Protein Ingredients Market

Protein Ingredients Market Size:

The global protein ingredients market size reached US$ 42.1 Billion in 2023. Looking forward, IMARC Group expects the market to reach US$ 64.2 Billion by 2032, exhibiting a growth rate (CAGR) of 4.7% during 2024-2032. The market is rapidly growing due to increasing demand for plant-based and animal-derived proteins in food and beverages, driven by health-conscious consumers and rising awareness of the nutritional benefits, with significant contributions from sectors like sports nutrition, functional foods, and dietary supplements.

Protein Ingredients Market Analysis:

• Major Market Drivers: Health-conscious consumers and rising awareness of nutritional benefits are primary drivers of the protein ingredients market.
• Key Market Trends: Significant contributions come from sectors like sports nutrition, functional foods, and dietary supplements, highlighting a trend toward diversified protein applications.
• Geographical Trends: Europe is the largest segment due to high consumer awareness and robust food processing industries, with North America and Asia-Pacific showing strong growth potential.
• Competitive Landscape: Some of the major market players in the industry include Cargill, Inc., Archer-Daniels-Midland Company, Kerry Group, Omega Protein Corporation, Mead Johnson, etc., among many others.
• Challenges and Opportunities: Challenges include regulatory hurdles and supply chain issues, while the protein ingredients market recent opportunities lie in technological advancements and expanding applications in various food and beverage sectors.
   

Protein Ingredients Market Trends:

The increasing health awareness

The increasing health awareness is augmenting the demand for healthy lifestyle products and services. Moreover, individuals are increasingly understanding the importance of a well-balanced diet rich in nutrients, including proteins. The rising need for protein originating from a wide range of products including foods, beverages, and supplements has a positive impact on the market's protein ingredient market recent developments. Moreover, the high level of education about proteins as an essential part of building muscle, shoring up the immune function, weight control and general wellness is driving the market growth.

In addition, the rising popularity of products in the category of high-protein products or protein enriched which are sought after by consumers with a keen interest in nutrition is also adding to the market growth. Moreover, intense marketing and advertisement campaigns by F&B companies focusing on protein benefits, and at the same time, endorsements by medical experts are building up more of the protein ingredient demand.

The rising trends of veganism and vegetarianism

The transition towards plant-based diets that includes veganism, ovo-vegetarianism, and veganism around the globe is a crucial factor for the growth of the protein ingredients market. Furthermore, animal ethic complexity of the issues about animal welfare, environmental sustainability as well as individual well-being are the driving motivations of consumers to look for plant-based substitutes. According to the report by Statista, people who are vegan or with dietary restrictions often choose plant-based and soy proteins, with the rising of plant-based protein ingredient market revenue in the U.S. reaching $871 million and $178 million respectively by 2022. The U.S. is a significant player in the global plant proteins market, valued at $8 billion in 2022. Another reason for the popularity of the vegan diet is the readily accessible sources of protein such as soy, lentils, peas, and other legumes, which are facilitating the shift towards veganism. For instance, plant-based products are increasingly popular for various reasons. Over half of respondents in an Indian survey choose plant-based foods due to vegetarian or vegan diets, compared to only 2% in Japan, where health concerns dominate. In the U.S., half of those preferring plant-based protein cite taste. Protein-rich plant-based products include nuts, soy, tofu, tempeh, seitan, peas, beans, and chickpeas.

The rapid technological advancements

The technology-driven approach in the food industry is greatly impacting the protein ingredients market. This protein ingredients market trend is consistent with the continuous progress in the processes of harvesting, preparing, and end-forming, thus enhancing how proteins are utilized in the nutrition and food processing industry. This has resulted in a more efficient market. In addition, new technologies developed in the recent past like microencapsulation, hydrolysis, and spray drying have enabled manufacturers to create ingredients with more functionalities that can find use in a variety of products. This is what is mounted as the market growth factor. Government funding is also granted to emerging types of protein products such as those based on laboratory-grown meats and algae, leading the market. Additionally, the latest technological advancements used to develop various ingredients with specific health features tailored for consumers have also contributed to increasing regional market coverage.

Protein Ingredients Market Segmentation:

IMARC Group provides an analysis of the key trends in each segment of the market, along with forecasts at the global and regional levels for 2024-2032. Our report has categorized the market based on product type and application.

Breakup by Product Type:

• Animal Proteins
  • Egg Protein
  • Whey Protein
  • Gelatin
  • Casein
  • Milk Protein Concentrates/Isolates
• Plant Proteins
  • Wheat Protein
  • Soy Protein
  • Pea Protein
  • Others
     

Animal proteins dominate the market

The report has provided a detailed breakup and analysis of the market based on the product type. This includes animal proteins (egg protein, whey protein, gelatin, casein, and milk protein concentrates/isolates) and plant proteins (wheat protein, soy protein, pea protein, and others). According to the report, animal proteins represented the largest segment.

According to the protein ingredient market forecast, animal proteins are known as full proteins, as it is extremely important for the body’s nutrition vitality. Alternatively, these animal sources of protein like fowl, milk, fish, and dairy have consistently been available in different kinds that can explain their commercial dominance. Equally significant is the fact that consumers' fondness for meat proteins, as opposed to plant-based ones, increases with the quality of the protein, which positively influences the market growth rate. On the other side, there is the case of accessibility of some animal proteins that are cheap means of accessing proteins hence the market growth. Alongside this, people are buying increasing volumes of this commodity for a variety of industries including pharmaceuticals, food and beverages, and cosmeceuticals, thereby enhancing the market demand. In addition to that, breakthrough research and development (R&D) in the area of animal proteins, which provide better nutritional and flavorful functionalities, creates a positive protein ingredient market outlook.

Breakup by Application:

• Food and Beverages
• Personal Care and Cosmetics
• Pharmaceuticals
• Animal Feed
   

Food and beverages dominate the market

The report has provided a detailed breakup and analysis of the market based on the application. This includes food and beverages, personal care and cosmetics, pharmaceuticals, and animal feed. According to the report, food and beverages represented the largest segment.

According to the protein ingredient market report, foods and beverages are increasing the importance of proteins in diets. Protein ingredients can be supplemented in a wide range of foods and beverages like, meat substitutes, dairy products, snacks, bakery items, and drinks. Furthermore, the rise of plant-based diets is also supporting the demand for plant-based protein ingredients, which therefore, is also inspiring the development of more plant-based protein products. Besides, the high trends of fitness and well-being involving the use of protein supplements and protein-enriched foods and beverages on daily diet schedules have been the driver of the sector's growth. Accordingly, the authorities as well as other groups regulating systems that stress the fact that protein consumption is necessary, are increasing the growth of this sector.

Breakup by Region:

• Europe
• North America
• Asia Pacific
• Latin America
• Middle East and Africa
   

Europe exhibits a clear dominance in the market, accounting for the largest protein ingredients market share

The report has also provided a comprehensive analysis of all the major regional markets, which includes Europe, North America, Asia Pacific, Latin America, and the Middle East and Africa. According to the report, Europe represented the largest market segment.

According to the protein ingredient market overview, Europe is experiencing a widespread demand for animal and plant protein ingredients due to the growing public awareness about health a wellness. Moreover, such a rich regulatory environment is in place covering food quality, safety, and labeling issues. These regulations stimulate the industries and facilitate the process of oversight and hence, build confidence in the consumers. Besides this, reaching a new customer segment due to the growing trend towards vegetarianism and veganism and hence, the rising sales of plant protein ingredients in Europe is driving the market. Along with that, Europe's funding to research and development (R&D) activities is accompanied by the use of sophisticated technologies, which have led to the creation of more protein-based product lines with many varied applications, therefore enhancing the growth of the global market. Besides this, consumer and animal feed producers leaning heavily towards eco-friendly sources of ingredients for proteins such as aquaculture, and plant-based ingredients, and shifting their production and consumption toward sustainability, is another part of the demand driver that is fueling the protein ingredient market growth.

Competitive Landscape:

The market research report has also provided a comprehensive analysis of the competitive landscape in the market. Detailed profiles of all major companies have also been provided. Some of the major market players in the protein ingredients industry include:

• Cargill, Inc.
• Archer-Daniels-Midland Company
• Kerry Group
• Omega Protein Corporation
• Mead Johnson
   

(Please note that this is only a partial list of the key players, and the complete list is provided in the report.)

Key protein ingredient companies continue to innovate on the extraction of raw material that is safe and has functional values thus improving the efficiency through their unique ingredients for specific purposes. These kinds of ways, be it setting up local subsidiaries or simply hiring employees from the given area, that companies are getting into developing markets. Another important point is that a lot of healthy business entities follow the "walking a green talk" approach, which includes getting raw materials responsibly and cutting down on waste generation during production processes. Currently, they are focusing on personalized nutrition, using specially designed plant-based proteins tailored to their specific needs, desires, and goals. Hence the succeeding key players will be combining and collaborating with different market players such as other institutions, technological companies, and academic institutions to make the sum of the resources jointly used. In addition, they are increasing the share of plant-based ingredients to substitute meat, therefore, widening the scope as well as gaining momentum for diversity in products.

Protein Ingredients Market News:

• On March 28, 2024, Cargill increased its contracted renewable energy capacity by 42% with five new deals, adding 300 megawatts of wind and solar, expanding its total offsite renewable energy portfolio to 716 megawatts. These contracts help Cargill achieve its goal of a 10% reduction in operational greenhouse gas emissions by 2025, having already reduced emissions by 10.97% as of 2022.
• On March 22, 2024, ADM is contributing $1 million to Water.org to support global safe water and sanitation efforts. This contribution will aid programs in six countries, improving safe water and sanitation for over 116,800 people, addressing the needs of the 2.2 billion without safe water and 3.5 billion without safe toilets.
• On November 9, 2022, Omega Protein supports the Atlantic States Marine Fisheries Commission's (ASMFC) decision to raise the Atlantic menhaden coastwide quota by 20% to 233,550 metric tons, based on the latest science. This decision maintains a conservative management approach to ensure the target harvest rate is not exceeded.

Protein Ingredients Market Report Scope:

Key Benefits for Stakeholders:

• IMARC’s industry report offers a comprehensive quantitative analysis of various market segments, historical and current market trends, market forecasts, and dynamics of the protein ingredients market from 2018-2032.
• The research report provides the latest information on the market drivers, challenges, and opportunities in the global protein ingredients market.
• The study maps the leading, as well as the fastest-growing, regional markets.
• Porter's five forces analysis assists stakeholders in assessing the impact of new entrants, competitive rivalry, supplier power, buyer power, and the threat of substitution. It helps stakeholders to analyze the level of competition within the protein ingredients industry and its attractiveness.
• The competitive landscape allows stakeholders to understand their competitive environment and provides insight into the current positions of key players in the market.