The face of the processed meat industry is changing rapidly in the wake of many emerging trends and transformations in human behavior. Manufacturers are swapping their conservative approach with innovative solutions to maximize productivity and revenue. Therefore, the in-depth analysis of the global processed meat market became an important vector.
The Prevalence of Processed Meat Market
The immediate hit in the processed meat market is that many people turn vegan every day, hence booming the vegan cheese market. However, a massive chunk of the population is holding on to meat products, making the global processed meat market going strong. There is a surging emphasis on innovating nutrition-packed foods. Also, there is a need to be transparent about how processed meat products are made and where it comes from. The reason behind this idea is the growing prevalence of plant-based meats globally. Otherwise, the aggressive promotions of plant-based burgers and nuggets will reduce the processed meat market base. As a result, along with loading the packaged products with multitudes of vitamins and nutrients, they are packed with different marinades, spices, and seasonings to offer enhanced texture and flavor.
Impact of COVID-19 on Processed Meat Market
The outbreak of COVID-19 made market players more comfortable with the online business, and this radical shift is likely to flip the market landscape in the forthcoming years. Additionally, it is critical for a company to have an online presence to keep it afloat, particularly after the COVID-19 outbreak. Therefore, the growing number of processed meat vendors are adopting software solutions that can help them align their business with modern-day demand. Giant QSR chains like McDonald's, KFC, Subway, etc., were shut down during the pandemic, but their online service continued.
Leveraging Technology to Expand the Market
Adopting advanced technology like artificial intelligence will expand the market base globally. Artificial intelligence will help address the rising concerns of people regarding the quality of raw meat products – shape, size, color, marks, disease, health defects, etc. It will further inspect every ingredient going into effect. As a result, it improves food safety and customer satisfaction.
Factors Driving the Growth
RationalStat expects the global processed meat market to reach US$ 497 billion with a healthy CAGR of 4.7% by 2030. Some other critical factors like government efforts to lower the rising meat products prices, the growing integration of automation & other remote technologies, product differentiation & innovations, the busy lifestyle of people, the increasing inclination of people towards processed and ready to eat food, surging investments of hundreds of millions of dollars to fierce the competition in the market are driving the growth of the global market. Poultry and pigmeat account for more than 75% share of the global processed meat market in terms of livestock type.
However, the rising health concerns associated with processed meat consumption, disruptions in the supply chain, and the high cost of finished products are a few restraining factors that need to be addressed comprehensively to navigate successfully in the global processed meat market. Moving ahead, it is essential to note that the top ten leading companies in the processed meat market have their headquarters in just five regions: Brazil, the US, China, Japan, and Europe. The market is dominated by prominent giants in the US, including JBS, Tyson, Cargill, and National Beef, with a mammoth share of nearly 80%. Therefore, these companies leverage their power over farmers and consumers in price development. JBS controls the global processed meat market with more than 400 production plants from a global perspective. In addition, China leads the market in pigmeat production because of its lower price than beef and poultry. Some of the leading market players in the global processed meat market include Tyson Foods, Cargill, Hormel Foods, JBS, Ostankino Meat Processing Plant, Australian Meat Group, Shuanghui Group (WH Group), COFCO Meat, Agrosuper, Marfrig, Dawn Meats, LDC, Plukon Food Group, Gruppo Veronesi, among others.
Alternative Meat Type: Lab Cultured Meat
Lab cultured meat or lab-grown meat or cultivated meat is made from the cells of living animals without killing them. In 2020, Singapore was the first country to approve the sale of cultured meat products. Moving to this more efficient production method will have potential benefits for the US and Europe markets, such as helping to reduce methane emissions that contribute substantially to climate change. Rationalstat expects that the global lab-cultured or cultivated meat market to reach a market of US$ 24 billion. In terms of volume, cultivated meat provides as much as nearly 1 percent—millions of kgs—of the world’s meat supply.
Production Process for Lab-grown Meat/Cultivate Meat
The Final Word
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Co-founder and Director at RationalStat
Divyanshu is an experienced market research consultant. He helps growth-driven organizations and entrepreneurs understand market entry prospects, industry assessment, and grow their revenue strategically.