China’s alternative protein market sees rapid expansion amid growing consumer interest and government support
- Key regions like China could account for an additional US$5 billion in cultivated meat market growth by 2030, according to the Good Food Institute
- Chinese consumers are increasingly interested in meat alternatives, but high expectations and cost concerns remain big impediments
China’s alternative protein market is expected to see rapid expansion, with a growing number of start-ups, owing to increasing interest from consumers and investors amid Beijing’s policy support to diversify the country’s protein sources and meet its carbon neutrality goals.
The Asia-Pacific (APAC) region, especially China, is one of the most critical regions for transforming the global protein market, according to a report released last week by the Good Food Institute (GFI), an international network of non-profit organizations that promote plant- and cell-based alternatives to animal products.
The global cultivated meat market could add an additional US$5 billion to the estimated US$20 billion in market value by 2030 if companies sell into key regions like China, according to the 2021 State of the Industry Report. By 2050, the overall alternative protein market – including plant-based, fermentation-enabled, and cultivated meat – could be worth US$250 billion in annual sales, GFI projects.
“China’s alternative protein sector is rapidly expanding as industry stakeholders increasingly understand that tackling the twin challenges of skyrocketing population growth and diminishing natural resources requires making protein production more efficient and secure by decoupling meat from industrial animal agriculture,” said Mirte Gosker, acting managing director of GFI APAC.
With climate change a top issue on China’s political agenda – including a goal to reach peak carbon emissions by 2030 and become carbon neutral by 2060 – policymakers and investors are turning their attention to alternative proteins as one way of reducing emissions from the agricultural sector.
In December 2021, China’s Ministry of Agriculture and Rural Affairs released the country’s latest five-year plan for agricultural development for the period 2021 to 2025. The plan called for strengthening innovation in “frontier and cross-disciplinary technologies”, including the manufacturing of cultivated meat and other “future foods”.
At a joint meeting in March with agriculture, social security, and social welfare political advisers, Chinese President Xi Jinping signalled support for protein diversification, including from plant-based and microorganism sources, saying that innovation is key to food security and sustainable development.
