Protein Alternatives 'Will Boost Nestlé, Unilever, Cargill'
According to MarketsandMarkets, the competitive intelligence and market research provider, the alternative proteins market is experiencing "remarkable" growth and is projected to reach USD$25.2bn by 2029 – up from from USD$15.7bn in 2024.
As traditional meat producers watch their market share go to seed, savvy investors are planting themselves firmly in this flourishing field.
Trends in healthy eating, meat substitutes, environmental concerns, and animal welfare considerations are gaining momentum worldwide, driving this particular market to expand to meet consumer demand.
Plant-based sources – as well as insects, and algae – offer sustainable alternatives to traditional animal proteins, and technological advancements have significantly developed to improve the taste, texture, and nutritional profiles of these products, broadening consumer appeal.
In the animal feed sector, demand is also becoming robust for plant-based meat, dairy alternatives, and protein-rich snacks. And as the food industry is adopting insect-based meals and algae as sustainable options for livestock and aquaculture, feed security and reduced environmental impact is increasing.
Substantial investments from major food corporations, top plant based food companies and startups underscore the sector's potential to transform both food and feed industries, positioning alternative proteins as a key player in the future of global nutrition and sustainability.
Nestlé, Unilever & Cargill investing in protein alternatives
Major food industry companies are increasingly investing in protein alternatives for several strategic reasons. This trend reflects a significant shift in the global food landscape, driven by changing consumer preferences, sustainability concerns, and technological advancements.
Nestlé: has acquired Sweet Earth Foods, a plant-based food manufacturer and launched the Garden Gourmet brand for plant-based products in Europe.
- Unilever: has acquired The Vegetarian Butcher, expanding its plant-based portfolio and invested in Algenuity, a microalgae protein company.
- Cargill: has invested in PURIS, North America's largest producer of pea protein and launched its own plant-based protein brand, PlantEver.
- Tyson Foods: has invested in Beyond Meat and launched its own plant-based brand, Raised & Rooted.
- Danone: has acquired WhiteWave Foods, owner of plant-based brands Alpro and Silk and invested heavily in expanding its plant-based product lines.
- Kerry Group: has acquired Ojah BV, a Dutch plant-based protein manufacturer and invested in Nutriati, a plant-based ingredients company
Even JBS, the largest meat processing enterprise in the world is looking into protein alternatives, by acquiring Vivera, Europe's third-largest plant-based food producer.
Monde Nissin has also acquired Quorn Foods, a mycoprotein-based meat alternative company.
- Direct acquisitions of established alternative protein companies
- Venture capital funding for promising startups
- In-house research and development of new products
- Strategic partnerships and collaborations with food tech companies
- Setting up dedicated plant-based product lines or subsidiaries
ADM developing range of plant-based protein ingredients
The dry form segment is leading the protein alternatives market, offering versatility and convenience through powders and dehydrated products derived from soy, peas, and mycoprotein.
These products boast longer shelf life, easy storage, and seamless incorporation into various foods, appealing to health-conscious consumers and aligning with plant-based dietary preferences.
Key advantages for protein alternative manufacturers range from reduced transportation costs, to optimised storage, to efficient distribution, to less processing required, to improved sustainability.
Major players getting ahead of the curve include Nestlé expanding its Garden Gourmet range specifically with dry protein products, Cargill investing heavily in pea protein production and ADM (Archer Daniels Midland) developing a wide range of plant-based protein ingredients.
As demand grows, the dry form segment is set to drive innovation and establish new industry standards in protein alternatives.
Plant protein has emerged as the leader in the protein alternatives market, and its rapid adoption stems from its wide application across sustainability, versatility, innovation and health benefits.
Plants require less environmental impact than animal-derived proteins, especially if they are extracted from diverse sources such as peas, soybeans, hemp, algae.
Shivani Hegde, Global Category Lead for Affordable Nutrition, Food Strategic Business Unit at Nestlé, says regarding the launch of an alternative protein product, ‘Maggi Soya Chunks’ is "another key step in our endeavour to offer our consumers convenient, enjoyable and sustainable food solutions that are nutritious, accessible and affordable."
Céline Worth, R&D Program Manager for Affordable Nutrition at Nestlé, adds that much like other Nestlé alternative protein products, these soya chunks offer enhanced daily diets with "increased protein and essential micronutrients in an affordable way."
And concludes: “We're focused on using more plant-based ingredients as part of our efforts to deliver affordable, nutritious products that contribute to closing the protein gap that exists for many consumers.”
In this high-steaks game of culinary innovation, it is yet to be seen who will come out on top. As the food industry is clearly banking on a future where 'meating' expectations, doesn't require any actual meat at all.
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