Protein Market Analysis APAC, Europe, North America, South America, Middle East and Africa - US, China, India, Germany, France - Size and Forecast 2024-2028

Protein Market Forecast 2024-2028

The global protein market size is estimated to grow by USD 86.75 billion at a CAGR of 3.48% between 2023 and 2028. 

Moreover, the surge in global fitness awareness has spurred a proliferation of fitness facilities worldwide. Concurrently, the information and communication industry's evolution has magnified the viewership of major sports events, fostering a culture of physical activity akin to athletes. Advocacy groups like the National Association for Health and Fitness, US, further promote physical well-being. Professional athletes utilize protein supplements to enhance muscle mass and energy levels, vital for intense workouts. Social media amplifies inspiring success stories, motivating individuals to embrace sports and fitness. This heightened interest in physical activities fuels the demand for protein supplements, fostering market growth.

What will be the size of the Market During the Forecast Period?

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Segmentation by Source, End-user, and Geography Analysis

In the dynamic world of Protein Market Segmentation, a diverse array of sources contributes to the production of this essential nutrient. From plant-based sources like soy and pea to animal-derived options such as gelatin and collagen, and even insect and microbial sources, the possibilities are vast. These proteins find applications not only in food & beverages but also in cosmetics & personal care, pharma industries, and feed products. However, considerations such as religious or dietary restrictions, especially prevalent in Middle Eastern and Muslim communities, drive the demand for halal-certified and vegan-friendly options. As consumers gravitate towards healthy diets and clean-label ingredients, the market responds with alternative protein sources and Sustainable alternatives, catering to evolving preferences and lifestyles.

Source Analysis 

The market share growth by the plant segment will be significant during the forecast period. Plant-based proteins are derived from different plants, fruits, grains, and vegetables, and they are used for processing food products such as ready meals, meat products, sports nutrition products, and infant formulas. Plant-based proteins are gaining popularity over animal protein in the global market. One of the major reasons for this is the cost-effectiveness since plant-based protein is more inexpensive to produce than animal-based protein.

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The plant segment was the largest and was valued at USD 201.68 billion in 2018. Plant proteins are environmentally friendlier, requiring fewer resources than animal-based counterparts, thus prompting a shift towards their production. However, the slow uptake of emerging plant protein types like soy and wheat poses a challenge. Soy protein, notably in its isolate, concentrate, and textured forms, finds extensive use in diverse food applications, especially as a gluten-free alternative. Wheat protein, derived from wheat starch, is witnessing increased demand among health-conscious consumers, albeit with limited innovation. Pea protein, derived from yellow peas, is gradually penetrating dairy products, though soy remains dominant. Other plant proteins sourced from rice, potatoes, and canola show promise despite their nascent stage, poised for growth driven by heightened consumer awareness. Thus, the segment is projected to propel the market's expansion during the forecast period.

End-user Analysis

Proteins are essential components in the food and beverage industry, contributing to a diverse range of products that cater to the evolving tastes and preferences of consumers. In the realm of dairy alternatives, plant-based proteins are instrumental in creating products like soy milk, almond milk, and oat milk. Moreover, the surge in demand for plant-based diets has led to the development of meat alternatives where plant proteins shine. These products not only offer a meat-like taste but also provide the protein content that consumers seek. For instance, in June 2020, Cargill, one of the key vendors, announced that the company was launching PlantEver, a consumer brand of plant-based protein, in China after a successful consumer test of plant-based nuggets with KFC in April 2020. Thus, the growing demand for nutritional foods is expected to drive the growth of the food and beverages segment of the market during the forecast period.

Regional Analysis

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APAC is estimated to contribute 57% to the growth of the global market during the forecast period. Technavio’s analysts have elaborately explained the regional market trends and drivers that will shape the market during the forecast period. Another region offering significant growth opportunities to companies is North America. In 2023, North America emerged as the dominant force in the global protein market, led by the US, which experienced notable growth in both volume and value. The region's market expansion is propelled by shifting consumer demographics and heightened awareness of protein's health benefits, coupled with the promotion of an active lifestyle. This surge in demand extends beyond athletes to encompass a broader consumer base. Manufacturers are capitalizing on these evolving market dynamics by emphasizing product innovation and convenience. Moreover, the proliferation of accessible distribution channels further augments market growth prospects. However, challenges such as the prevalence of counterfeit products and stringent regulatory frameworks may impede market advancement in North America.

Additionally, the US, as the world's largest protein market, continues to grow, fueled by an expanding aging population and rising health concerns. Yet, competition among players and regulatory hurdles pose constraints. Despite these challenges, increasing awareness of functional foods' benefits is anticipated to propel market expansion. Millennials and baby boomers emerge as key consumer groups, with millennials' disposable income and busy lifestyles driving demand for convenient, nutritious options. As the US market matures, sustained growth will hinge on continual product innovation and adaptation to consumer preferences, signaling a promising trajectory for the foreseeable future. Such factors are expected to drive the regional market growth during the forecast period. 

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Key Market Players 

Companies are implementing various strategies, such as strategic alliances, partnerships, mergers and acquisitions, geographical expansion, and product/service launches, to enhance their presence in the market. The report also includes detailed analyses of the competitive landscape of the market and information about 20 market companies, including:

Archer Daniels Midland Co - The company offers proteins such as plant based protein which includes pea, soy, and wheat protein.

AMCO Proteins, Archer Daniels Midland Co., Arla Foods amba, Bunge Ltd., Cargill Inc., Darling Ingredients Inc., Fonterra Cooperative Group Ltd., FrieslandCampina, Fuji Oil Holdings Inc., Gelita AG, Glanbia plc, Hilmar Cheese Company Inc., Ingredion Inc., International Flavors and Fragrances Inc, Kerry Group Plc, LACTALIS Ingredients, Puris, Roquette Freres SA, The Scoular Co., and Wilmar International Ltd.

Qualitative and quantitative analysis of companies has been conducted to help clients understand the wider business environment as well as the strengths and weaknesses of key market players. Data is qualitatively analyzed to categorize companies as pure play, category-focused, industry-focused, and diversified; it is quantitatively analyzed to categorize companies as dominant, leading, strong, tentative, and weak.

Market Dynamics and Customer Landscape

The market is being driven by a diverse range of sources, including plant, animal, insect, and microbial sources, catering to various sectors such as food & beverages, feed, cosmetics & personal care, and pharma industries. Consumers are increasingly seeking functional ingredients like gelatin and collagen, leading to the rise of protein supplements in hard and soft capsules. However, challenges arise from religious or dietary restrictions, especially in Middle Eastern and Muslim communities, where halal-certified products are preferred, along with emerging vegan trends and the demand for clean-label protein ingredients. Our researchers analyzed the market research and growth data with 2023  as the base year, along with the key market growth analysis, trends, and challenges. A holistic analysis of trends and challenges will help companies refine their marketing strategies to gain a competitive advantage. 

Significant Trends

The rise in online sales of proteins is an emerging trend shaping market growth.  Online retail's success is multifaceted, driven by factors like extensive product availability, efficient service delivery, and competitive pricing. Among distribution channels, online stores are poised to experience the most rapid growth in the protein supplements market due to their expansive reach and enhanced visibility. Vendors are actively enhancing the online shopping experience through targeted marketing and educational efforts. This has led to a notable uptick in online sales, aided by features like chatbots and live chat support for instant consumer assistance. Consequently, consumers are increasingly comfortable purchasing dietary supplements online, spurred on by vendor engagement via social media, blogs, and company websites.

Further, with a focus on younger demographics, who are more digitally engaged, online platforms allow for easy product comparisons based on ingredients, user reviews, and brand reputation. Data analytics further empowers vendors to tailor their offerings to match consumer preferences, including the growing demand for eco-friendly products. The comprehensive advantages of online retail, including product variety, swift delivery, and competitive pricing, are poised to drive the market's growth via online channels during the forecast period. 

Major Challenges

The presence of counterfeit products of protein supplements and snacks is a significant challenge hindering market growth. The market is witnessing the entry of an increasing number of counterfeit products that use substandard or spurious ingredients and, therefore, pose a potential health risk for consumers. To attract consumers, these products are priced lower than the original branded products. For instance, tests conducted in the US and South Korea revealed that one of the popular sports supplements, Craze, sold widely across the US and other countries, uses chemicals such as methamphetamine, which appears to be an illicit recreational drug, which raises significant health and regulatory concerns. Recognized brands with high demand are vulnerable to black marketing, with similar packaging and labels. 

Moreover, to protect buyers from purchasing fake products, the company's website and other online distribution channels have detailed comparisons between the original and fake products. It also highlights how these fake products can harm the body, thus encouraging buyers to check brand labels and packaging before purchasing. Qualities such as solubility, texture, taste, and side effects can also help distinguish between original and fake products. Therefore, counterfeit products damage the brand image of leading products and reduce the market shares of leading brands, which is a major challenge for the market. Thus, the presence of counterfeit products is one of the major challenges that may hamper the growth of the market during the forecast period.

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Key Market Customer Landscape

The market report includes the adoption lifecycle of the market, covering from the innovator’s stage to the laggard’s stage. It focuses on adoption rates in different regions based on penetration. Furthermore, the report also includes key purchase criteria and drivers of price sensitivity to help companies evaluate and develop their market growth and forecasting strategies.

 Customer Landscape

Segment Overview

The market report forecasts market growth by revenue at global, regional & country levels and provides an analysis of the latest trends and growth opportunities from 2018 to 2028. 

• Source Outlook
  • Plant
  • Animal
  • Microbial

• End-user Outlook
  • Food and beverages
  • Infant formulations
  • Animal feed
  • Others

• Region Outlook
  • North America
    • The U.S.
    • Canada
  • South America
    • Chile
    • Brazil
    • Argentina 
  • Europe
    • The U.K.
    • Germany
    • France
    • Rest of Europe
  • Asia
    • China
    • India
  • Middle East & Africa
    • Saudi Arabia
    • South Africa
    • Rest of the Middle East & Africa

Market Analyst Overview

The protein ingredients market encompasses a diverse array of sources, including insects and microbial sources, catering to various industries such as food & beverages, cosmetics & personal care, and pharma. Traditional sources like gelatin from animal by-products like slaughtered animals are common, with components derived from bones, hides, hooves, and poultry. Religious and dietary considerations, especially in Middle Eastern and Muslim communities, drive demand for halal-certified bovine-derived products over pork-based options. However, concerns regarding the quality and adulteration of food & beverages with GM ingredients or hexane residues persist, impacting human health.

Further, plant-based food products gain traction, products like Impossible Burgers and GMO-based soybean burger patties cater to vegan trends and offer alternative protein sources. The market also focuses on texture enhancers for processed foods and cosmetics applications, emphasizing natural and organic ingredients for clean-label formulations. With rising awareness of sustainable practices, demand for sustainable alternative protein sources is expected to grow, benefiting industries from dairy and meat alternatives to personal care and cosmetics. The market caters to diverse sectors like the pharma industries, food and beverages sector, and personal care and cosmetics, offering functional ingredients for hard and soft capsules.

Moreover, collagen derived from sources like cattle, pigs, and fish serves as a key component, though religious or dietary restrictions drive demand for gelatin manufactured by pork skin. The market addresses concerns over quality and GM/non-GM status, aiming to mitigate allergic reactions and herbicidal residues in plant-based protein sources. Emphasizing healthy diets and clean-label protein ingredients, it caters to market demand across developing regions and the European Union, offering high-nutritional value food and dairy-based proteins for various applications.

Market Scope
Report Coverage	Details
Page number	167
Base year	2023
Historic period	2018-2022
Forecast period	2024-2028
Growth momentum & CAGR	Accelerate at a CAGR of 3.48%
Market Growth 2024-2028	USD 86.75 billion
Market structure	Fragmented
YoY growth 2023-2024(%)	3.32
Regional analysis	APAC, Europe, North America, South America, and Middle East and Africa
Performing market contribution	APAC at 57%
Key countries	US, China, India, Germany, and France
Competitive landscape	Leading Companies, Market Positioning of Companies, Competitive Strategies, and Industry Risks
Key companies profiled	AMCO Proteins, Archer Daniels Midland Co., Arla Foods amba, Bunge Ltd., Cargill Inc., Darling Ingredients Inc., Fonterra Cooperative Group Ltd., FrieslandCampina, Fuji Oil Holdings Inc., Gelita AG, Glanbia plc, Hilmar Cheese Company Inc., Ingredion Inc., International Flavors and Fragrances Inc, Kerry Group Plc, LACTALIS Ingredients, Puris, Roquette Freres SA, The Scoular Co., and Wilmar International Ltd.
Market dynamics	Parent market analysis, Market forecasting, Market growth inducers and obstacles, Fast-growing and slow-growing segment analysis, COVID-19 impact and recovery analysis and future consumer dynamics, and Market condition analysis for the forecast period.
Customization purview	If our report has not included the data that you are looking for, you can reach out to our analysts and get segments customized.

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What are the Key Data Covered in this Market Research Report?

• CAGR of the market during the forecast period
• Detailed information on factors that will drive the growth of the between 2024 and 2028
• Precise estimation of the size and its contribution of the market in focus to the parent market
• Detailed analysis of customer landscape covering Diver of price sensitivity, Adoption of the lifecycle, and key purchase criteria 
• Companies landscape comparing criticality of inputs and factors of differentiation
• Exclusive Matrix on companies position and classification
• Accurate predictions about upcoming trends and changes in consumer behavior
• Growth of the market industry across APAC, Europe, North America, South America, and Middle East and Africa
• Thorough analysis of the market’s competitive landscape and detailed information about companies
• Comprehensive analysis of factors that will challenge the growth of companies

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