Analysis Feature
Sustainable Meat Eats into Meat alternative Market
The market for sustainable animal protein such as organic meat or grass-fed beef is experiencing significant growth. According to market analysts, this growth comes at the expense of plant-based alternatives. Various major global players have already entered this market, but the Netherlands is now leading in this development.
The market for sustainable animal products is growing significantly, as indicated by data from research firm Brightfield Social Listing. One market stands out. The sale of sustainably certified fish increased by 9.9% in May 2024 compared to May 2023. However, meat markets are also growing significantly. Sustainable chicken concepts saw a global growth of 1.7%. The market for sustainable red meat (beef and pork) grew by 1.7% in 2024. Meanwhile, the market share of plant-based alternatives increased by only 0.03%.
These percentages may seem relatively small compared to the growth plant-based alternatives experienced at the beginning of this decade. In some markets, the growth exceeded 10% per year. However, in practice, the growth is stronger than that of meat substitutes, as the share of these products is much larger. For example, the share of plant-based alternatives in protein is 0.15%, according to Brightfield data. Sustainable chicken, on the other hand, has already acquired a market share of 2.4%. Sustainable beef and pork together account for 4% of the protein markets. Since the fish sector has been focusing on sustainability due to overfishing for a much longer time, sustainable fish has a significant lead. The share of sustainable fish in the total protein supply is 11.5%.
Companies Dive into Sustainable Meat
Some analysts in the protein market indicate that the competition from meat concepts labeled as sustainable is affecting the growth of the plant-based sector. Both markets target the same audience, namely conscious consumers with a flexitarian lifestyle.
This trend is causing significant shifts in the priorities of the meat sector. The focus on plant-based alternatives is diminishing over the years, but at the same time, the era when sustainable meat concepts were the exclusive domain of small-scale companies with grand ideals is over. Various major players, such as JBS and Tyson, have invested in sustainable supply chains. In Tyson's case, the acquisition of insect producer Protix is seen as a step towards a sustainable chain. JBS, on the other hand, focuses on grass-fed beef.
The Netherlands Belongs to the Leading Group
While the trend is being picked up globally, the Netherlands is ahead of the curve. For years, the country has not only had many different small concepts, but most slaughterhouses now manage a sustainable chain. Vion operates the largest organic slaughterhouse in the Netherlands, De Groene Weg. The most outspoken representative is likely Van Loon. For the company, sustainable meat is no longer a side issue. In addition to several sustainable market concepts, the company has made sustainability of meat an integral part of its operations. The company distanced itself from the plant-based market and chose to focus on more sustainable meat and hybrid products. Although Westfort is less vocal about it, the company has a similar marketing strategy.
If you consider the Better Life concept of the Dutch Society for the Protection of Animals as a sustainable concept, the majority of Dutch consumption will soon fall into the category of sustainable consumption. Since 2023, supermarkets, with a few exceptions such as the halal range, essentially only sell fresh chicken with at least 1 star Better Life. The majority of Dutch pork already has a Better Life certification. A similar development is seen in Germany. The two best-known discounters, Lidl and Aldi, have committed to selling at least 50% of their meat under the Tierwohl concept. According to the supermarkets, this is a first step towards a complete transition.
