Plant Derived Protein Trends and Forecast
The future of the global plant derived protein market looks promising with opportunities in the food and feed applications. The global plant derived protein market is expected to reach an estimated $20.0 billion by 2030 with a CAGR of 6.0% from 2024 to 2030. The major drivers for this market are the significant adoption of veganism and health concerns such as cardiovascular diseases, increasing demand for vegan and vegetarian diets, and high availability of plant-based protein products.
Lucintel forecasts that organic is expected to witness the highest growth over the forecast period due to demand for clean-label food and transparency.
Within this market, feed is expected to witness the highest growth over the forecast period.
APAC is expected to witness the highest growth over the forecast period due to the growing populationÄX%$%Xs dietary preferences towards plant-based foods and proteins in the region.
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Emerging Trends in the Plant Derived Protein Market
The market for plant-derived proteins is growing systematically, thanks to changes in dietary habits of consumers, technological development, and rising concerns over sustainability. The plant-derived protein industry is adapting to five major trends. This summary presents the trends and their effects on the growth and development of the market.
• Focus on New Protein Ingredients: Flours other than the extensive usage of soybean and wheat flour are gaining popularity. This is because consumers have different protein requirements, and thus there are efforts to create proteins from novel sources like peas, lentils, chickpeas, and even algae. This also allows consumers to satisfy their demand for a variety of protein sources without fearing dietary allergies or the environmental impacts associated with plant-based protein benefits.
• Development in Technology of Protein Recovery: Technological improvements in protein extraction are enabling increased yields and improved quality of plant proteins. Modifications like precision fermentation and enzymatic techniques are enhancing plant proteins in terms of mouthfeel, flavor, and nutrition. It is important to note that these factors will lead consumers to accept plant proteins more readily, thereby expanding the market.
• Growing Demand for Clean Label Products: In this era of heightened health awareness, most consumers have begun to promote clean label products, which are minimally processed and free from unnatural ingredients. This trend is creating a ripple effect in the plant-derived protein market, as companies are now producing proteins that comply with clean label requirements. This change is leading to new ideas regarding the processing of rollouts and the sourcing of raw materials to ensure that plant proteins meet consumer demands for natural, healthy products.
• Expansion of Plant-Based Protein into New Categories: The scope of application for plant proteins is being enhanced to include products such as snacks and beverages, as well as animal feeds like pet foods. This trend indicates the growing acknowledgment of and need for a great variety of plant-based proteins among consumers. As companies increase efforts to penetrate new markets, they are generating new revenue streams and expanding the overall market, as plant-based alternatives are being adopted in a broader spectrum of consumer use.
• Sustainability as a Market Influencing Factor: In the market for plant-derived proteins, concerns about sustainability are fundamentally important, as they affect both consumers and companies. Businesses are increasingly turning to sustainable sourcing and production methods due to the defined green audience. This sustainability orientation not only satisfies customers but also responds to global efforts to reduce carbon footprints, which will, in turn, promote growth in the market.
These new trends are changing the dynamics of plant-derived protein market growth, fueling innovations, product development, and aligning the sector with wider market and environmental needs. As these trends show no signs of receding, they will increase growth rates and market share of plant-derived proteins around the world.
Recent Developments in the Plant Derived Protein Market
The market and structure of plant protein raw materials are in a state of flux. This change is triggered by innovations, shifts in consumer behavior, and changes in strategies by industry players. Such changes are creating an environment where various levels of growth and diversification of the market can occur. Over the next five paragraphs, this summary presents five challenges facing the plant-derived protein industry in the future.
• Strategic Partnerships and Acquisitions: There has been an increasing trend of strategic partnerships and acquisitions in the plant-based protein industry, as companies expand their product offerings and presence in the marketplace. Large players in the food industry are combining with or purchasing disruptive companies to access new technologies and offerings. This trend is also accelerating the development and scaling of new protein products based on emerging sources, thereby promoting market growth.
• Investment in Research and Development: Research on plant-based protein has seen substantial investment, enhancing the plant protein market. Companies are working to improve flavors, mouthfeel, and nutrition of plant proteins to increase their use in foods. These R&D initiatives are also facilitating the introduction of new proteins, thus opening more markets and catering to diverse consumer needs.
• Buildup of Production Infrastructure: To meet rising consumer demand, companies currently producing plant protein products are investing in and increasing their production capabilities. This encompasses building new production plants and expanding existing production capacity. The higher production capacity allows companies to provide the market with more varieties of plant protein, thereby supporting market growth.
• Government Policies and Initiatives: Governments are actively contributing to the development of the plant-derived protein market through legislative initiatives. Policies geared toward sustainable agricultural practices and the production of plant proteins are fueling industry growth. Furthermore, government investment in research and development of plant-based food products has proven beneficial in increasing innovation and expanding the market.
• Consumer Education and Awareness Campaigns: Consumer education and awareness campaigns are essential for encouraging acceptance of plant-derived proteins. Both companies and industry organizations are engaging in campaigns that promote the consumption of plant-based diets due to their health and environmental advantages. Such activities are crucial for changing perceptions and increasing the uptake of plant protein products, thereby growing the market.
These new developments are transforming traditional methods by promoting various aspects of the plant-derived protein market, enhancing productivity, and increasing consumer engagement. As these trends continue, they are likely to bolster market growth while revealing potential factors for further diversification.
Strategic Growth Opportunities for Plant Derived Protein Market
The plant-derived protein market presents limitless growth opportunities, particularly in applications with high consumer demand and technological advancements. This summary highlights five participant-specific strategic growth possibilities within the industry. The potential impact of these opportunities and the emerging market potential are discussed below.
• Plant-Based Meat Alternatives: The plant-based meat alternative segment of the plant-derived protein market presents one of the largest growth opportunities. As consumer focus shifts to healthier and more environmentally friendly meat alternatives, companies are developing meat substitutes that are genuinely healthier. This opportunity is attracting significant investor and R&D attention, resulting in new innovations and products to satisfy the increasing demand for plant-based nutrition.
• Protein-Enriched Snacks and Beverages: Consumers are increasingly seeking protein-enriched products, especially snacks and beverages. This trend presents growth opportunities for plant-derived proteins due to rising adoption levels. More people are looking for healthy food options that are easy to consume due to time constraints. This trend is also driving the introduction of snack bars, shakes, and other protein-enriched food products, providing more options for companies targeting health-conscious consumers.
• Nutraceuticals and Functional Foods: Plant-derived proteins are among the best opportunities in the growing market for nutraceuticals and functional foods. Such products (dietary supplements and fortified or functional foods) are increasingly consumed due to consumers’ concerns for health and wellness. The incorporation of plant proteins in various functional foods adds health benefits beyond mere nutritional value, contributing to growth in this market segment.
• Dairy Alternatives: Dairy substitutes such as plant-based milk, cheese, and yogurt represent a significant growth area in the plant protein market. With increasing interest among consumers in lactose-free and vegan options, the market is gaining momentum for dairy alternatives with high-quality protein content. Providers are responding by creating new plant-based products, broadening their business scope and increasing market share.
• Sports Nutrition: The sports nutrition segment is also considered to hold prospects for plant-derived proteins. Athletes and fitness enthusiasts are increasingly using plant-based protein powders and supplements during training and recovery periods. This consumer trend provides opportunities for developing plant-based protein products targeting specific segments, presenting companies with exceptional growth potential.
These growth strategies in different application segments contribute to the development of the plant-based protein market. Further expansion is possible as companies continue to innovate and meet changing consumer needs, providing considerable growth opportunities for market diversification and penetration.
Plant Derived Protein Market Driver and Challenges
Numerous factors affect the plant-derived protein market, including technology, economy, and regulations. To succeed in this rapidly changing market, it is essential to understand the underlying drivers and challenges. This assessment outlines five key drivers and three accompanying challenges toward the market’s growth and development.
The factors driving the plant-derived protein market include:
• Rising Consumer Demand for Plant-Based Diets: The plant-derived protein market is buoyed by consumer demand for plant-based diets. More people are foregoing animal protein due to increased awareness of the health benefits of plant-based diets, ecological conservation, and ethical considerations. This trend results in heightened demand for plant-derived protein products across various categories, driving market growth and innovation.
• Enhancement of Technological Features for Better Protein Processing: Protein processing technologies have advanced significantly, enabling the production of high-quality plant-derived proteins that are better tasting, improve texture, and enhance nutritional profiles. Emerging technologies like extrusion and precision fermentation are helping plant proteins compete with animal proteins. Such technological improvements are vital for fulfilling consumer expectations and increasing market viability.
• Changing Consumer Attitudes and Purchasing Behavior Toward Non-Animal Components: Sustainability is becoming a key driver of the emerging market for plant-derived proteins. With rising awareness of the environmentally detrimental effects of animal agriculture, both consumers and corporations are seeking alternatives in plant proteins. This sustainability orientation is contributing to market growth by influencing purchasing decisions and prompting companies to implement green initiatives.
• Government Support and Policy Legislation: Government backing and supportive policies are fostering advancements in the plant-based protein industry. Policies designed to promote sustainable agricultural practices, investment in research, and encourage the production of plant-based foods are stimulating industry growth. Such efforts aim to enhance innovation and increase the supply of plant-based proteins.
• Entry into New Markets: The entry into new markets is crucial for expanding the scope of the plant-based protein market. Continuous production of new products based on plant sources is responding to changing consumer demands. This includes cutting-edge technologies in plant-based meat, dairy, snacks, and beverages, boosting the market and reaching more consumers.
Challenges in the plant-derived protein market include:
• Very High Production Costs: High production costs are a major hindrance to the development of the plant-based proteins market. The costs associated with sourcing raw materials, product finishing, and R&D are often prohibitive, particularly for new and small companies. These high costs can lead to higher consumer prices, making plant-based protein products less competitive than animal products and reducing market uptake.
• Consumer Perception and Acceptance: Consumer perception and acceptance remain barriers in the plant-derived food market. Although awareness of plant protein diets is increasing, some consumers remain skeptical about the flavor, texture, or nutritional value of plant-derived proteins. Changing these perceptions requires substantial innovation and effective marketing strategies.
• Supply Chain Constraints: Supply chain constraints, such as resource availability and processing capabilities, remain concerns in the plant-derived protein market. Supply chain disruptions may lead to product shortages and increased prices, jeopardizing demand. This necessitates enhanced supply chain infrastructure and strategic planning to mitigate challenges.
The plant-derived protein market is shaped by a combination of drivers and challenges, each significantly impacting its evolution. Drivers such as consumer demand and technological advancements continue to support market growth; however, challenges like high production costs and supply chain constraints must be addressed to sustain growth and expand the market.
List of Plant Derived Protein Companies
Companies in the market compete on the basis of product quality offered. Major players in this market focus on expanding their manufacturing facilities, R&D investments, infrastructural development, and leverage integration opportunities across the value chain. With these strategies plant derived protein companies cater increasing demand, ensure competitive effectiveness, develop innovative products & technologies, reduce production costs, and expand their customer base. Some of the plant derived protein companies profiled in this report include-
• ADM
• Cargill
• DuPont
• Wilmar
• Roquette Frères
• Glanbia
• Kerry
• DSM
• Ingredion
• Emsland
Plant Derived Protein by Segment
The study includes a forecast for the global plant derived protein by type, source, nature, application, and region.
Plant Derived Protein Market by Type [Analysis by Value from 2018 to 2030]:
• Isolates
• Concentrates
• Textured
Plant Derived Protein Market by Source [Analysis by Value from 2018 to 2030]:
• Soy
• Wheat
• Pea
Plant Derived Protein Market by Nature [Analysis by Value from 2018 to 2030]:
• Conventional
• Organic
Plant Derived Protein Market by Application [Analysis by Value from 2018 to 2030]:
• Food
• Feed
Plant Derived Protein Market by Region [Analysis by Value from 2018 to 2030]:
• North America
• Europe
• Asia Pacific
• The Rest of the World
Country Wise Outlook for the Plant Derived Protein Market
The market for plant-derived proteins is experiencing an upward trend as consumers embrace healthy, environmentally friendly alternatives to animal protein. Key markets such as the United States, South Africa, China, Germany, India, and Japan are rapidly advancing in production developments, regulatory frameworks, and consumer behavior. This summary answers questions regarding recent advances in these regions and which emerging factors influence the growth of specific markets.
• United States: In the U.S., factors such as increased consumer education about the benefits of a plant-based diet and rapid developments among major food businesses are driving the growth in consumption of plant-derived proteins. Recent developments include collaborations between food technology startups and established companies to create new meat substitute products. The market is also witnessing positive dynamics in terms of raw materials for protein production due to government incentives for sustainable farming practices.
• China: In China, the plant-based protein market is growing rapidly due to government efforts to encourage a shift toward plant-based diets for better health and reduced environmental impact. Recent reports highlight the establishment of new plant protein production companies and the launch of products made with local ingredients. Increasing numbers of Chinese consumers are seeking such products, leading to a broader market with more varieties being introduced over time.
• Germany: Germany’s plant-derived protein market is characterized by consumers who prioritize sustainable food and effective innovation regulations. Current trends include the emergence of new companies and startups producing innovative plant proteins. Additionally, government policies encouraging environmentally friendly farming are boosting the production of plant proteins, making Germany a more competitive player in the European market.
• India: In India, rapid growth is anticipated in the plant-derived protein market due to increasing health awareness and preferences for vegetarian options. Current trends include the entry of international plant protein brands into the Indian market and the launch of indigenous plant protein products. Government initiatives in agriculture, such as subsidies for pulse cultivation, are also increasing the availability of feedstock for plant protein production.
• Japan: Due to rising awareness of the health and environmental benefits of plant-based diets, more Japanese consumers are embracing plant-derived proteins. Recent trends include the development of new plant protein products tailored to local diets. Japanese food manufacturers are also engaging in research and development to enhance the taste and mouthfeel of plant proteins to attract a broader consumer base.
Features of the Global Plant Derived Protein Market
Market Size Estimates: Plant derived protein market size estimation in terms of value ($B).
Trend and Forecast Analysis: Market trends (2018 to 2023) and forecast (2024 to 2030) by various segments and regions.
Segmentation Analysis: Plant derived protein market size by various segments, such as by type, source, nature, application, and region in terms of ($B).
Regional Analysis: Plant derived protein market breakdown by North America, Europe, Asia Pacific, and Rest of the World.
Growth Opportunities: Analysis of growth opportunities in different types, sources, natures, applications, and regions for the plant derived protein market.
Strategic Analysis: This includes M&A, new product development, and competitive landscape of the plant derived protein market.
Analysis of competitive intensity of the industry based on Porter’s Five Forces model.
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FAQ
Q.1 What is the plant derived protein market size?
Answer: The global plant derived protein market is expected to reach an estimated $20.0 billion by 2030.
Q.2 What is the growth forecast for plant derived protein market?
Answer: The global plant derived protein market is expected to grow with a CAGR of 6.0% from 2024 to 2030.
Q.3 What are the major drivers influencing the growth of the plant derived protein market?
Answer: The major drivers for this market are the significant adoption of veganism and health concerns such as cardiovascular diseases, increasing demand for vegan and vegetarian diets, and high availability of plant-based protein products.
Q4. What are the major segments for plant derived protein market?
Answer: The future of the plant derived protein market looks promising with opportunities in the food and feed applications.
Q5. Who are the key plant derived protein market companies?
Answer: Some of the key plant derived protein companies are as follows:
• ADM
• Cargill
• DuPont
• Wilmar
• Roquette Frères
• Glanbia
• Kerry
• DSM
• Ingredion
• Emsland
Q6. Which plant derived protein market segment will be the largest in future?
Answer: Lucintel forecasts that organic is expected to witness the highest growth over the forecast period due to demand for clean-label food and transparency.
Q7. In plant derived protein market, which region is expected to be the largest in next 5 years?
Answer: APAC is expected to witness highest growth over the forecast period due to the growing populationÄX%$%Xs dietary preferences towards plant-based foods and proteins in the region.
Q.8 Do we receive customization in this report?
Answer: Yes, Lucintel provides 10% customization without any additional cost.
This report answers following 11 key questions:
Q.1. What are some of the most promising, high-growth opportunities for the plant derived protein market by type (isolates, concentrates, and textured), source (soy, wheat, and pea), nature (conventional and organic), application (food and feed), and region (North America, Europe, Asia Pacific, and the Rest of the World)?
Q.2. Which segments will grow at a faster pace and why?
Q.3. Which region will grow at a faster pace and why?
Q.4. What are the key factors affecting market dynamics? What are the key challenges and business risks in this market?
Q.5. What are the business risks and competitive threats in this market?
Q.6. What are the emerging trends in this market and the reasons behind them?
Q.7. What are some of the changing demands of customers in the market?
Q.8. What are the new developments in the market? Which companies are leading these developments?
Q.9. Who are the major players in this market? What strategic initiatives are key players pursuing for business growth?
Q.10. What are some of the competing products in this market and how big of a threat do they pose for loss of market share by material or product substitution?
Q.11. What M&A activity has occurred in the last 5 years and what has its impact been on the industry?
For any questions related to Plant Derived Protein Market, Plant Derived Protein Market Size, Plant Derived Protein Market Growth, Plant Derived Protein Market Analysis, Plant Derived Protein Market Report, Plant Derived Protein Market Share, Plant Derived Protein Market Trends, Plant Derived Protein Market Forecast, Plant Derived Protein Companies, write Lucintel analyst at email: helpdesk@lucintel.com. We will be glad to get back to you soon.