The global insect protein market is projected to reach USD 856.08 million by 2029, with a compound annual growth rate (CAGR) of 24.1% during the forecast period. This rapid growth is fueled by the increasing demand for alternative protein sources and rising urbanization, according to Fortune Business Insights™ in their report titled “Insect Protein Market, 2022-2029.” The market was valued at USD 153.92 million in 2021 and USD 189.32 million in 2022.
A key trend driving this growth is the surging demand for portable protein snacks and plant-based meat alternatives. As consumer preferences shift toward more sustainable and health-conscious food choices, the food industry is evolving to accommodate these changes. Manufacturers can capitalize on this trend by expanding and innovating their product offerings to meet the growing demand for convenient protein snacks and plant-based alternatives.
Segments-
The market is segmented by product type into orthopterans, hymenopterans, lepidopterans, coleopterans, and others. Based on application, it is classified into three main categories: food and beverages, animal feed, and pharmaceuticals and cosmetics. Geographically, the market is divided into key regions, including Asia Pacific, South America, Europe, North America, and the Middle East & Africa.
Report Coverage-
The report encompasses key market developments and insights into various market segments.
- It evaluates the impact of the COVID-19 pandemic on the market.
- It integrates Porter's Five Forces Analysis for accurate forecasting.
- It incorporates crucial market drivers and constraints.
- It profiles the positions of key market players accordingly.
Drivers & Restraints-
Rising Demand for Alternate Protein to Fuel Market Growth
Raising insects is more cost-effective than cultivating plants or rearing animals, and insects provide a higher protein content, making them increasingly appealing across various sectors, including beverages, aquafeed, nutraceuticals, pet food, and pharmaceuticals. The insect protein market is anticipated to sustain its growth trajectory due to its rich protein content and versatile applications.
Market expansion is propelled by advancements in food technology, urbanization, changing consumer tastes and preferences, and the increasing demand for alternative protein sources. However, the market's growth may be challenged by the high production costs linked to expensive manufacturing processes.
Regional Insights-
Europe to Dominate Global Market Due to Wide Use of Insect Protein
Europe currently holds the largest market share for insect protein, and this market is expected to expand further, driven by significant consumption among middle-aged and older consumers in culinary applications. Additionally, there is a growing demand for fiber-fortified products in countries such as Germany and the UK.
In the Asia-Pacific region, rapid growth is anticipated due to increasing local demand for insect protein. China, with its abundant raw materials, is expected to be a major driver of this growth. Moreover, the expanding food and beverage and pharmaceutical sectors in South Korea, India, China, Indonesia, and Malaysia are projected to further bolster the development of the insect protein market in the region.
Competitive Landscape-
Key Players Adopt Innovative Strategies to Acquire Growth
The insect protein market is highly competitive, consisting of both small and large-scale manufacturers. Key players in this sector include EntomoFarms, Jimini's, EnviroFlight LLC, Aspire Food Group, Protix, Innovafeed, Hexafly, and Swarm Nutrition GmbH. These leading companies are focused on expanding their production capacities to meet rising demand and drive business growth. They engage in strategic initiatives such as alliances, mergers, and acquisitions to enhance their expansion efforts. For example, Ńsect acquired Protifarm in April 2021 as part of its growth strategy.
List of Key Market Players-
- Aspire Food Group (Canada)
- Ynsect NL Nutrition & Health B.V. (Netherlands)
- EntomoFarms (Canada)
- Chapul Cricket Protein (U.S.)
- Jimini’s (France)
- EnviroFlight LLC (U.S.)
- Swarm Nutrition GmbH (Germany)
- AgriProtein Holdings Ltd (England)
- Next Protein Inc. (France)
- Innovafeed (France)
