The Nigerian plant protein market is projected to grow at a CAGR of 6.78%, from US$20.367 million in 2020 to US$32.239 million in 2027.
According to the National Library of Medicine (NLM), 65 percent of the human population has a reduced ability to digest lactose after infancy. Lactose intolerance is also very common in people of West African descent among others. This is one of the aspects that is poised to drive the Nigerian plant protein market growth. It is because the more health-conscious consumers turn away from traditional milk the more the requirement for plant-based beverages to fortify the products with essential micronutrients like proteins. In addition to this, the need for plant-based protein ingredients creates an opportunity for the same, catapulting the plant-based micronutrients in Nigeria to a new zenith. Furthermore, Nigeria is transitioning to a more capable economy, which provides Nigerian consumers with a diverse range of options, creating an opportune moment for plant alternative companies to make market-specific strategic decisions. There is also ongoing research to harness the protein-rich cassava leaves, which the country is abundant.
Other than the aspect of lactose intolerance, the rationale for the changing dietary patterns in today’s world is the perception of millennials about food consumption.
The resultant effort is to reduce pharmaceutical intervention and adhere to consumption that caters to the functional benefits and resonates with the ethical values that they are increasingly associating themselves with. Further, the increasing availability of convenience snacking, consumption of sugary beverages, and ordering takeaway have led to health concerns and led to a rise in non-communicable health problems. To address these concerns, the consumers of today’s generation in Nigeria are switching to a vegan lifestyle that caters to both their nutritional and taste requirements. Further, the culture of physical fitness is also making consumers of Nigeria increasingly adopt a lifestyle that is giving rise to the growth of the sports nutrition sector.
With the advent of more plant-based products, the secondary market for food and drink has adopted more plant-based proteins.
Further, companies like Nigeria’s first vegan food company, Veggie Factory, which has become a trendsetter of sorts among a niche vegan crowd are expected to fuel the plant-based protein markets during the forecast period. On a similar note, in January 2021, Nigeria-based food chain, Nuli, partnered with Nigeria's first vegan brand, Veggie Victory launched plant-based meat in all of its stores across Lagos. Furthermore, later in the following month, in February, Veggie Victory also announced the closure of a pre-seed funding round from forms like Sustainable Food Ventures, Capital V, Kale United, and many more. Through this investment, the brand aims to expand its plant-based offerings, including vegan-based beef, shawarmas, and tofu scrambles. The firm employs soy-based proteins to develop its offerings. This investment is a reflection of potential Nigeria holds for the plant-based protein market in the upcoming years.
Therefore, the aforesaid factors are paving the way for increased adoption of plant-based nutrients by the secondary market of plant-based food and beverage with the emergence of many more. Nevertheless, the establishment of supermarkets everywhere and the rise in disposable income have led to an increase in meat consumption, along with low awareness are a few restraining factors that are expected to deter the growth of the plant-based protein market in Nigeria during the forecast period.
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COVID-19 Insights
COVID-19 had a significant impact on the Nigerian plant-based protein market. The pandemic's emergence sparked a paradigm shift in consumer behaviour, making them more health and hygiene conscious. This trend increased the consumption of a well-balanced and nutritious diet. This development increased the demand for plant-based protein. However, the nationwide lockdown and border restrictions also resulted in supply-chain problems, slowing down the market growth.
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