Uncovering the Transformative Potential of Protein Diversification
Good Food Institute report highlights the record number of new companies entering the category, unprecedented government support, and a continued expansion of alternative protein products in the market
According the a new report from the Good Food Institute, investments in cultivated, fermentation-derived, and plant-based proteins approached $3 billion, $4 billion, and $8 billion, respectively, by the end of 2022.
Alternative proteins, which include cultivated, plant-based, and fermentation-derived proteins, represent an opportunity to reduce risks and improve the efficiency of meat production, while offering consumers the meat-eating experience they crave. Rethinking how meat is made can decrease emissions, protect human health, ensure food security for all, and maintain and improve biodiversity. GFI is calling on governments around the world to invest $10 billion each year in R&D and commercialization to deliver the full benefits of protein diversification.
In 2022, the alternative protein industry took steps toward maturation as a number of new companies and brands entered the marketplace, and companies formed new strategic partnerships and industry alliances.
The cultivated meat industry made bold strides toward commercialization in the US.
In November 2022, UPSIDE Foods became the first company to receive a greenlight from the US Food and Drug Administration (FDA), allowing their product to be sold in the US following regulatory approval from the USDA. Pending regulatory review, these cultivated ground meat products will broaden UPSIDE's commercial portfolio to include a range of options, such as chicken sausages, chicken sandwiches and dumplings. In addition, UPSIDE announced that it has developed a breakthrough chicken cell line for use in suspension cell culture that could substantially reduce the cost of production for these ground meat products.
UPSIDE Foods has been committed to developing a diverse range of products since its founding in 2015, with the ultimate goal of providing consumers with the meat they love in a new and better way. This includes the development of both whole-textured products, such as chicken filets, and ground meat products with simpler textures that can be scaled up quickly and at a lower cost. The company will initially be launching at a small scale with its cultivated chicken filet, followed by this next generation of products.
GOOD Meat followed with an FDA greenlight in March 2023, indicating that the US government is making impressive progress on enacting its regulatory framework for cultivated meat.
According to Euromonitor data featured in these reports, from 2017 to 2022, the global plant-based meat and seafood market grew 118% from $2.8 billion to $6.1 billion.
- 19 new cultivated meat companies launched, for a total of 156 companies – up 14% from 2021 – across 26 different countries.
- 15 new companies dedicated to fermentation-enabled alternative proteins launched, for a total of 136 companies across 31 different countries—up 12% from 2021. Nearly 57% of companies focused on fermentation were founded in the past three years, demonstrating the industry’s nascency.
The world’s largest food companies are leaning into alternative proteins.
The majority of the world’s biggest food companies now have some involvement in the alternative protein sector–through either investment, acquisition, partnerships, or developing and manufacturing products themselves–highlighting the conventional food industry’s confidence in alternative proteins.
The fermentation for alternative proteins industry showed signs of maturation, with the formation of new industry associations, increased involvement by large food companies, and an expansion of the number of fermentation-enabled products available to consumers.
- GFI and ProVeg joined 12 food companies as founding members of a new Fungi Protein Association. In early 2023, nine precision fermentation companies joined forces to form the Precision Fermentation Alliance, the first trade body focused on precision fermentation for alternative proteins.
Hybrid products–combinations of cultivated meat and fat, plant-based and/or fermentation-derived ingredients—can offer new technologies a quicker path to market.
- Hybrid solutions permeated the alternative protein space in 2022, as food producers worked to blend plant-based, fermentation, and cultivated meat production in the pursuit of products that reach taste and price parity with conventional meat. For example, the world’s first innovation center dedicated exclusively to hybrid cultivated and plant-based meat products opened in Singapore.
- Hybrid products can increase access to new ingredients while improving the taste and sensory experience for consumers. For example, adding plant-based protein to cultivated meat not only decreases costs compared to a fully cultivated product, but may also offer additional nutritional benefits, like fiber.
While alternative protein investments decelerated to $2.9 billion in 2022 alongside the 35% drop in overall global funding, growth remains strong over the long term: $14.2 billion has been invested in alternative protein companies over the past decade, with investment nearly doubling on average each year. Read on for a deeper dive into 2022 investment numbers.
Determining the Near Future of Protein Ingredients
Prepared Foods discusses protein with Innova Market Insights’ co-founder and global insights director Lu Ann Williams. Innova research shows consumers expressing continued strong interest in boosting protein intake. New protein sources and formulations drive many new foods and beverages as well as on-pack product claims.
Watch and listen to the interview.
Climax Foods Plant Based Casein Replacement Made with AI 'Precision Formulation'
Biotech startup uses AI with proprietary process to create seed-based protein source that melts and stretches like animal-based casein
Climax Foods Inc., an A.I. food tech startup using data science and machine intelligence to create animal-free products from plants, announced the discovery of a plant-based protein ingredient replicating the functionality, flavor, performance, melt, and stretch of dairy protein casein.
With this discovery, Climax Foods aims to replicate the functionality, texture, and taste of the major protein in animal milk using only plant ingredients. This alternative to animal-based casein is completely free of hormones, antibiotics, or any of the top 8 allergens. Furthermore, Climax Foods' "precision formulation" process allows them to produce this protein sustainably at scale, with a price parity to traditional animal-based casein. With industrial animal agriculture contributing to global warming and depleting the Earth's resources, this scientific breakthrough represents a significant win for the planet and a massive milestone for the future of food, trailblazing toward broad adoption of dairy alternatives.
Watch a video about the Climax Foods process.
Climax Foods' owes this radical new casein replacement to their proprietary process, "precision formulation," which combines data science with machine intelligence to speed up the discovery of optimal ingredient and process combinations that fully harness the power of plants. While food innovation historically has taken centuries of trial and error, Climax' AI-powered precision formulation process reduces that process to weeks.
Remilk Secures Regulatory Approval for Non-Animal Milk Protein
Israeli Ministry of Health approval clears path for sale and marketing of real dairy products made with Remilk's animal-free protein to Israeli consumers
Remilk, a global leader in the development and production of animal-free dairy protein has received a first-of-its-kind approval from the Israeli Ministry of Health (MOH). This historic regulatory event clears a path for the marketing and sale of non-animal dairy products made with Remilk for Israeli consumers. It also establishes the country as one of the first in the world to offer people access to sustainable, real dairy made without cows and free of lactose, cholesterol, antibiotics and growth hormones.
Remilk has raised more than $130M to date and signed deals with leading players in the global food industry. Last year, Remilk, which is already producing its protein at industrial volumes in facilities around the world, announced a large-scale commercial agreement with the Central Bottling Company (CBC Group), the exclusive Israeli franchisee of Coca-Cola, and one of the largest food companies in Israel, to launch a line of dairy products made with Remilk's protein, for the Israeli market.
Five New REBBL Plant-Based Functional Protein Beverages
The new drinks contain 6g of plant-based protein, adaptogens, maca, ashwagandha, and reishi
REBBL®, an organic and plant-powered functional beverage brand, announced the expansion of their iconic Protein Beverage line to include five new flavored beverages made with 100% organic, plant-powered and functional ingredients. These five new products include Coconut Macaroon, Strawberries & Creme and Oatmeal Cookie as well as limited-edition seasonal flavors, Spiced Pumpkin Pie and Peppermint Dark Chocolate.
Packed with 16g of plant-based protein, these 100% organic, ready-to-drink protein beverages are boosted with adaptogens and super herbs including Maca, Ashwagandha, and Reishi to help support the body's ability to cope with stress. Combined with immune support from Zinc and MCTs from coconut, these latest protein drinks are true functional fuel.
