Protein ingredients market is estimated to witness high growth owing to increasing health consciousness and demand for nutritious food products
The protein ingredients market is estimated to be valued at USD 87.46 Bn in 2024, exhibiting a CAGR of 6.1% over the forecast period (2024-2031). Furthermore, the demand for protein-rich diets is growing rapidly among health-conscious consumers. This has compelled food & beverage manufacturers to launch various new product lines containing high-protein ingredients.
Increasing demand for plant-based proteins
With growing awareness about environmental and health issues related to animal proteins, demand for plant-based meat substitutes and dairy alternatives is seeing a considerable rise. This has prompted increased investments in the development of plant-based protein ingredients like soy, pea, and wheat proteins.
Focus on sports nutrition and weight management
The sports nutrition and weight management industry is also contributing to the growth of the protein ingredients market. Wide application of whey proteins in sports supplements and meal replacement products has made it a major revenue generator. Other proteins like casein, egg, and rice are also gaining popularity among gym enthusiasts and dieters. Overall, the focus on fitness is augmenting the sales of high-protein food products and supplement formulations.
Increased Consumer Demand for Protein-rich Food Products
The protein ingredients market has seen significant growth in recent years due to rising consumer demand for protein-rich food products. More people are incorporating protein into their diets by consuming high-protein snacks, meal replacement products, drinks and supplements. This is driven by a greater focus on health, fitness, and bodybuilding. Protein ingredients allow food manufacturers to formulate a wide variety of products that cater to this consumer need for protein.
Growth of Sports Nutrition and Weight Management Industries
Closely linked to increased protein consumption is the booming sports nutrition and weight management industries. More people are participating in athletic activities and focusing on active, healthy lifestyles. They recognize the importance of protein for muscle building, recovery and weight control. Sports nutrition products high in protein fuels have seen immense growth. Meal replacement products, protein bars and protein powders have become popular for their protein content which supports fitness goals. This expanding market provides opportunities for protein ingredient suppliers.
Fluctuating Raw Material Prices
One of the key challenges for protein ingredients manufacturers is volatility in raw material prices. Prices of raw materials like soy, whey, casein and eggs fluctuate based on variables like weather conditions, commodity market trends and demand-supply dynamics. This affects production costs and profit margins for companies. Passing on high raw material costs to consumers also risks pricing products out of the market. Price fluctuations introduce an element of unpredictability in long-term planning.
Stringent Regulations on Food Safety and Quality
Protein ingredients must comply with stringent regulations and certification standards set by food safety bodies globally. Failure to meet these can result in product recalls and legal liabilities. The regulatory landscape is also evolving with new laws. This raises compliance costs and complexity for companies. Maintaining consistent quality of ingredients from source to finished product is challenging. Adverse events could damage brand reputation in the competitive protein market. Strict adherence to quality systems and certification is important but increases operating expenses.
Growth in Plant-based Protein Market
The expanding market for vegan, vegetarian, and flexitarian diets provides opportunities for plant-based protein ingredients. Ingredients from sources like soy, pulses, nuts, and seeds are seeing increased demand from both health-conscious consumers and as alternatives to animal protein. Formulating tasty and nutritious plant protein products allows companies to tap this fast-developing segment. Investment in new plant protein technologies also enables product innovation catering to diverse diets.
Export Potential in Emerging Markets
While North America and Europe currently dominate protein ingredients consumption, demand is also growing strongly in developing countries. Asia Pacific, Latin America, the Middle East, and Africa represent markets with rising incomes, changing diets, growing health awareness and potential for Western influences. Export of products adapted to regional tastes provides an opportunity for globalized companies. Building local production units coupled with marketing expertise allows capturing emerging market demand.
Link: https://www.coherentmarketinsights.com/market-insight/protein-ingredients-market-3393
Key Developments
- In May 2024, Roquette, a global leader in plant-based ingredients, proudly announced the launch of NUTRALYS® Fava S900M, a fava bean protein isolate, in both Europe and North America.
- In 2023, Arla Foods Ingredients introduced new protein products to address the increasing consumer emphasis on nutrient quality.
- In March 2022, Kerry Group, a company specializing in taste and nutrition, inaugurated a newly upgraded food manufacturing facility in Rome, Georgia, with an investment of $137 million. This state-of-the-art facility is designed to deliver integrated taste and nutrition solutions.
- In July 2022, Burcon NutraScience Corp collaborated with its joint venture company, Merit Functional Foods Corporation, to introduce Peazazz C, a novel pea protein ingredient for use in food and beverage products.
Key Players
DuPont, ADM, Cargill, Incorporated, BRF, The Scoular Company, Roquette Freres, Glanbia PLC, Omega Protein Corporation, Sudzucker AG, DSM, Amco Proteins, A&B Ingredients, Inc, Puris, Ingredion, Kewpie Corporation, Fonterra Co-Operative Group Limited, Kerry Group plc, Arla Foods Ingredients Group P/S, FrieslandCampina Ingredients, and Gelita AG
