Protein ingredients are essential components in various foods, contributing to muscle development, energy, and overall health. Derived from diverse sources such as animal products, plants, and microorganisms, these ingredients are rich in amino acids, vital for body functions. Proteins enhance product texture, flavor, and nutritional value, making them integral to a balanced diet and a wide range of food products.
The Protein Ingredients market, an integral part of the global food and beverage industry, is characterized by a competitive landscape influenced by factors such as increasing consumer awareness of health and wellness, growing demand for protein-enriched products, and technological advancements in ingredient processing. As of 2023, several key players dominate the market, implementing strategic initiatives to maintain or enhance their market share.Strategies Adopted:Key players in the Protein Ingredients market deploy a range of strategies to remain competitive. A central strategy involves continuous research and development efforts to innovate protein extraction and processing methods. Strategic partnerships and collaborations with food and beverage manufacturers contribute to expanding market reach, providing customized protein solutions for a variety of applications. Marketing efforts often emphasize the nutritional benefits, functionality, and sustainability of protein ingredients.
Market Share Analysis:Market share analysis in the Protein Ingredients market is influenced by several factors, including brand recognition, product quality, pricing strategies, and distribution efficiency. Companies with a strong brand image and positive consumer perceptions tend to secure a larger market share. Pricing strategies that balance affordability with perceived value play a crucial role, especially given the cost sensitivity of consumers in this market. Effective distribution networks, covering both traditional and emerging channels, are vital for maintaining a competitive edge.
New and Emerging Companies:While key players dominate the Protein Ingredients market, new and emerging companies are entering the sector, often focusing on specific niche markets or introducing innovative protein products. These entrants may emphasize plant-based or alternative protein sources, such as algae or insects, to tap into evolving consumer preferences. Although their market share may be relatively modest compared to industry leaders, these companies contribute to the overall diversification and innovation in the Protein Ingredients market.
Industry Trends:The Protein Ingredients market has witnessed noteworthy industry news and investment trends in 2023. Key players are investing in sustainable sourcing practices, emphasizing traceability and responsible supply chains to meet the growing demand for transparency. Collaborations with research institutions and universities are exploring new protein sources and extraction technologies. Additionally, investments in advanced processing methods, such as microbial fermentation for alternative proteins, aim to enhance efficiency and reduce environmental impact in protein ingredient production.
Competitive Scenario:The overall competitive scenario in the Protein Ingredients market is marked by intense rivalry among key players striving to capture a larger share of the growing market. The industry's competitiveness is evident in the emphasis on innovation, sustainability, and strategic collaborations to address evolving consumer preferences. The global reach of these companies enables them to adapt to regional tastes and capitalize on emerging markets, contributing to the overall dynamism of the industry.
Recent Development:Evolon: Specialising in the use of recycled food waste, such as okara (soybean pulp), to create plant protein sources that are both economical and sustainable.Arla Foods: Introduced "Nutrilac® WPI 80 Instant" whey protein isolate, which provides improved functionality and quick solubility for sports drinks and nutrition.User
Â
Key Players:• Archer-Daniels-Midland Company• Bunge Limited• Cargill• DuPont• Fonterra Co-operative Group• Friesland• Kewpie Corporation• Mead Johnson Nutrition Company• Kerry Group• Omega Protein Corporation• Arla Foods Ingredients
The Protein Ingredients Market Size valued at USD 42.02 billion in 2023. The Protein Ingredients market industry is projected to grow from USD 46.222 Billion in 2024 to USD 90.173 billion by 2032, exhibiting a compound annual growth rate (CAGR) of 8.71% during the forecast period (2024 - 2032). Increased health concerns and challenges have led to more expensive operations, and more bariatric procedures are the key market drivers enhancing the market growth.
Source: Primary Research, Secondary Research, MRFR Database, and Analyst Review
Market CAGR for protein ingredients is being driven by the rising health concerns in consumers. The very common factor fueling the growth of the protein ingredients market is increasing consumers' awareness in concern to healthy and nutritious food products. Doctors and dietitians are suggesting people consume proteins on a large scale, owing to the increase in the prevalence of chronic disorders and infections. There is a growth in the demand for plant-based protein that is contributing to the protein ingredients market.
The increase in geriatric people opting for a healthy lifestyle is also boosting the growth of the protein ingredients market globally. With the rapid increase of the population and rising consumer awareness of health and nutritional meals, the protein ingredients market is growing exponentially. The consumer's knowledge about the benefits of a protein-rich diet has boosted the demand for protein components in the infant formulations, nutritional supplements, and food and beverages industries globally. Furthermore, the rise in the demand for soy protein is also boosting the growth of the protein ingredients market. The Food and Drug Administration consented to a health benefit for minimizing the LDL cholesterol through nutritional recommendations, which suggest four meals of soy per day to assist lower LDL cholesterol levels by 10% in the body. The plant-based ingredients are manufactured from crops, including soy, canola, wheat, and pea. The demand for soy protein is significantly growing due to its health benefits. The market is getting popular with the increasing demand for the food
products like margarine, cold cuts, bakery products, spreads, yogurt, and milk sausages that are developed using protein.
The government globally is making regular efforts the development of the protein ingredients market. The government is contributing to the expansion of the food and beverage industry. These initiatives taken by the government are boosting the expansion of the protein ingredient market. Furthermore, the government of developing countries is collaborating with market players to raise the market reach in the market; it is also conducting various awareness programs for promoting protein ingredients among the people. The rapid rise in demand for a fortified food products is boosting the protein ingredient market.
The key market companies are conducting various tactics in order to meet the increasing product demand while also lowering the total cost by minimizing the raw material and labor prices. Thus, driving the Protein Ingredients market revenue.
The Protein Ingredients market segmentation, based on product, includes Plant Protein, Animal/Dairy Proteins, Microbe Protein, and Others. The animal/dairy protein segment accounted for a revenue share of 71% in 2021 due to the rise in the health and fitness consciousness. It has a wide range of applications like, like cosmetics and pet food. The plant-based protein segment is experiencing the fastest rate of growth in the protein market.
Figure 1: Protein Ingredients Market, by Distribution Channel, 2022 & 2032 (USD billion)
Source: Primary Research, Secondary Research, MRFR Database, and Analyst Review
The Protein Ingredients market segmentation, based on application, includes Food & Beverages, Infant Formulations, Clinical Nutrition, Animal Feed, and Others. The food & beverages segment dominates the protein ingredients market globally. This is due to the rise in customers focus on healthy diets with low fat and high nutritive value foods, causing the rise in the consumption of protein components. The infant formulations segment is anticipated to be the fastest growing after food & beverages. This formulation consists of either plant or animal-based proteins.
By region, the study gives market insights into North America, Europe, Asia-Pacific, and the Rest of the World. The North American weight loss market area dominates the protein ingredient market due to the rising trend of consuming healthy and nutritious food products and the growing demand for vegan food products. The US is the largest contributor to the growth of the protein ingredients market.
Further, major countries studied in the market report are The U.S., Canada, German, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.
Figure 2: PROTEIN INGREDIENTS MARKET SHARE BY REGION 2022 (%)
Source: Primary Research, Secondary Research, MRFR Database, and Analyst Review
Europe's Protein Ingredients market accounts for the second-largest market share due to the increase in demand for healthy food and beverages and medical products. Further, the German Protein Ingredients market held the largest market share due to rising demand for medical and nutritional products in bone and muscle development in the European region.
The Asia-Pacific Protein Ingredients Market is expected to grow at the fastest rate. This is due to the increase in demand for animal and plant protein ingredients and economic development and expansion of the food and beverage and healthcare sector. Moreover, China’s Protein Ingredients market held the largest market share, and the Indian Protein Ingredients market was the fastest-growing market in the Asia-Pacific region.
Leading market players are investing heavily in research and development in order to expand their product lines, which will help the Protein Ingredients market grow even more. Market participants are also undertaking a variety of strategic activities to expand their footprint, with important market developments including new product launches, contractual agreements, mergers and acquisitions, higher investments, and collaboration with other organizations. To expand and survive in a more competitive and rising market climate, the Protein Ingredients industry must offer cost-effective items.
Manufacturing locally to minimize operational costs is one of the key business tactics used by manufacturers in the Protein Ingredients industry to benefit clients and increase the market sector. In recent years, the Protein Ingredients industry has offered some of the most significant advantages to nutrition. Major players in the Protein Ingredients market, including Archer-Daniels-Midland Company, Bunge Limited, Cargill, DuPont, Fonterra Co-operative Group, Friesland, Kewpie Corporation, Mead Johnson Nutrition Company, Kerry Group, Omega Protein Corporation, Arla Foods Ingredients, and others, are attempting to increase market demand by investing in research and development operations.
ADM provides the power of nature to enhance the quality of life; it is a leading human and animal nutrition company that delivers solutions today for the future. Their scientist, through research and development, is providing groundbreaking products to support healthier living; their innovative products are leading a new future for plant-based consumers and industrial solutions to replace petroleum-based products. They have unmatched agricultural supply chain managers and professors that will give food security by connecting local needs with capabilities. In May 2020, Marfrig and ADM launched Plantplus Foods, a joint offer that will provide consumers with plant-based goods in North and South America. ADM plans to give all of its technological expertise to develop the system that collates ingredients, scents, and a plant basis from a protein complex comprising its new pea protein facility in North Dakota.
Arla Foods Ingredients is a worldwide leader in value-added whey solutions that provides premium ingredients derived from whey, which supports the food industry with the development and efficient processing of natural, functional, and nutritious foods. They provide worldwide manufacturers of early life nutrition, health foods, and food and beverage products. Arla Food Ingredients launched Lcprodan BLG-100, pure BLG ingredients with a unique nutritional profile, in October 2021. It consists of 45% more leucine which is a major amino acid for muscle building, than the already available protein isolates.
Protein Ingredients Industry Developments
October 2021: Arla Foods Ingredients launched Lacprodan BLG-100, a pure BLG component with the particular nutritional profile. It was made by using a patented novel separation technique and consists of 45% more leucine than it is present in commercial whey protein isolates, which is a primary amino acid for muscle growth.
January 2022: Nutriance was introduced to ADM's ingredients portfolio. Nutriance is a line of wheat concentrates that have been used in sports and geriatric nutrition.
In 2022 : Germany emerged as the leading revenue contributor in Europe, marking a significant milestone in the region. The surging geriatric populace within Germany has spurred a notable uptick in the need for specialized medical nutritional products, particularly those aiding in the maintenance of bone density and muscle strength. This heightened demand has been a driving force behind the increased consumption of these vital ingredients in recent times.
Furthermore, the substantial role played by protein ingredients in the treatment of Alzheimer's disease has notably influenced the market landscape within Germany. This positive impact has further amplified the market's growth trajectory, underscoring the significance of these ingredients in addressing critical health concerns.
February 2021: Frieslandcampina Solutions and AGT Foods together started the collaboration to introduce pea and fava bean isolates as plant-based proteins in the market.
Protein Ingredients Market Highlights:
© 2024 Market Research Future ® (Part of WantStats Reasearch And Media Pvt. Ltd.)