Functional Protein Market Will Grow At Highest Pace Owing To Rising Consumer Health Consciousness

 

Functional Protein Market 

The functional protein market comprises various protein supplements extracted from whey, casein, plant-based sources, and egg. These proteins are easily digestible and contain essential amino acids that help build muscle mass and improve overall health. With shifting preferences toward nutritional foods, the demand for functional proteins is increasing among health-conscious consumers. Sportspersons and gym-goers actively consume whey and casein protein supplements to gain muscles. Furthermore, plant-based proteins are gaining traction among vegans and flexitarians due to their environmental sustainability.

 The Global Functional Protein Market Size is estimated to be valued at US$ 5.6 Bn in 2024 and is expected to exhibit a CAGR of 5.6% over the forecast period 2024 to 2031.

Key Takeaways

Key players operating in the functional protein market are ADM, Cargill, Ingredion, Arla Foods, Roquette, BASF, Glanbia, Fonterra, DSM, FrieslandCampina, Essentia Protein Solutions, Amai Proteins, Mycorena, Merit Functional Foods, Plantible Foods, BENEO, ProtiFarm, and Omega Protein. These players are focusing on new product launches, acquisitions, and expansion strategies to strengthen their market position.

The growing health consciousness and shift toward preventive healthcare have boosted the demand for functional protein supplements in recent years. Sports nutrition and weight management are the prime areas driving major growth. Furthermore, the growing elderly population prone to chronic diseases and disabilities is also creating opportunities.

Technological advances have enabled manufacturers to develop protein isolates, concentrates, and hydrolysates from various sources like pea, soy, and wheat. These innovations aid in improving the functional benefits, taste, texture, and ease of digestion of plant-based proteins. Novel extraction techniques produce highly purified proteins having low allergenicity.

Market Trends

Plant-based proteins are gaining huge popularity due to rising veganism and flexitarianism. Products containing pea, soy, wheat, and rice proteins are in high demand from health-conscious consumers.

Protein fortification of various food products like snacks, beverages, bakery, and dairy categories is trending. Functional proteins help enhance the nutritional value of end products. Sports and clinical nutritional products specific for muscle gain, weight loss, gut health are attracting consumers.

Market Opportunities

Personalization of functional protein supplements as per individual health goals, like muscle gain, fat loss, diabetes, cardiac care etc. offers immense scope.

Technological advancement in protein extraction processes may lead to large-scale production of novel plant-based proteins like potato, chickpea at lower costs. This will increase accessibility to developing regions.

Impact of COVID-19 on Functional Protein Market

The functional protein market has witnessed fluctuating growth rates due to the COVID-19 pandemic. In the initial stages of the pandemic in 2020, lockdowns and supply chain disruptions negatively impacted the market. Demand from food and beverage sector decreased significantly as production and sales were halted. There was limited availability of functional proteins due to workforce shortages at manufacturing facilities. However, as restrictions eased in late 2020, demand started recovering backed by rising health consciousness among consumers. The pandemic highlighted the importance of consuming a balanced diet with sufficient protein intake to boost immunity. This raised awareness about protein-rich foods and beverages fortified with functional proteins.

In the post-COVID era, growth is expected to be driven by rising focus on preventive healthcare and wellness. Many consumers are expected to continue incorporating protein-rich diets in their lifestyles to improve long-term health outcomes. This will augment the demand for functional protein ingredients across various end use sectors like nutrition, dietary supplements, sports nutrition and functional foods. Product innovation has also gained traction as protein ingredient manufacturers strive to develop novel formulations catering to evolving consumer needs and tastes. New product launches in the areas of plant-based proteins, collagen peptides, protein powders and bars are expected to further bolster market expansion in the forecast period. However, high prices of some functional proteins may restrict mass market uptake to some extent.

Europe currently holds the largest value share of the functional protein market. This is attributed to growing awareness about balanced nutrition and higher per capita income allowing for premium functional foods. Protein-fortified bakery, dairy and meat alternative products have gained widespread popularity in countries like Germany, UK, France and Italy. Asia Pacific is expected to be the fastest growing regional market, driven by rapid urbanization, rising middle class, increasing health consciousness and sizeable vegetarian populations in countries like India, China, Japan and Southeast Asian nations seeking plant-based protein options. Latin America and Middle East & Africa also present lucrative prospects for marketers owing to improving economic conditions and changing food consumption trends.

The functional protein market remains concentrated in North America, led by the United States. This is because of the large health supplement industry in the country as well as prevalence of protein-rich diets and lifestyles among Americans. Also, North America houses many innovation-driven manufacturers that invest heavily in research and product development. With growing exports, the US market increasingly dominates global functional protein demand and supply. However, Asia Pacific is gaining ground and is expected to outpace North America in terms of growth rates owing to its bigger population base and rapidly evolving food habits.

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