According to a recent report by Fact.MR, sales of processed meat are expected to reach a valuation of $356.5 billion by 2031, rising at a CAGR of around 4.6% over the next 10 years.
In the global food and beverage industry, innovation and new product creations are based on strong natural, health and sustainability credentials, states the report. Products made with healthy and nutritious components and labeled with assurances of minimal processing or demonstrable health benefits from natural ingredients appeal more to consumers, especially in developed economies with higher incomes and an aging population. Due to rising affluence and healthy eating trends, emerging countries such as China and India are likely to play a significant role in the global meat and poultry sector. Packaged processed beef products are deemed hygienic and of good quality. Manufacturers in these locations have gradually moved their focus from shelf-stable processed meat to chilled processed meat in response to increased consumer demand for more fresh and healthful processed meat products.
Key Takeaways from Market Study
- The U.S. is estimated to account for more than 80% of the North American market in 2021, supported by increased demand for meat-based breakfast items.
- According to Fact.MR analysis, China is estimated to account for around 46.6% of the East Asian market share in 2021, backed by increased online retailing of processed meat.
- Germany is one of the prominent countries in the European market with a share of 23.7% in 2021, mainly due to increased demand for convenient food and packaged food products.
- Processed beef is estimated to account for nearly 49% of market share in 2021, on the back of its wide range of application.
“Manufacturers are focusing on continuous innovation to enhance the quality of food products. They are adapting various technologies such as biotechnology and nanotechnologies to further ease the required process to produce processed meat,” says a lead analyst at Fact.MR.
Increased Demand for Essential Nutrition Driving Global Market
In the context of overall consumer attitude, processed meats continue to play an essential role in consumers' diets. Protein is a developing topic of nutritional study, and meat remains the most popular source of protein among consumers. Although vegetarian diets and movements receive a lot of media attention (Meatless Monday, for example), according to a recent Fact.MR survey, just about 3% of consumers omit meat from their diet for a 14-day period. However, meat appears to be utilized more as an ingredient and less as a main dish these days, as the percentage of meals containing meat has steadily fallen, reaching 26% in 2019.
The market for processed meat is fragmented in nature, in which unorganized players hold significant share. Top producers of processed meat are focusing on adoption of cold chain services. Development of cold chain infrastructure for chilled or fresh and processed foods is assisting in the growth of processed meat sales as modern retail grows.
Globally, rising consumer need for a healthy diet as well as improved cold chain infrastructure has directly benefited chilled processed meat product manufacturers.
Because a majority of chilled processed meat products and dishes are Western-style, they are frequently positioned as premium products with higher unit prices across Asia Pacific. Customers' preferences in the Middle East and Africa are shifting as a result of improved cold chain services of frozen processed halal meat and poultry.
Fact.MR has provided detailed information about the price points of processed meat of manufacturers positioned across regions, sales growth, production capacity, and speculative production expansion, in the recently published report.
These insights are based on a report on Processed Meat Market by Fact.MR.