Grass fed beef market to grow by $6.3 BN over the next decade
This year the global grass fed beef market will top $11.6 billion, according to the latest study released by Future Market Insights (FMI) but there are going to be at least 10 years of accelerated growth. The market is expected to reach $ 17.9 billion, growing at a CAGR of 4.4% during the forecast period from 2021 to 2031. Over the last few years, barbequing meat has emerged as a popular trend worldwide, especially across western countries. According to the Quick-Service and Fast Casual Restaurant (QSR) magazine, nearly 95% of the population in the US enjoy barbequed (BBQ) dishes such as steak, ribs, and others.
Beef being the most preferred meat for BBQ owing to its meaty flavor, sales of grass fed beef are anticipated to rise at 3.7% CAGR in terms of volume through 2031.
With rising inclination towards the consumption of high quality food products, consumers are increasingly opting for products with quality assurance certifications and labeling. As grass fed beef is healthier and more nutritious than conventional beef products and is considered a rich source of vitamin B6 & B3, selenium, carnosine & creatine, and zinc, it is gaining immense popularity among meat lovers.
As per FMI, the foodservice sector is projected to emerge as the most lucrative end-use segment in the global market. Increasing demand for sauces, glaze, marinades, baked products, and others made using premium quality meat across hotels and restaurants is driving the segment growth.
"Key players are emphasizing on obtaining food quality certificates such as Kosher, Halal, and Beef Quality Assurance (BQA) to capitalize on the rising demand for premium quality food products. This is expected to bode well for the market growth," says the FMI analyst. Growing consumption of ready-to-eat meals and rising demand for convenient packaged food products is expected to push the sales of processed grass fed beef. Also, increasing demand for frozen meat for exporting beef products overseas, owing to its ability to stay fresh during transportation is spurring the sales across the frozen meat format segment.
Top players in the global market such as JBS Foods, Tyson Foods, Australian Agricultural Company Limited, Hormel Foods Corporation, Cargill and Conagra Brands are projected to account for nearly 30% to 50% of global revenue share through 2031.
Sales in North America are expected to rise at a CAGR of 3.3% through 2031, owing to the rising trend of consuming BBQ meat in the US. Favored by the surging demand for premium quality meat in the UK and Germany, the market in Europe is anticipated to grow at a CAGR of 3.8% over the assessment period. New Zealand, being one of the leading producers and exporters of grass fed beef in the world, is forecast to account for a significant revenue share in the Oceania market.
On the basis of the format, frozen grass fed beef is projected to emerge as a dominant segment during the forecast period. In terms of form, processed meat is estimated to outpace raw meat, owing to rising demand for meat from specific parts such as chop meat, loin meat, and others, according to the study.
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