, Investment Opportunities, and recommendations)
- Strategic recommendations in key business segments based on the market estimations
- Competitive landscaping mapping the key common trends
- Company profiling with detailed strategies, financials, and recent developments
- Supply chain trends mapping the latest technological advancements