Cellular agriculture based on concepts
such as biotechnology and tissue engineering is a disruptive technology in the
modern agricultural era. A product of this technology is ‘cultured meat’ also branded
by various names such as in vitro meat, synthetic beat, clean meat, lab-grown
meat and cell-based meat. As the plant based meat products only appeal to a
tiny fraction of vegetarian population, lab meats by replicating taste and texture
of animal meat have a broader range of non-vegetarian audience. This trend of
cultured meat, i.e. producing animal meat via tissue engineering without using
or slaughtering animal is gaining profound traction. The prime factors responsible
for this progression are its enhanced economic, health, animal welfare and ecological
efficiencies over traditional meat. Among several factors, hazardous ecological
impacts of animal husbandry is adding substantial impetus in developing
cultured meat market demand. United Nations Environment has labelled animal agriculture
as a close rival of every car, truck, bus, ship, airplane, and rocket ship
combined, in terms of greenhouse gas footprint. Right from arable lands, to fresh water and crops (used an animal feed), animal
livestock is a heavy consumer of all these limited resources. According to the Food
and Agriculture Organization of the United Nations (FAO), almost 50% of worldwide
harvest is required to feed the livestock population and direct human consumption
is just 37%. Similarly, 70% of agricultural land globally is allocated towards livestock
farming and tracing the deteriorating condition ahead it is stated that animal agriculture
is responsible for 91% of Amazon destruction. Considering
the global population that is determined to surpass 9 billion by 2050, demand
for meat products is bound to escalate. As a consequence, there is a dire need
globally for alternative meat products with lesser impacts to the environment.
Since cultured meat prepared at laboratories compared to conventional meat
require 99% lesser land, 90% less water and 45% less energy, it is the most pivotal
asylum sought to counter global food security and ramifications of livestock
farming. The
global cultured meat market size was evaluated to be $13.78 million in 2018.
As the market is untapped with profound opportunities there is considerable influx
of investments into market companies that has led the cultured meat market
demand to be progressing at a global CAGR of 4.28% during the forecast period
of 2019-2025.
Bill Gates investing in the global cultured meat market:
Since the economic as well as ecological
cost of cultured meat will be lesser than traditional meat, the global market
has been witnessing an influx of investments to pace up the R&D processes
for scalable production and commercialization. The list of investors in this
untapped market includes eminent personalities such as Bill Gates and giant companies
of the global F&B sector including Cargill Corporation and Tyson Foods, Inc.
For example in 2017, Memphis Meats, a dominant market player based in the
United States secured funding worth $17 million. Apart from Bill Gates, the
list of investors in the company was comprised of various venture capital firms
including Draper Fisher Jurvetson and New Crop Capital. Similarly in 2019, Cargill Corporation declared its investment in Aleph Farms,
a cultured meat company focused on growing complex meat varieties like steak. This
Israel based startup accomplished a financing round of $11.65 million in 2019,
with investors including Vis Vires New Protein and M-Industry (Industrial Group
of Migros). At present investments are the major cultured meat market growth
driver and recognition of food products using animal cell culture technology by
elite organizations such as The Food and Drug Administration is adding further incentive
to the growth. In 2018, FDA held a public meeting on Foods Produced Using
Animal Cell Culture Technology. Although the agency to regulate cultured meat
is yet to be confirmed, direct involvement of FDA with the market is lucrative in
terms of advertising and marketing of cultured meat products globally.
Out of 18 globally, the United States published 8 patents in global cultured meat market during the last 5 years:
After an acute analysis of the regional
cultured meat markets globally, North America is reckoned to be most lucrative
market place. The region with 2 of the global leaders in meat consumption, the
United States and Canada held 30% of the global demand in 2018. According to
the World Economic Forum, United States is the leading meat consumer globally.
The country in 2016 recorded per capita consumption of 97.1 kilograms, whereas the
only other North American country in the list was Canada securing the 8th
spot with 70.0 kilograms per capita consumption. Apart
from the established meat market that eventually stands out as a potential market
for cultured meat products another factor adding advantage to North America is
the presence of the majority of cultured meat connoisseurs in this region. The fact
that out of 18 patents published globally during 2014-2019, 8 were published by
the U.S very well supports the above argument. Majority of the cultured meat
market players in the U.S have announced to commercialize their products in the
market by the end of 2019, and FDA and U.S Department of Agriculture are also
set to finalize rules for inspection and labelling by the similar timeline. The
governmental institutions have been throughout involved in the R&D and that
has been a major factor in listing and advertising lab meat to nationwide audience.
For example in 2017, the White House, U.S requested a report on “Preparing for
Future Products of Biotechnology” by the National Academy of Sciences. The report
flagged clean meat market as a zone of high growth potential in the coming 10
years.
Burger King ready to add lab meat into its menu:
Since the R&D is at a nascent stage,
substantial portion of early products of the cultured meat market are unstructured
meat such as ground beef and insides of chicken nuggets. These unstructured
cultured meat products finds ample scope of application in the flourishing fast
food industry of North America. As some
of the fast good giants such as Burger King has already accepted application of
alternative meat products, their uptake of cultured meat products cannot be
denied. According to the Centers for Disease Control
and Prevention, by 2016 one of three Americans (36%) consumed a meal at
fast-food eateries on any given day. And as the United States annual consumption of burger is stated to be around 50
billion units, even a fraction of that traffic diverting towards the $13. 7 million
cultured meat market will be a remarkable business for market players. According to a recent survey by Science Institute, 49% of US adults recommend a
ban on factory farming, 47% on slaughterhouses, and 33% support a ban on animal
farming. Hence, nearly half of the population in the U.S stands out as potential customers
for cultured meat.
Sustainability of natural resources demands cut down on outlays for livestock agriculture; lab meat products replicates an ample solution to eradicate water crisis and depletion of land:
The global population by
2050 is estimated to reach 9.6 billion by 2050 that will increase the demand
for livestock produce by 70%. The existing animal husbandry sector is enormously
detrimental and among the leading causes of water pollution, deforestation and
loss of biodiversity. Hence an enhancement of 70% will deteriorate the situation
further, hence an ample amount of the increased demand is bound to be met by
the cultured meat market. A list of global circumstances creating cultured
meat market demand:
Cultured meat can counter global water crisis:
Globally, lifestyle of 700
million people in 43 countries are impacted by water scarcity. 92% of global fresh
water are employed for farming and 33% of it are employed in the production of
animal products. Hence lab grown meat products can be an effective solution to
counter global water crisis, since cellular agriculture requires negligible
amount of natural resources. Alone in the United States, more than half the
water are used to cultivate crops to feed livestock and the annual animal
agriculture water consumption ranges from 34-76 trillion gallons annually.
Cultured meat to reduce the area occupied by agriculture:
Apart from the global food
security, another major concern for the bourgeoning global population is habitat.
In 1950, 30% of the global population were living in urban conditions whereas
by 2050 66% population are expected to live in urban areas. Consequently, shrinking cities is a major modern era problem and one solution
for it can be the release of land occupied by livestock and its employment in
urban dwelling. Livestock uses 45% of the total land on earth and with alternatives
for meat and dairy, global farmland use can be reduced by 75%. Hence cellular agriculture is a mega factor towards eradicating the extensive usage
of land by the global agriculture sector.
Poultry stands out as the fastest growing segment in global cultured meat market:
According to National Chicken Council, per
capita consumption of poultry in the United States has escalated from 34.2
pounds in 1960 to 110.0 pounds in 2018. The poultry segment constituting broilers,
chicken and turkey escalated with the highest growth among the total red meat
and commercial fish & shell-fish consumption evaluated during the similar
timeline. Similarly in 2017, the U.S meat industry processed 9 billion chicken which was
the highest followed by 241.7 million turkey holding the second spot. And,
in Canada commercial chicken and turkey meat equaled to 1.43 billion kilograms. The
dominance of poultry in the meat industry of the leading cultured meat market
is a pivotal factor aiding the growth of this segment progressing at a CAGR of 4.89%
going through up to 2025. As the R&D in the cellular agriculture is at a
nascent stage, production of enlarged bovine meat products is not possible. The
first stage of commercialized cultured meat is witnessing production of meat
products in unstructured forms, mostly parts of chicken. And since chicken meat
has witnessed tremendous increment in terms of per capita consumption globally,
it is supporting the growth of poultry segment in cultured meat market.
Cultured Meat Market Companies:
Some of the key players operating in the
global cultured meat market are Memphis Meats, Mosa Meat, Modern Meadow, Super
Meat, and Finless Food Inc.
Out of the 18 patents published globally in the spectrum of cultured meat during 2014-2019, 1 was published by Mosa Meat, a Dutch food technology company in 2018. This developing company has received funding from eminent Merck Ventures B.V, and is leveraging the established meat products market of Europe. As majority of the cultured meat market players are situated in North America, this company can create a monopoly of its own in the European market.
Talk to one of our sales representative about the full report by providing your details in the link below:
https://www.industryarc.com/support.php?id=504454
Related Reports:
A. Meat Substitutes Market
https://www.industryarc.com/Report/7489/meat-substitutes-market.html
Any other custom requirements can be
discussed with our team, drop an e-mail to [email protected] to discuss more about our consulting
services.
To request for a quote, provide your
details in the below link:
https://www.industryarc.com/reports/request-quote?id=504454
Media Contact:
Mr. Venkat Reddy
Sales Manager
Email: [email protected]
Contact Sales: +1-614-588-8538 (Ext-101)
About IndustryARC: IndustryARC is a Research and Consulting Firm that publishes more than 500 reports annually, in various industries such as Agriculture, Automotive, Automation & Instrumentation, Chemicals and Materials, Energy and Power, Electronics, Food and Beverages, Information Technology, and Life sciences and Healthcare.