According to the current analysis of market research company Reports and Data, the global cultured meat market is estimated to be valued at USD119.3m by the year 2021, and reach a value of USD435.7m by the year 2030, at an estimated CAGR of 15.4%.
With the increase in global demand for meat, there is also a strong lookout for meat substitutes and alternative sources of protein. This can be associated with environment sustainability concerns coupled with rising focus on animal welfare and benefits offered by cultured meat. Advancements in cellular agriculture is also pushing the growth of synthetic meat forward.
The market, despite its popular appeal, is still at an early stage due to obstructions such as long approval periods, huge and recurring funding requirements, and the slow rate of usable output. New scaffold developments are expected to be of crucial use in the market.
Europe is projected to grow significantly at a CAGR of 4.6% in the forecast period. This can be associated with increasing investment in the market. A number of start-ups are entering into the industry majorly due to growing awareness of animal welfare, antibiotic resistance, and the environment. Increasing regulatory support in the region is also likely to stimulate demand. For instance, the European Food Safety Authority’s regulation on novel foods, specifically includes cultured meat, and establishes a process of around 18 months in which a company has to prove that its products are safe.
Synthetic poultry is the major driving factor behind the growth of the market. It has the most convenient in vitro production mechanism in comparison to its other source counterparts. This is due to its simplified cell structure that is easier to replicate in unnatural mediums. Unmatched texture of cultured meat to the original is likely to pose as a challenge for the market. This factor will be crucial in shaping the consumer acceptance for cultured meat. Political affiliations are also expected to affect these acceptance levels.
Social and environmental sentiments are expected to be strong factors that will gradually increase the consumer acceptance for synthetic meat products, once they are offered in the market. Artificial production of growth hormones can tackle the challenge of cost burden that restricts the growth of cellular agriculture. Using natural means for growth cost the companies extensively and such expensive products will fail in market penetration. Burgers are expected to become a key revenue generating application for the industry, and they are expected to outgrow the demand for conventional burgers. Thus, plant-based meat will face tough competition from laboratory-produced burgers in the future.
Sausages segment shall register the highest growth under the application segmentation since texture replication is the easiest in this case, as compared to other meat products.
Europe is expected to grow significantly in the forecast period. Growing product safety concerns in the region is likely to create lucrative growth opportunities. Based on a survey, 65% of European consumers who are worried about biological risks such as contamination from antibiotics and zoonoses are likely to prefer cultured meat over other options. Apart from this, growing awareness towards animal welfare and rising sustainability concerns associated with meat production will also influence growth.