The plant-based beef market is set to grow at a CAGR of 22.7% between now and the end of the decade, a new study by Future Market Insights (FMI) has found.
According to the study, the soy-based protein segment will maintain its dominance in the plant-based beef market, while wheat-based protein is also expected to 'grow prominently'.
The burger patty segment will remain the driving force for the plant-based beef category, it added.
'As alternate protein gains traction in the market owing to the increasing awareness about the environmental impact of food choices consumers make, the majority of the population is shifting towards plant-based beef and is expected to gain traction in near future,' the study found.
The plant-based market is becoming increasingly competitive, with Beyond Meat, Impossible Foods and Nestlé's Garden Gourmet brand (pictured) all gaining traction, as well as a myriad of private label players.
Earlier this week, Beyond Meat reported a 2.7% increase in net revenue in the third quarter, with its retail channel net revenues rising by 39% in the period.
According to FMI's study, while plant-based meat alternatives historically warranted limited shelf space, concepts such as 'Veganuary' and the rising tide of both veganism and flexitarianism have provided significant impetus to the category.
The segment is also a hotbed of innovation, with companies both developing and acquiring new brands that will provide momentum to the plant-based beef market.
“Leading market players are focusing on launching novel tastes and textures to woo consumers," a FMI spokesperson said. "With COVID-19 tightening its noose worldwide, more companies are likely to focus on ensuring better nutrient profile, as consumers gradually move away from meat consumption. This will bode well for the overall market.”
The study found that the UK is the global leader in terms of vegan food launches.
In 2019, approximately 18% of new food launches were vegan, while leading retailers such as Tesco have led the way in terms of own-brand innovation in this growing area.
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