Covid-19 has been around for over six months, and its impacts on the different areas of life continue to be significant. Covid-19 pandemic has affected the job market, education, farming, and all sectors of the economy. There is still a lot that needs to be done for the effective management of the pandemic as it still lingers. As detrimental as the virus is, the impact of Covid-19 has been surprisingly positive for some industries.
The food market has been uniquely affected by Covid-19. Unlike sectors such as education, the market is not experiencing a shutdown. Instead, a shift in demands is being witnessed. According to recent studies, the value of the plant-based food products market is expected to hit $14.32 billion by 2025. The studies also found that the Covid-19 outbreak will accelerate the value of the plant-based food products market.
Below are insights that will help you better understand how and why the impact of Covid-19 is affecting the global plant-based products market.
1. Reduction of the production of meat products
One of the ways Covid-19 has impacted the food market is the decrease in the supply of meat. Major meat plants across the globe have been shut down after being identified as one of the places where Covid-19 is spread the most. In the US, 25% of pork production plants and 10% of the beef production plants had all closed down by April. As much as it is a case of the US, the statistics are representative of what is happening across the globe.
The reduction of the production of meat products has consequently led to an increase in plant-based product alternatives. Statistics show that the drop in meat production has led to a 200% increase in plant-based products.
2. Covid-19 spread and the association of animals
Coronaviruses are zoonotic. What this means is that viruses can be transmitted between humans and animals. Studies are still underway to determine if Covid-19, a coronavirus, can be transmitted that way. There is no scientific evidence yet regarding that. However, this has not stopped people from having concerns.
People are feeling safer about consuming plant-based products. This has seen an increase in the demand for plant-based foods.
3. Impact of Covid-19 on investor confidence
Investors have a significant role to play in the production of food. During the Covid-19 era, the plant-based product’s market has received a lot of attention from investors. Many vendors have seen the shifts in demands and are on the front line, looking to make things happen in the plant-based food products market while also taking advantage of the opportunities presenting themselves.
The market is already attracting a wide range of vendors who see the market taking off, as more people consider focusing on plant-based diets.
The increase in investor confidence in the success of the market is good for every player in the industry. This will see the availability of funds to set up manufacturing plants, marketing, and many other efforts to see the overall success of the industry.
4. Health and wellness trend towards plant based products
People have discovered that their lifestyles have a critical part to play in their health. If you look around, you will realize that there is an increase in the sensitization of consuming healthy foods, working out and meditating, among other wellness practices. These practices have been found to be very useful in keeping a myriad of health complications at bay.
Studying the trend of Covid-19 infections, recoveries, and fatality has been eye-opening for many. Considering the fatality rate associated with preexisting conditions, people have started to realize the importance of maintaining their health. Unhealthy diets have been linked to the development of health issues such as diabetes, cardiovascular complications, bone complications, liver disease, and many more. Meat products have been found to be a contributor to the development of these issues. Plant-based diets are known to reduce the risk factor for developing these complications.
Impacts of Covid-19 on health are more detrimental if a patient has underlying conditions such as diabetes. For that reason, people have decided to revise their pantry and focus more on healthy diets. This has led to an increase in the demand for plant-based foods, especially during this time.
Impact of Covid-19 on the protein market as a whole
The protein market is expansive and can adequately substitute meat products. The plant-based protein market is categorized into pea protein, wheat protein, soy protein, canola protein, and much more. There has been a significant increase in the demand for this group of foods, especially in 2020, due to the Covid-19 outbreak. This can be attributed to the closure of meat production plants, the association of Covid-19 spread with animals, and investor confidence among several other factors. As much as the pandemic has negatively impacted most industries, the plant-based food market has something to smile about.
Learn more about the CPG global impacts of Covid-19 at QuickBox.com