Plant-Based Meat Market 'To More Than Double In Value' By 2030

The plant-based meat industry is set to more than double in value by 2030, according to new market research.

In 2024, the industry’s value was US$9.57 billion, according to Global News Wire. By 2030, it will be worth $21.81 billion, a compound annual growth rate of 14.72 percent. This growth will be driven by more investment in the sector, product innovation, demand for clean label foods, and environmental concerns.

The research notes that consumer interest in clean labeling is a “significant trend” in the plant-based meat market. Transparency in food labeling helps to build trust with customers, “a critical factor” for the long-term growth of the industry. Increasingly, plant-based meat producers are embracing this shift with a focus on fewer, simpler ingredients. The continuous innovation of plant-based meat producers means they are able to adapt to changing consumer preferences, according to the research.

The market is dominated by a few large companies, including Beyond Meat, Impossible Foods, Quorn, Tofurky, and Tyson. Some major food corporations are focusing on acquisitions and collaborations with emerging companies to gain entry to the market and access to commercially launched products.

Europe leading the way

scientists developing plant-based meat — Gorodenkoff – stock.adobe.com The plant-based meat sector benefits from ongoing innovation

Strong consumer demand for healthier and more sustainable foods has helped turn Europe into a leader in the plant-based meat space. A recent separate analysis revealed that applications for alternative protein patents have risen 960 percent in the last decade in Europe, indicating growing plant-based innovation in the region.

Some European countries have also seen plant-based alternatives become more mainstream. Around a third of households in Germany, the UK, and Spain now buy plant-based meat and milk products.

According to Global News Wire, the growth of the sector in Europe has been boosted by more availability of plant-based products. Partnerships between producers and food service providers have also helped. Meanwhile, a rise in ethical and environmental concerns around food has seen a growth in flexitarians who want to try more plant-based alternatives.

Cost still a barrier

Despite the positive forecast, the higher cost of plant-based meat compared to conventional meat remains a barrier to growth for the industry, according to the research.

Plant-based meat producers invest a lot of money into research and development to try and replicate the sensory experience of eating meat. This adds costs to production. Meanwhile, the conventional meat industry is long-established and benefits from economies of scale — as well as massive government subsidies — which help to keep the cost of meat down.

Currently, the plant-based meat sector does not enjoy the same amount of infrastructure and degree of scalability. Global News Wire notes that many consumers are unable or unwilling to pay a premium for plant-based meat. Indeed, other research has shown that, for US consumers, if plant-based meat costs the same or less than conventional meat, it boosts the sales of the former over the latter.