According to two recent reports, big meat conglomerates and food giants could push smaller producers of meat alternatives out the door in the same way that they have affected other food industry sectors.
According to a report by a, JBS and Cargill are meat companies that have invested heavily in plant proteins and lab-grown meats in recent decades. They also purchased out several smaller companies. Report published Tuesday by the non-profit Food & Water Watch and a March ReportIPES-Food, a network of food system experts.
Conglomerates of animal meat companies are joining other food giants who already control around 80% the meat alternative market. These include Kelloggs, which has MorningStar Farms brand, as well as Conagra, which has Gardein.
Philip Howard, associate professor of Michigan State University and co-author of the IPES Food report, said that most of these products won’t have the parent company’s name printed on them. He said that people buying meat alternatives products might not know they are supporting these big companies.
The The meat substitute market is expected to grow quicklyAccording to IPES-Food, this will increase from $4.2bn in 2020 to $28bn by 2025. The report stated that the majority of this growth will be driven by the already strong plant-based meat industry. However, several conglomerates have invested hundreds of millions in developing the industry. Lab-grown meatBioreactors can produce meat without the need for slaughtering animals.
Both plant-based and laboratory-grown meat producers believe their products are better than meat for the environment. Plant-based alternatives have the lowest carbon footprint. 93% smaller According to a report by Johns Hopkins University, beef is more nutritious than beef. German scientists also said Even 20% of the world’s beef can be replacedConsuming Quorn and other microbial proteins could cut down on deforestation by half.
Even though the meat industry is booming Fake meat is not valued as muchAs climate scientists, and other experts increase the pressure to act, so does our ability to respond. Significantly reduceSome big meat companies may be looking to generate additional revenue streams from meat consumption.
CargillActiveAleph Farms, a lab-grown meat producer, was invested in and the company created its own plant proteins. Tyson Foods is selling plant-based meats under its Raised & Rooted brand and has invested in several plant-based and lab-grown meat companies.
JBS, the largest meat company in the world, bought BioTech Foods, a lab-grown meat company, and also last year. Vivera, a Dutch plant-based meat company, is headquartered in AmsterdamThe corporate tagline of, which is: Life is better if you eat less meat.
Howard stated that they are covering their bases as this is an area which is growing rapidly. These companies have grown to be powerful and big by using every strategy that they can.
US federal regulators are doing little to stop consolidation in the alternative meat sector, said Amanda Starbuck, research director for Food & Water Watch, who added that it could end up looking similar to The beef industryThe industry is controlled by JBS, Cargill and Tyson Foods. National Beef Packing controls 85%.
Plant-based meat brands are hardly an alternative to the current system if they continue to entrench corporate power, concludes the Food & Water Watch report. Starbuck stated that it shows the futility in voting with your dollars.
This concern is echoed by the IPES Food report, which states that corporate control could undermine gains from reducing animal reliance by replicating some problems of the traditional meat industry. According to the report, increasing meat alternatives could reinforce power relations that continue to support current systems, but fail address the question of how systemic improvements will be achieved.
Howard is concerned that the landscape will look similar to the US craft beer market, as big companies are likely to consolidate control over the meat alternative sector. While there are many good reasons to be optimistic, Howard is concerned about the future of the meat alternative industry. Nearly 9,000 US breweries are availableMost of them are small and cannot distribute beer beyond their local bars. Alcohol conglomerates have taken over most of the larger craft bewers.
Celia Homyak is co-director of UC Berkeleys Alternative Meats Lab. She said that small producers might have trouble getting the grains and other plants they need to make meat alternatives. Homyak stated that big companies will take all these ingredients away from the smaller companies that are innovating. They have the money and the size to do it.
But she sees benefits from increased interest in big meat companies. Homyak stated that both corporate investment and a smaller sector are not necessarily bad. We need more people in this space. It will also shrink down, because there aren’t enough players. I am not concerned about the big conglomerates entering because it shows these larger corporations that this industry is viable.
Zak Weston (a senior supply chain manager at the Good Food Institute), a non-profit advocating for less animal-based proteins, said that at least 1,300 startups were producing meat substitutes as of six month ago. There are many things happening in the ecosystem right now, and large companies play a role. Weston believes that this is a positive.
However, some are concerned that big meat companies might invest in innovation in an industry that relies on it.
According to Dan Staackmann (16 years ago, founder of Uptons Naturals), the industry is better with smaller companies that don’t have corporate ties. Staackmann states that the Chicago-based company has never received outside money and sells vegan proteins at restaurants and stores all over the country.
He said, “You take that money and suddenly somebody’s looking over you shoulder.” I can do more for $100,000 than some of these companies with $100m. That’s what I believe with many entrepreneurs. You can’t steer large ships in a changing market like this quickly enough.
Howard, a Michigan State professor, stated that many producers are dependent on each other. Conglomerates have agreements with major supermarket chains and distributors, he stated, so anyone looking for meat alternatives outside their local area will feel pressured to sell.
Howard stated that it would be very difficult to keep small and medium-sized companies in business. Our economic systems reinforce the power and position of the wealthy and powerful. Smaller producers have a difficult time getting onto supermarket shelves.
