International Plant-Based Food Companies Eye U.S. Market For Exponential Growth
Douglas Yu, Contributor, Forbes
Nov 18, 2020
Just as home-grown plant-based heavyweights are actively expanding their footprints abroad, their international counterparts are also entering the U.S. at an accelerated rate, eying opportunities in the country’s fast-growing vegetarians and flexitarians.
Markets and Markets estimated the sales value of the U.S. plant-based meat market to be $12.1 billion by 2019, and expected it to reach $27.9 billion by 2025, growing at a 15% CAGR during the forecast period.
While the ongoing pandemic is driving more consumers with concerns about environmental damage and animal cruelty to opt for plant-based alternatives, continuous efforts in perfecting the aroma, texture, and nutritious profiles of vegan meat are projected to further escalate the growth of the category, the market research firm notes.
Modern Meat, which was launched about two years ago in Canada and recently went public, says it plans to expand into a Los Angeles-based facility after experiencing significant revenues growth.
The facility will help co-pack for Modern Meat’s current products, including Modern Crumble, Modern ‘Crab’ Cakes, Meatballs, and sauces, and is expected to eventually complete the company’s domestic distribution.
“I feel like the whole West Cost does have that specific type of lifestyle that people want more plant-based foods; they are early adapters for [these products],” Modern Meat’s founder and CEO, Tara Haddad, recently told me via a Zoom call.
“We think our growth will be exponential… and we’re projecting more than $20 million in revenues [once our expansion is complete],” Haddad said, adding extra sales will also come from the food service sector as many U.S. mid-level restaurant chains are incorporating Modern Meat into their menus.
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