Higher Dependence on Protein Enriched Food & Beverage Products to Amplify Sales of Rice protein, Says Fact.MR
Published byThere has been
a bearish trend in global demand for rice protein with the continuing
restrictions on mass meetings and major events due to Covid-19. Nevertheless,
consumption of food products infused with protein is high in demand as many
media houses actively promote the benefits of protein-infused food to boost
one's health. In this regard, rice protein is experiencing high demand. Yet
rice protein producers have narrowed down production due to uncertainties in
the existing supply chain owing to COVID-19 pandemic. While in the first week
there was a 10-15% rise in demand with consumers hoarding protein products,
demand for rice protein from end-products manufacturers has been decreasing
steadily from the second week onwards.
Consumers are
expected to behave more conservatively and cautiously over the coming months,
and are expected to become more dependent on rice protein and other protein
laced food items. However, the slow supply of products through some stores
providing essentials and e-commerce is anticipated to create a demand supply
gap. The global rice protein market is anticipated to grow with a
CAGR of over 8% and is expected to present absolute dollar opportunity of more than
US$ 100 Mn during forecast period
‘Label
Centric Marketing’ to Heighten Demand for Rice Protein, Market to Grow at CAGR
of over 8.0%
The demand for
rice protein has shown substantial growth in recent years and is expected to
show dexterous growth during the forecast period. 'Label centric marketing' was
the primary strategy of rice protein producers to meet the increasing demand
for soy-free proteins based on plants. This in turn has benefitted rice protein
manufacturers, who are leveraging labels like ‘Non-GMO’, ‘Organic’, and ‘Vegan’
among others to increase demand. Aversion towards dairy derived proteins has
supplemented growth of rice proteins. Owing to this shift in consumer demand
towards alternative protein sources and targeted marketing campaigns of rice
protein, the rice protein market is proliferating globally.
Key
Takeaways of Rice Protein Market –
- Europe accounts for the highest share in the rice
protein market and is expected to grow 2X during the forecast period
- Rice protein concentrates are expected to be
fastest growing product type in rice protein market and are expected to
grow by 2.5X during forecast period
- Brown rice is projected to lead the rice
protein market and will present faster growth vis-a-vis milled rice
- Dry extracts in terms of extract type are
expected to add US$ 100 Mn to rice protein market during forecast
- In terms of demand, beverages and bases
application is expected to show high demand growth and is expected to grow
2.5X in terms of value during forecast period
- Demand for breakfast cereals is expected to show
significant growth of 2.7X during the forecast period
“Being a highly efficient alternative to other
plant-based products, the food and beverages industry is continuing to invest
substantially in the rice protein market “, according to a report analyst
Rice
Protein Manufacturers to Explore New Markets for Expansion
Rice protein
market is consolidated with five players accounting for more than 50% revenue
share. Rice protein market has been moving towards consolidation with top
companies acquiring emerging players in the market. Top players have been using
this strategy to establish their presence in foreign markets like India and
ASEAN countries. Rice protein manufacturers actively venturing in foreign
markets are Kerry Group PLC, Beneo GmBH, and Axiom Foods, Inc. This will
substantially increase production of rice protein and in turn boost growth of
the market.
These
insights are based on a report on Rice Protein Market by Fact.MR.