LONDON, Sept. 15, 2020 /PRNewswire/ -- According to a new market research report titled "Meat substitute Market by Product Type (Tofu, TVP, Burger Patties, Sausages, Meatballs, Nuggets), Source (Soy Protein, Wheat Protein), and Distribution Channel (Business to Business and Business to Customers) – Global Forecast to 2027", the meat substitute market is expected to grow at a CAGR of 15.1% from 2020 to 2027 to reach $17.5 billion by 2027.
Food sustainability concern is growing across the globe along with greenhouse gas emission issues and increased pressure on land & water. This has triggered the demand for meat substitutes, such as plant-based burgers and sausages, which have the capability to satisfy food needs with high nutrition. The shift towards plant-based diets has been predominantly driven by consumer concern surrounding health, desire for variety in food consumption, flexibility, and increased ethical awareness. In the last few years, the meat substitute industry is attracting investment from venture capital firms and major established meat supply companies. Investments in meat substitute manufacturing companies have risen in recent years.
The global meat substitute market study presents historical market data in terms of value (2018 and 2019), estimated current data (2020), and forecasts for 2027. The market study is segmented on the basis of product type, source, distribution channel, and geography. The study also evaluates industry competitors and analyses the market at the country level.
Impact of COVID-19 on the Meat Substitute Market
The on-going COVID-19 pandemic is re-shaping everything from global economies to product categories, pricing, and stock availability to consumer behavior. This crisis caused people to re-evaluate their diets because it has underlined the link between food, health, and immune responses. The effects of the COVID-19 pandemic are providing an unexpected boost for the meat substitute industry. Globally, medical studies show that coronavirus disease has an overwhelming impact on people with underlying health conditions like diabetes, hypertension, and heart disease. From a manufacturing and distributing point of view, this industry has faced unprecedented demand from manufacturers as well as consumers, particularly for some products, such as plant-based burger patties, meatballs, sausages, and nuggets.
COVID-19's association with animal source will result in a large population shifting from animal-based proteins to plant proteins due to various health and environmental concerns. Moreover, meat substitutes are generated with less dependence on labor, making it less prone to staffing scarcity as opposed to red meat, which is relatively labor-intensive, thereby encouraging the production of meat substitutes.
The pandemic has also led to some best practice models for the meat substitute industry, earlier which have proved too restrictive during the outbreak, to be eased temporarily. The government from some countries announced a relaxation of some of the competition law requirements placed on the alternative protein, mainly for alternative meat products. For instance, the FDA has relaxed its guidelines for selling plant-based meat products. Earlier, due to labeling concerns, the FDA did not allow direct-to-consumer sales of impossible raw plant-based meat burgers.
As the coronavirus epidemic has conveyed to the forefront, the connection between public health and animal meat consumption, which provides consumers a ground to go to a plant-based diet; many companies in the space of meat substitutes have already started changing their strategies, witnessing sudden growth in demand. For instance, companies like Beyond Meat Inc., Impossible Foods Inc., and Tofurky Co. are ramping up their production, discounting their plant-based alternative products to appeal to more consumers, expanding into more stores, and partnering with the stakeholders. Along with this, to further capitalize on the opportunities in the meat substitutes sector over the coming years, expansions, new product launches, diversifications, and acquisitions strategies are being implemented by leading manufacturers.
Key Findings in the Meat Substitute Market Study:
Based on product type, the meat substitute market is segmented into tofu, TVP, tempeh, seitan, burger patties, sausages, ground meat, meatballs, nuggets, crumbles, and other meat substitutes. In 2020, the tofu segment is estimated to dominate the overall meat substitute market. Its low cost, easy availability, and high nutritional & medicinal value, which provide protection against several therapeutic conditions, are the key factors driving the adoption of this product category.
Based on source, the meat substitute market is segmented into soy protein, wheat protein, almond protein, pea protein, rice protein, and others. In 2020, the soy protein segment is estimated to command the largest share of the overall meat substitute market. Factors such as easy availability and cost-effectiveness in comparison to other sources of protein, increased demand in meat protein alternatives, and wider-application base in many meat substitute categories are responsible for the major share of this segment.
Based on distribution channel, the meat substitute market is mainly segmented into business-to-business and business-to-customers. In 2020, the B2C segment is estimated to command the largest share of the overall meat substitute market. The large share of this market is mainly attributed to consumer preference for shopping from brick-and-mortar grocers and growing meat substitute sales.
Geographically, Europe is estimated to command the largest share of the global meat substitute market in 2020, followed by North America and Asia-Pacific. The leading position of the European meat substitute market is primarily attributed to the well-established food sector, higher vegan & vegetarian trend, rising awareness on protein-rich diet consumption, and high investment in the meat substitute sector.
The key players operating in the global meat substitute market are Beyond Meat Inc. (U.S.), Impossible Foods Inc. (U.S.), Garden Protein International, Inc. (Canada), Amy's Kitchen Inc. (U.S.), The Hain Celestial Group, Inc. (U.S.), Sahmyook Foods (South Korea), Axiom Foods (U.S.), Lightlife Foods, Inc. (U.S.), Marlow Foods Ltd. (U.K.), Taifun –Tofu GmbH (Germany), Atlantic Natural Foods LLC (U.S.), VBIte Food Ltd (U.K.), and Nutrisoy Pty Ltd. (Australia) among others.
Amidst this crisis, Meticulous Research® is continuously assessing the impact of COVID-19 pandemic on various sub-markets and enables global organizations to strategize for the post-COVID-19 world and sustain their growth. Let us know if you would like to assess the impact of COVID-19 on any industry here- https://www.meticulousresearch.com/custom-research.php
Plant Based Food Market by Product Type (Dairy Alternatives, Meat Substitute, Plant-Based Eggs, Confectionery), Source (Soy Protein, Wheat Protein), and Distribution Channel (Business to Business and Business to Customers) – Global Forecast to 2027
Meticulous Research® was founded in 2010 and incorporated as Meticulous Market Research Pvt. Ltd. in 2013 as a private limited company under the Companies Act, 1956. Since its incorporation, the company has become the leading provider of premium market intelligence in North America, Europe, Asia-Pacific, Latin America, and the Middle East & Africa.
The name of our company defines our services, strengths, and values. Since the inception, we have only thrived to research, analyze and present the critical market data with great attention to details. With the meticulous primary and secondary research techniques, we have built strong capabilities in data collection, interpretation, and analysis of data including qualitative and quantitative research with the finest team of analysts. We design our meticulously analyzed intelligent and value-driven syndicate market research reports, custom studies, quick turnaround research, and consulting solutions to address business challenges of sustainable growth.