Global Market
●In 2019, the global market size of plant based meat was valued at $11.1 billion with an expected CAGR of 15.8% by 2027
●With an estimated revenue of $23.2 billion by 2024, plant based meat is expected to register a steep uptick based on its CAGR from 2020-2027
●Beyond Meat Inc., a plant based food tech startup , generated ~ 600% return since it’s IPO in May 2019. The startup had increased its revenue by 230% in 2019 within a year and associated it’s products with some major brands such KFC , Taco Bell and Pepsi. The company has grown its market share from 2.3% in 2016 to more than 22 % in 2020.
●In Europe, another domain which has been gaining popularity amongst investors is Lab Grown Meat. They recently raised $ 78 million through Global Private Equity Investors to launch their industrial 3D printed meat substitutes across Switzerland, Germany, followed by North America and Asia.
The Indian Flexitarians
●While Indian vegetarianism culture is no binary concept, their practice of distinct food practices led them to be coined as Flexitarians. Despite of being a small market currently, mock meat has popularised rapidly amongst Indian consumers.
●As per The Good Food Institute estimates, approximately 63% Indians prefer purchasing plant based meat than regular meat.
●The market has seen an uptrend in the PBM startups – I.E. VegetaGold, GoodDotEnterprises, Ahimsa Food, Vezlay and EVO etc. are some of the upcoming ones.
●As per latest findings, India’s PBM Market accounts upto 10% of APAC market which is likely to hit $565 million mark by 2024.
Startup Spotlight – EVO Foods
●This mumbai-based food-tech startup aims to bridge the gap between clean protein products and plant based alternatives for animal products. As the startupvouches for nation’s first 100% (plant based) vegan liquid egg, it also claims to mimic the same texture, protein content and taste of the conventional one.
●The foodtechrecently raised $330,000 through Big Idea Ventures and VegInvest in their pre-seed funding. Another undisclosed funding through ShiokMeat’s CEO Mr. Sandhya Sriram was made in July 2019.
●Despite of being a promising market and year to date sale of 40 million vegan liquid eggs, the startupfaces competition threats from Industry Giants such US based Impossible Foods and many more.
●The startupplans to gear up operations in the US market by the end of 2021,as well as South East Asia and Australia in the near future.
Is it the Rise of Meatless Meat?
●The rise of meat alternatives has been driven by one main factor: that the meatless meat doesn’t necessarily have to be an alternative just for vegans or vegetarians. All the consumers, and not only vegetarians and vegans, are the target of the next generation of meat alternatives.
●Given the effect that meat has on the environment, the consumer consumption has shifted toward a the interest in meat alternatives.With an increasing awareness of healthy eating and healthy living, consumers are more of the products that they buy. This has in turn increased the demand for meatless meat or call it the great-tasting meat alternatives.
●However, with the global meat industry worth over $2 trillion and increasing at a CAGR of 15.7% in the next 5 – 7 years, will the plant – based- meat industry overcome hurdles, such as cultural barriers, objections from incumbent meat companies and the risk of any incident that affects consumer confidence?