Nov 19, 2021, 14:00 ET
ROCKVILLE, Md., Nov. 19, 2021 /PRNewswire/ -- Cultivated meat products, which are lab-grown alternatives to meat that are produced by in vitro cell cultures of animal cells, are seeing rapid product development as many consumers are increasingly looking for alternatives to meat that are better for the environment or animal welfare.
As consumers have increasingly been adopting plant-based meat alternatives in their diet, food producers have been investing in the alt-meat space (plant-based and cultivated meat products) to take advantage of massive growth opportunities. Packaged Facts projects that the U.S. market for cultivated meat products will rise from nothing to reach $200 million in 2024 as many companies start to release their first commercial cultivated meat products.
On Thursday, the world's largest meat processor, JBS, announced that it acquired the Spanish cultivated meat company BioTech Foods. JBS will be investing $100 million in cultivated meats and $41 million to build a cultivated meat plant in Spain.
According to Packaged Facts analyst Cara Rasch, this news about JBS is a sign that meat companies see a strong future for cultivated meat and other meat alternatives. "JBS has previously made a foray into meat alternatives with the launch of plant-based meat products under its subsidiary Planterra Foods in 2020 and the purchase of Vivera in April this year. By making its first investment in cultivated meat, JBS is signaling that the meat industry sees the shift coming and is preparing for this new market."
According to the latest edition of the Packaged Facts National Online Consumer Survey which concluded in November 2021, 9% of respondents indicated that they were currently following vegetarian and vegan philosophies. An additional 23% said they were flexitarians – omnivores actively and consciously incorporating vegetarian and vegan meals into their diet. This large and growing segment indicates that even meat eaters are open to and looking for alternatives to meat, either for health, environmental, or animal welfare reasons.
Rasch notes, "As the technology is improving, many cultivated meat companies are cropping up and achieving significant investments from venture capital funds and other investors due to an anticipated potential for a market worth billions of dollars."
Furthermore, Rasch states, "Cultivated meat products have yet to hit the U.S. market, but a number of companies in this space have already raised millions of dollars in funding." Companies such as JUST and Memphis Meats are developing cultivated meat products that they hope to release in the next few years in the U.S. Globally, there have been additional advances. In December 2020, JUST received approval from the Singapore Food Agency for cultured chicken bites, representing a major milestone for the approval of commercial cultured meat products.
Rasch cautions, "There are still some major hurdles for the industry to overcome. First, large-scale production is needed to bring the price down to where such products are accessible to the commercial market. Second, consumer education will be needed to overcome consumer hesitance and what is still for many an "ick factor" associated with product which is made in a lab, rather than a farm."
For more information, see the Meat, Poultry, & Seafood Alternatives: Plant-Based & Cultured Cell-Based Types report. This report analyzes opportunities for cultivated meat products in the U.S. and projects sales for this emerging market. This report also provides sales projections for the large and fast-growing market for plant-based meat alternatives. With a focus on "what's next" and current consumer trends, this report is packed with insights about consumer trends, behavior, and motivations to help food producers, retailers, packaging companies, employers, and investors gauge consumer perspectives and find areas for growth.
Packaged Facts, a division of MarketResearch.com, publishes market intelligence on a wide range of consumer market topics, including consumer demographics and shopper insights, the food and beverage market, consumer financial products and services, consumer goods and retailing, and pet products and services. Packaged Facts also offers a full range of custom research services. Reports can be purchased at our company website and are also available through MarketResearch.com.
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SOURCE Packaged Facts
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