June 17, 2024
Functional Protein Market

Functional Protein Market is in Trends by Rising Health Consciousness

They are a rich source of essential amino acids, vitamins, and minerals. Being highly bioavailable, functional proteins aid in muscle building and repair. The growing popularity of preventive healthcare and shift towards healthy lifestyles are propelling the demand for functional protein products across the globe.

The Global Functional Protein Market is estimated to be valued at US$ 5.1 Bn in 2024 and is expected to exhibit a CAGR of 5.0% 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. Key players like ADM and Cargill are investing heavily in product development and capacity expansion to capitalize on the market opportunities.

The growing demand for sports nutrition, weight management, and clinical nutrition products is fueling the growth of the Global Functional Protein Market Size. Widespread promotion of healthy eating and active lifestyles through social media and fitness programs is also driving the sales of functional protein products.

The global market is witnessing strong growth in developed as well as emerging economies. Expanding retail infrastructure, rising affluence, and growing health awareness are boosting the sales of functional protein foods and beverages across Asia Pacific, Latin America, Middle East, and Africa. Manufacturers are launching customized products catering to regional tastes to tap the rising demand from these markets.

Market Key Trends
Protein fortification of various food products is a major trend in the functional protein market. Companies are increasingly incorporating functional protein ingredients like whey, soy, casein, and pea into bakery, dairy, confectionery, and RTD beverages to enhance the nutritional profile without significantly altering the taste and texture. The clean label trend is also pushing the demand for plant-based proteins like pea, rice, and wheat protein. As consumers look for sustainable options, plant-based proteins are gaining worldwide popularity.

Porter’s Analysis
Threat of new entrants: The functional protein market holds a moderate threat of new entrants as it requires extensive R&D and branding to establish in this industry. However, the increasing demand creates opportunities.
Bargaining power of buyers: Buyers have moderate bargaining power in this market due to the availability of substitutes. However, branding and unique health propositions increase customer loyalty.
Bargaining power of suppliers: Suppliers have high bargaining power due to the specialized nature of raw materials and few manufacturers that control the supply. This compels buyers to adhere to supplier terms.
Threat of new substitutes: The threat of substitutes is high as new types of proteins and ingredients are continuously introduced to deliver similar nutritional and functional benefits.
Competitive rivalry: The competitive rivalry is high among established brands due to their robust R&D and marketing capabilities. Players compete on the basis of new product launches, acquisition, and expansion.

Geographical Regions
North America accounts for the major share in the functional protein market currently, owing to high health awareness and demand for protein supplements. Key countries include the U.S. and Canada.
Asia Pacific is expected to witness the fastest growth during the forecast period due to rising living standards and health consciousness. Expanding markets for sports and functional foods and beverages will drive demand in countries such as China, India, South Korea, and Japan.

*Note:
1.Source: Coherent Market Insights, Public sources, Desk research
2.We have leveraged AI tools to mine information and compile it