The German plant protein market is projected to grow at a CAGR of 6.57%, from US$368.873 million in 2020 to US$575.963 million in 2027.
Plant protein has emerged as an excellent source of protein during the past few decades and is being increasingly integrated into the diet of the global population. Health drinks and fitness supplements, bakery and confectionery products, as well as functional beverages, are a few of the notable applications that it finds its application in. Plant proteins are also extensively used in personal care products like cosmetics and pharmaceuticals. Moreover, this source of protein is increasingly being preferred by individuals who are allergic to dairy products as well as those who are increasingly transitioning to a vegan-based eating habit. Furthermore, the increasing number of environmentally conscious individuals who are driven by the need to contribute to the propagation of food security and work towards animal welfare is also one of the prime patrons of plant-based protein, thus fueling the plant protein market growth in Germany.
Plant proteins have emerged as an extremely popular source of protein, signalling a shift away from traditional protein sources.
Thus, various players in the food and beverage segment are marketing their products and simultaneously endeavouring to resonate with the ethos of the current value-driven consumers who are increasingly taking up the market share and creating more opportunities for both legacy companies and startups to venture into the plant-based protein space. Further, a myriad of sources from which plant protein can be derived, allowing more space for players to make investments in the plethora of applications that plant-based proteins could be utilized.
The surge in vegan consumption patterns has increasingly become a new trend
Currently, the population that does not eat or use animal products, also known as "vegans," has emerged as a significant segment of German consumers. The number of individuals who identify themselves as completely vegetarians has significantly increased from a mere 700,000 individuals in 2014 to about 8 million individuals in 2019. Moreover, the percentage of vegans within the aforementioned section is a mere 1 percent, which translates roughly to 814,000 individuals, as reported by a study conducted by the Federal Ministry of Food and Agriculture. Moreover, among the German population, 35% of the population considers the availability of vegetarian or vegan products “very important”. On the other hand, 63% of German consumers are making an effort to reduce their meat consumption.
The aforementioned inclinations and intent are poised to facilitate an effective transformation of the country into the most vegetarian nation in the world. Moreover, the increasing concern for animal welfare, health, and wellbeing, as well as the environment, is being adopted as a lifestyle choice but not as a sort of dietary restriction. (Source: Germany is Leading a Vegalution - Vegan Revolution – in Europe by United States Department of Agriculture Foreign Agricultural Service). German discount supermarket chains are increasingly stocking their shelves with their own vegetarian product portfolio that has a vegan label and includes products like apple juice, nuts, wines, and baking chocolate.
Certain key strategic moves by certain major players are as follows:
COVID-19 Insights
COVID-19 had a significant impact on the Germany Plant-based proteins market. Due to the rising number of active instances, consumers' need for a healthy diet that is balanced and nutrient-rich grew. Consequently, the demand for plant-based proteins and diets that are high in amino acids has increased. The closure of hundreds of meat processing plants around Europe and the long shelf life of plant-based proteins both contributed to the market's expansion.
Segmentation