According to a recent report from ResearchAndMarkets.com, the global plant-based meat market is estimated to be valued at $12.1B in 2019 and is likely to reach $27.9B by 2025, with a compound annual growth rate of 15% during this period.
An article published by Food Revolution Organization shows that in 2018, the number of vegans in the U.S. has grown by 600% in the last three years. The growth in the U.K. vegan population has quadrupled between 2014 and 2018. Moreover, in the Asia-Pacific region, high growth is expected from countries such as China, Singapore, Australia, and New Zealand due to the rising demand for organic food products in this region. The Asia-Pacific region also consists of the largest vegetarian population in the world, which is expected to create a lucrative opportunity for plant-based meat producers. Also, the international expansion of two U.S. based manufacturers – Impossible Foods in Singapore and Beyond Meat in China – are expected to boost sales of plant-based meat.
The report shows the market is being driven most significantly by the growing uptake in flexitarian diets in North America. There is consumer demand for plant-based meat for ethical, environmental, and growing health concerns that are related explicitly to animal-based protein sources.
There are several segments of plant-based meat sources that are expected to account for the most significant shares in 2019.
- Soy is estimated to account for the largest share in the plant-based meat market overall. It is one of the key ingredients in products that include burger patties, strips & nuggets, sausages, and meatballs. It is also a common meat alternative for pork, beef, chicken, and fish due to its high protein content.
- The burger patties segment is estimated to account for the largest share due to its popularity. These players have created distribution partnerships with retail channels and restaurants at a global level. For example, Impossible Foods has a widespread presence in the U.S market with distribution in over 4,000 locations in the country. Also, in April 2018, US-based Beyond meat partnered with German PHW Group for burger patty distribution throughout Europe.
- Chicken is the most common source of protein among customers in the Asia-Pacific region. With the growing health concerns related to animal proteins, consumers are opting for plant-based sources, which has also boosted sales for protein alternatives. Consumers’ concerns about environmental degradation caused by raising animals for food and the suffering of animals is even playing a role in increasing demand.
- The North American region is projected to be on the fast track to be the fastest-growing market in 2019. The U.S. is backed by major players – Impossible Foods and Beyond Meat – which initiated the plant-based meat trends. In addition to this trend, consumers are continuing to adopt flexitarian diets.
The growth of plant-based meats in the 2017 to 2025 forecast period continues to grow as we reported in 2018.