What is Plant-Based Food Ingredients Market?
Plant-based food ingredients can be defined as basic raw food ingredients such as fruits, vegetables, grains, and seeds. Some of the products made from these ingredients are bread, juice, oats, breakfast cereals, and edible oil. The Canada plant-based food ingredients market is expected to grow at a healthy pace during the forecast period, according to the AMA study. The rising health consciousness among consumers and increasing consumption of products such as bread, breakfast cereals, and juices are expected to be some of the major factors aiding the growth of the market.
The market study is being classified by Type (Fruits, Vegetables, Legumes, Grains, Nuts and Seeds), by Application (Food & Beverages, Animal Feed, Infant Foods, Meat Substitutes, Bakery & Confectionery, Dietary Supplements, Sports Nutrition and Others) and major geographies with country level break-up.
AGT Food and Ingredients (Canada), Atlantic Natural Foods, LLC (United States), Burcon BU.TO (Canada), Cargill, Inc. (United States), Döhler Group SE (Germany), Farbest Brands (United States), Health Warrior, Inc. (United States), Ingredion Incorporated (United States), Martin Bauer Group (United States), Merit Functional Foods (Canada), Nestle SA (Switzerland), Protein Industries Canada (Canada), Puris Proteins, LLC (United States) and Renmatix Inc. (United States) are some of the key players profiled in the study.
The vendors in this market are majorly focusing on developing innovative products and solutions in order to cater to the market's demands to remain competitive in the market. The recent global industry crisis due to the outbreak of COVID-19 is expected to be one of the major challenges for the vendors of this market as the production and markets of different industries have been shut down for an ambiguous period of time. Research Analyst at AMA predicts that United States, Canada Vendors will contribute to the maximum growth of Global Plant-Based Food Ingredients market throughout the predicted period.
Segment Analysis
Analyst at AMA have segmented the market study of Global Plant-Based Food Ingredients market by Type, Application and Region.
On the basis of geography, the market of Plant-Based Food Ingredients has been segmented into South America (Brazil, Argentina, Rest of South America), Asia Pacific (China, Japan, India, South Korea, Taiwan, Australia, Rest of Asia-Pacific), Europe (Germany, France, Italy, United Kingdom, Netherlands, Rest of Europe), MEA (Middle East, Africa), North America (United States, Canada, Mexico). Additionally, the rising demand from SMEs and various industry verticals gives enough cushion to market growth.
Market Drivers
- Rising Health Consciousness Among Consumers Across Canada
- Increasing Production & Consumption of Plant-based Ingredient Food Products Such as Bread, Breakfast Cereals, and Packed Juices
Market Trend
- The Growing Consumer Awareness for the Substitute of Meat Products
Restraints
- Fluctuations in Raw Materials Prices
Opportunities
- Growing Awareness About the Advantages of Vegetarian Products Over Non-Veg Food Ingredients
- The Increasing Importance of Protein Supplements Among the Consumers in Canada is Expected to Boost the Demand for Market During the Near Future
Challenges
- Disrupted Supply Chain due to COVID-19 Pandemic Leading to Shortage of Supplies & Difficulties in Transportation which is Expected to be one of the Major Challenges for the Market Vendors in FY 2020
Market Leaders and some development strategies
In January 2020, Food company Nestle announced that it has teamed up with small Canadian plant-based food ingredient makers Burcon and Merit Functional Foods, to target Canadian crops wherein Nestle will buy pea and canola proteins from a 20,000 tonnes-per-year Merit plant which was to be built by the end of the year in Winnipeg, Manitoba.
In June 2020, Protein Industries Canada (PIC) announced a project worth USD 11.3 million wherein the project will see a consortium of AGT Food and Ingredients (AGT) and ulivit, work together to process pea, lentil, and faba bean protein concentrate into high moisture meat analogue, Texturized Pulse Protein (TPP), tempeh, tofu, pasta, and non-dairy analogues.
Stringent Regulations Regarding the Shutting Down of Markets and Lockdown Situation Across Canadian Region in FY 2020 has Impacted the Market
Analyst Comment
Since the COVID-19 virus outbreak in December 2019, the disease has spread to more than 200 countries across the world along with the World Health Organization declaring it a public health emergency. The impact of the COVID-19 has already hit many industries but has adversely affected the Canada plant-based food ingredients market in FY 2020. The outbreak of COVID-19 has brought effects on many aspects, like scheduled public transportation cancellations; downfall in the real estate sector; travel bans and quarantines; closed operations across hotels & restaurants; banning of public gatherings & events; large slow-down in the supply chain of different markets; stock market unpredictability; declining business assurance, and uncertainty in the future market dynamics. Therefore, due to these factors and lockdown situations across Canadian regions, most of the people stayed at home which boosted the consumption of plant-based food ingredients and has witnessed a significant rise in the FY 2020.