The connection between public health and animal meat consumption has been brought to the forefront ever since the outbreak of COVID-19 pandemic, leading to a growth in demand for meat alternatives.
In response to this sudden spurt in demand, a host of companies producing meat substitutes have been revamping their strategies to further capitalise on the opportunity.
According to a recent report by Allied Market Research, the global meat substitute industry, estimated at $4.51 billion in 2019, will touch $8.82 billion by the year 2027. It is expected to register a CAGR of 7.2% in the period between 2021 and 2027.
Apart from the pandemic, instances of other obvious health hazards associated with animal meat, such as antimicrobial resistance, plaguing the general population has led to the rise of the meat substitute industry.
People are also becoming aware of the perspectives around sustainability and animal welfare, propelling the growth to a greater extent.
Companies like Beyond Meat Inc, Tofurky Co., and Impossible Foods Inc are all increasing production and expanding into more stores. They have started offering exciting discounts in order to appeal to the mass and efficiently partnering with stakeholders.
As of 2019, the frozen segment holds nearly 75% of the global market share and it is expected to hold its dominance till the end of 2027. During this same interim, other shelf-stable meat alternative products will experience a steep growth of CAGR 9.9% owing to a pandemic-induced increase in demand.
The soy-based segment has taken up nearly 60-70% of the total market revenue generated in the year 2019. This is attributed to the fact that soy proteins i.e. protein isolate and protein concentrate continue to be the main ingredients behind the manufacturing of plant-based meat substitute.
The wheat-based segment on the other hand would enjoy the fastest CAGR of 10% owing to its high nutritional goodness.
Europe and North America account for 40% of the global meat alternatives market. They have some renowned names like Quorn Foods, Cauldron Foods and lately the Rugenwalder Mulhe, attributing to the growth.
Asia Pacific is showing promise and is slated to make the fastest CAGR of 9.4% by 2027 owing to strong efforts made in the industry.