Alternative Protein Market Size, Growth Analysis 2023-2035

Global Alternative Protein Market Size, Forecast, and Trend Highlights Over 2023 - 2035

The global alternative protein market size is estimated to reach ~USD 40 Billion by the end of 2035 by growing at a CAGR of ~11% over the forecast period, i.e., 2023 2035. In addition to this, in the year 2022, the market size of alternative protein was ~USD 15 Billion. The growth of the market can be attributed to the increasing number of vegans and vegetarians. Alternative proteins are the area from where vegan people can suffice the need for their protein diets. In the survey of around 12,000 people from the UK, USA, Canada, and New Zealand. Around 52% of people who turned vegan were vegetarians before and around 43% of people use to consume animals before turning vegan.

In addition to these, factors that are believed to fuel the market growth of alternative protein include the rise in the number of livestock which is expected to increase the demand for animal feed. The most significant and preferred source of high-quality vegetable protein for the production of animal feed continues to be soybean. According to reported data, the number of livestock in the EU is significant, in December 2021, there were 142 million pigs, 76 million cattle, 60 million sheep, and 11 million goats. In addition to this, the overall population of livestock in India is 514.11 million in rural areas and 22.65 million in urban areas.

Global Alternative Protein Market: Growth Drivers and Challenges

Growth Drivers

Growing Prevalence of Veganism–Alternative proteins, such as microbial and plant-based proteins are the best options for vegan people to manage their protein intake. As of September 2021, there were nearly 79 million people who have adopted veganism, which makes up for around 1 percent of the total world’s population.
Rise in the Number of Cattle –Soya is the primary ingredient for animal feed. The growing population of livestock is expected to boost the demand for alternative protein in animal feed. In 2021, there were around 996 million cattle in the world, which further increased to nearly 1 billion in the year 2022.
Growing Demand for Food – To suffice the food demand of the growing population of the world, other than animal protein, alternative protein is likely to play a vital role and is expected to drive market growth as well. According to the Food and Agriculture Organization, by 2050, the demand for cereals is expected to increase from its current level of close to 2.1 billion tons to around 3 billion tons for both food and animal feed.
Rising Innovation in Alternative Protein– For instance, Vertis Textured Pea Canola Protein, a first-of-its-kind plant protein, is introduced by Royal DSM. It is a textured vegetable protein with precise amounts of each of the nine essential amino acids required to constitute a complete protein.
Rising Demand for Protein Supplements –Dietary supplements have become the prime ingredient in the diets of muscle-builders and gym freaks. Every 2 in five Americans often eat protein beverages and smoothies which account for 46% of the population. Moreover, most Americans consume twice as much protein as they need.

Challenges

Insect-based proteins do not have standard regulations for their use in the food industry
Stringent regulations for animal feed
Allergic reactions associated with alternative protein- Silkworm, mealworm, locust, grasshopper, cicada, bee, clanis bilineata, and the food additive carmine have all been linked to food allergies to insects. Tropomyosin and arginine kinase, two pan-allergens recognized for their cross-reactivity with homologous proteins in crustaceans and house dust mites, have both been discovered as allergens from insects. Therefore, the rising risk of allergy to both humans and animals is expected to hamper the market growth.

Global Alternative Protein Market Segmentation

The global alternative protein market is segmented and analyzed for demand and supply by type into plant-based protein, insect-based protein, and microbial-based protein. Out of the three types of alternative protein, the plant-based protein segment is estimated to gain the largest market share in the year 2035. The growth of the segment can be attributed to the increasing awareness and demand for plant-based food. Plant-based alternative milk products represented around 16% of all milk sales during the 52 weeks that ended July 3, 2021. In addition to this, in the United States, around 52% of consumers are eating plant-based foods for a healthier life.

The global alternative protein market is also segmented and analyzed for demand and supply by application into food & beverages, animal feed & pet food, and nutraceuticals. Amongst these three segments, the food & beverage segment is expected to garner a significant share in the year 2035. People are becoming more aware of the importance of proteins in their diet which is creating lucrative opportunities for alternative proteins. Alternative proteins are used in making meat-free protein and dairy-free products. The growth of the segment is expected on the account of rising prevalence of lactose intolerance among people. Almost 80% of African Americans are lactose intolerant. Moreover, around 60% of the Indian population is living with milk intolerance. On the other hand, the rising population of vegans is also expected to boost the growth of the food & beverages segment in the market.

Our in-depth analysis of the global alternative protein market includes the following segments:

By Type	Plant-Based Protein Insect-Based Protein Microbial-Based Protein
By Application	Food & Beverages Animal Feed & Pet Food Nutraceuticals

Want to customize this research report as per your requirements? Our research team will cover the information you require to help you take effective business decisions.

Customize this Report

Global Alternative Protein Market Regional Synopsis

The North American alternative protein market, amongst the market in all the other regions, is projected to hold the largest market share of about ~35% by the end of 2035. The growth of the market can be attributed majorly to the increasing population of vegans and vegetarians. Around 2% of Americans, aged 17 and older, in a sample of 11,000 persons, identify as vegetarians. Moreover, less than half percent of adult Americans in the USA, or one in four vegetarians, identify as vegan and around 2 million Americans are vegans in America. On the other hand, in 2018, there were about 2 million vegetarians living in Canada. Another less than 1 million customers in Canada identified as vegans. In that year, vegetarianism and veganism were most prevalent in British Columbia.

The Asia Pacific alternative protein market, amongst the market in all the other regions, is projected to hold the second largest share during the forecast period. The growth of the market can be attributed majorly to the increasing demand for plant-based diets. The consumers' desire to enhance their general physical health is the key factor driving their interest in plant-based foods. Around 34% of Indian consumers say they are driven to eat exclusively plants. Moreover, the launch of new plant products increased by around 2 % in October 2022 in India. In addition to this, rising efforts by private companies to boost the innovation of alternative protein are also expected to boost the market growth in the region. For instance, to fulfill the rising demand for food and beverages in the Asia-Pacific area, ADM launched a new innovation lab in Singapore for plant-based food. the lab is likely to create items that are revolutionary and nutritious.

Further, the market in Europe, amongst the market in all the other regions, is projected to hold a significant share by the end of 2035. The growth of the market can be attributed majorly to the increasing consumption and demand for alternative protein. Proteins such as plants, plant-based meat, fungi, and other sources are excellent source of proteins and are gaining popularity among people. Around 48% of European consumers are inclined to add soy to their diet as a healthy and nutritious option. Moreover, around 33% of people in the United Kingdom and nearly 22% of German consumers are willing to get plant-based alternatives for fish and other protein source.

Key Questions Answered in the Report

1) What are the major factors driving the growth of the global alternative protein market?

Ans: Increasing population of vegans and vegetarians, rising consumption of protein supplements, and growing innovation of alternative proteins are the major factors driving the market growth.

2) What would be the CAGR of global alternative protein market over the forecast period?

Ans: The market size of alternative protein is anticipated to attain a CAGR of ~11% over the forecast period, i.e., 2023 â€“ 2035.

3) What are the challenges affecting the global alternative protein market growth?

Ans: Lack of standard regulation for insect-based foods, strict regulation for protein production, and higher allergies caused by alternative proteins are estimated to be the growth hindering factors for the market expansion.

4) Which region will provide more business opportunities for growth of global alternative protein market in future?

Ans: The market in the North American region is projected to hold the largest market share by the end of 2035 and provide more business opportunities in the future.

5) Who are the major players dominating the global alternative protein market?

Ans: The major players in the market are Hamlet Protein, Archer Daniels Midland Company, Axiom Foods, Inc., Puris, Cargill Incorporated, AMCO Proteins, Royal DSM, Lallemand Inc., Ingredion, Claysta Inc., and others.

6) How are the company profiles selected?

Ans: The company profiles are selected based on the revenues generated from the product segment, the geographical presence of the company which determines the revenue generating capacity as well as the new products being launched into the market by the company.

7) What are the segments in the alternative protein market?

Ans: The market is segmented by type, application, and by region.

8) Which segment captures the largest market size in the type segment in the alternative protein market?

Ans: The plant-based protein segment is anticipated to garner the largest market size by the end of 2035 and display significant growth opportunities.

Base Year	2022
Forecast Year	2023-2035
CAGR	~11%
Base Year Market Size (2022)	~ USD 15 Billion
orecast Year Market Size (2035)	~ USD 40 Billion
Regional Scope	North America (U.S., and Canada) Latin America (Mexico, Argentina, Rest of Latin America) Asia-Pacific (Japan, China, India, Indonesia, Malaysia, Australia, Rest of Asia-Pacific) Europe (U.K., Germany, France, Italy, Spain, Russia, NORDIC, Rest of Europe) Middle East and Africa (Israel, GCC North Africa, South Africa, Rest of the Middle East and Africa)

Alternative Protein Market Size & Share, by Type (Plant-Based Protein, Insect-Based Protein, Microbial-Based Protein); Application (Food & Beverages, Animal Feed & Pet Food, Nutraceuticals) - Global Supply & Demand Analysis, Growth Forecasts, Statistics Report 2023-2035