Plant-based sales are seeing an uptick in Brazil, driven by the need to replace meat and dairy for health and ethical reasons and the push for greater sustainability in the food industry.
Figures from Euromonitor‘s database, shared with vegconomist by the Good Food Institute Brasil (GFI Brasil), show that the plant-based market in the country has seen significant growth.
In 2023 alone, retail sales of plant-based meat and seafood reached R$1.1 billion, a 38% increase compared to the previous year. Not only did sales increase, but the total volume (in tons) of products sold also grew significantly, with a 22% rise compared to the previous period. Meanwhile, plant-based milk, which is the most successful category in the global market with a 66.8% plant-based market share, showed a growth of 9.5%, with sales totaling R$673 million in 2023.
The trend has been continuously growing since 2021, which saw a 30% increase in plant-based meat and seafood sales compared to 2020. By 2022, this category expanded by 42%, reaching R$821 million in sales, while plant-based milk saw a 15% increase, reaching R$612 million.
“Euromonitor had already predicted that the sector could exceed $425.3 million in sales by 2026 (approximately 2.2 billion reais at the current exchange rate) — and the most recent data indicate we are on the right track to surpass these expectations,” Vinícius Gallon, Communication Manager at GFI Brasil, informs vegconomist.
Health impact of food choices
Consumers worldwide are becoming more aware of the health impacts of their food choices, and plant-based diets are associated with various health benefits, including a reduced risk of chronic diseases, weight management, and slowing the aging process.
Generation Z, born from 1995 onward, is significantly influencing this health-focused trend. Meanwhile, Generation Alpha, those born between 2010 and 2025, will redefine consumer spending over the next decade as its prioritization of sustainability and moral considerations surpass Generation Z’s.
The food industry is responding to these demands by expanding offerings that match consumer demand for healthier plant-based options.
According to GFI Brasil, health will remain a focal point for companies. Formulations that tackle consumer concerns about cholesterol, sodium, and fat content will be a priority, and natural ingredients familiar to consumers will become more prevalent in plant-based products to meet health and well-being expectations.
For example, in Europe, the latest consumer insights by Ingredion show that 73% of consumers are actively seeking products with clean labels. In comparison, 85% of health-conscious consumers are interested in functional ingredients that deliver added health value.
GFI Brasil considers that technological advancements in ingredients, such as fermentation and new processing techniques, will deliver not only healthier but also improved plant-based products, overcoming previous limitations in flavor and texture.
While the expectations for the alternative protein market in Brazil are high, significant challenges remain. Winning over more consumers in retail and food service, addressing pricing disparities, and ensuring transparency in labeling are still key challenges to overcome, says GFI Brasil.
