Meat Substitutes Market

• Rising awareness and increasing adoption of plant-based meat to boost the market growth

One of the primary reasons influencing the demand for items made from plants is the rising consumer awareness of the advantages of a vegan diet. A further important reason driving the expansion of these products in many locations is the health benefit associated with cholesterol-free protein. Customers' worries and manufacturers' capacity to produce meat alternatives with superior flavor, texture, and mouthfeel features have led to the massive expansion in the market for meat substitutes. Demand for this sector is being driven by Millennials and Gen Z, who are often motivated by worries about human and animal welfare and environmental issues.

Many producers have been working with brands to supply products in this sector.

For instance, to introduce meatless products in India in December 2021, Tokyo-based Next Meats teamed up with Vegan Meat India. Additionally, a wide variety of products gives customers more choices and inventive flavors while still satisfying their dietary requirements. Plant-based alternatives are being investigated by consumers who are not vegetarians or vegans for various reasons, including better nutrition, managing weight, animal welfare, and long-term environmental sustainability. The Good Food Institute reports that in 2019, 11.9% of American families purchased plant-based meat, an increase from 10.5% in 2018.

Additionally, Products that are created to taste, feel, smell, and look like meat is referred to as plant-based meat. Burgers, ground beef, sausages, chicken nuggets, and shellfish are examples of such goods. Products made from plants that resemble meat are gaining popularity. For instance, retail sales of plant-based meat increased by 45% in the United States in 2020. Traditional veggie burgers and beef substitutes are the most popular plant-based meat product in the United States. The least frequently purchased alternatives are fish or seafood and pork.

The market for plant-based meat was projected to be worth $10.11 billion in 2022 on a  scale. Over the coming years, it is predicted that this amount will rise steadily, reaching an anticipated 33.99 billion in 2027. Therefore, increasing plant-based meat consumption has enhanced the meat substitutes market CAGR across the globe in recent years.

However, Consumer health concerns have increased due to the growing threat of animal-borne diseases, which has led to a decline in the consumption of animal products, another factor driving the growth of the meat substitutes industry revenue.

The Global Meat Substitutes Market Industry is witnessing a surge in demand driven by increasing health consciousness among consumers. Individuals are becoming more aware of the health risks associated with excessive meat consumption, such as heart disease and obesity. This shift in consumer behavior is reflected in the projected market value of 5.51 USD Billion in 2024, as more people seek plant-based alternatives that offer lower fat and cholesterol levels. The growing awareness of the benefits of a balanced diet, including the incorporation of meat substitutes, suggests a long-term trend towards healthier eating habits.

By Region, the study provides market insights into North America, Europe, Asia-Pacific, and the Rest of the World. The North America Meat Substitutes market accounted for USD 2.22 billion in 2021 and is expected to grow with a 43.20% CAGR during the study period. This is attributed to the high awareness regarding meat substitutes products and the rapid adoption of meat substitutes across the region.

Further, the major countries studied in the market report are the U.S, Canada, Germany, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.

Figure 3:  MEAT SUBSTITUTES MARKET SHARE BY REGION 2021 (%)Source: Secondary Research, Primary Research, Market Research Future Database, and Analyst Review

Europe meat substitutes market accounts for the second-largest market share due to the growing regional demand for a more sustainable food system transition, which is necessary for meeting the objectives of the European Green Deal. As a result, plant-based items are a key factor in the region's supermarket merchants' sales growth. France, the United Kingdom, and Germany are some of the top purchasers of these goods in Europe. Further, the Germany meat substitutes industry held the largest market share, and the UK market for meat substitutes was the fastest-growing market in the European region.

The Asia-Pacific Meat Substitutes Market is expected to grow at the fastest CAGR from 2022 to 2030. This is due to the region's middle-class population's discretionary income growth. This has increased consumer demand for nutritious, high-quality, and protein-rich food products. Consumer eating habits are evolving, and more people are eliminating meat from their diets. Moreover, China market of meat substitutes held the largest market share, and the India meat substitutes industry was the fastest-growing market in the Asia-Pacific region.

Major market players are spending a lot of money on R&D to increase their product lines, which will help the meat substitutes market grow even more. Market participants are also taking various strategic initiatives to grow their worldwide footprint, with key market developments such as new product launches, contractual agreements, mergers and acquisitions, increased investments, and collaboration with other market players. Competitors in the meat substitutes industry must offer healthy and cost-effective items to expand and survive in an increasingly competitive and growing market environment.

One of the primary business strategies manufacturers adopt in the  meat substitutes industry to benefit customers' health and expand the market sector is manufacturing locally to reduce operating costs. In recent years, the meat substitutes industry has provided plant based meat products with some of the most significant benefits. The meat substitutes market major players such as Beyond Meat, AMY's Kitchen Inc., Garden Protein International Inc., Quorn Foods Inc, MorningStar Farms L.C., Schouten Europe B.V., Sunfed Ltd, VBites Foods Ltd., Blue Chip Group, others are working on expanding the market demand by investing in research and development activities.

Beyond Meat, Inc. produces, markets, and sells plant-based meat products domestically and abroad. The business offers a selection of meat substitutes made from plants in beef, hog, and poultry categories. Additionally, to numerous food-away-from-home channels like restaurants, food service establishments, and schools, it offers its products directly to consumers through grocery, mass merchandising, club stores, convenience stores, and natural retailer channels. In September 2018, the business changed its name from Savage River, Inc. to Beyond Meat, Inc. California's Beyond Meat, Inc. corporate headquarters are in El Segundo.

For instance, in January 2023, Beyond Meat announced that Sam's Club and Costco would carry its well-liked Beyond Steak and Popcorn Chicken. In Arizona, Nevada, New Mexico, Colorado, and Southern California, over 50 Costco locations provide Beyond Steak, while all US Sam's Club locations also have Popcorn Chicken.

Also, Garden Protein International, Inc. manufactures and sells plant-based meat substitutes. The business sells dairy-free, meatless, prepared frozen foods items like crispy tenders, beefless strips, vegetable burgers made from black beans, and beefless ground goods. Additionally, it provides catering services for business clients. For instance, in June 2022, with its new Pea & Wheat Plant-Based Chick'n line, Gardein, a brand of Conagra Brands, Inc., is expanding the range of plant-based items from which consumers can choose. An excellent source of iron, pea protein is a simple to digest protein.

The Pea and Wheat collection from Gardein features traditional shapes and bold, innovative flavors.