Insect Protein Market

According to Stratistics MRC, the Global Insect Protein Market is accounted for $0.8 billion in 2022 and is expected to reach $4.9 billion by 2028 growing at a CAGR of 35.4% during the forecast period. Insect proteins are a premium feedstock that may be utilised to produce fish, pet, and animal feed. They represent an innovative source of food and feed as well as an effort to move away from traditional protein sources such beef and soy.

According to Food and Agriculture Organization of the United Nations, the steady growth in population will hit 9 billion by 2050 and lead to rise in the demand for feed/food output.



Market Dynamics:

Driver:

High Protein Content in Insects and Growing Applications

In comparison to other plants and animals, insects are a more valuable source of protein. Insect protein production is less expensive. The insect-based protein was first primarily utilised as a component of animal diet. Yet as people's understanding of insects' high protein content has grown, they are now widely employed in a variety of prestigious businesses. Nowadays, insect-based protein is found in a wide range of goods, including food and drink, pharmaceuticals, nutraceuticals, cosmetics, pet food, even livestock, aquaculture, and poultry feed. Many distinct species have different insect proteins. The best protein substitute is one made from insects.

Restraint:

Adverse Effect of Vegan Trend

It has been established that excessive intake of animal-based proteins contributes to a number of diet-related illnesses, including obesity, heart disease, and several malignancies. On the reverse hand, it has been found that consuming vegan food does not make certain conditions worse and instead strengthens immunity. Modern processed meat products like burgers, sausage, and nuggets are being replaced by vegan alternatives. This is due to the fact that compared to meat derived from animals, vegetarian cuisine has lower amounts of saturated fat, cholesterol, and calories. It frequently has greater concentrations of micronutrients including calcium, iron, and zinc. Several meat product producers are switching to making plant-based meat or soy-based goods in light of the rapidly expanding vegan population, which is predicted to impede market expansion.

Opportunity:

Rising customer awareness about nutrient-dense foods

Requirement for insect protein is anticipated to be driven by expanding consumer awareness of both the intake of nutrient-dense foods and increased propensity for a healthy lifestyle during the projected period. The opportunity to offer such meals has been provided to producers in a range of sectors by the growing demand for healthy food items as a consequence of increasing health consciousness among consumers globally. Insect protein has a significant potential to help solve world hunger given the increased demand for food coming along with an expanding global population. Insect protein has a wide range of applications, including the production of animal feed, meals, drinks, cosmetics, or personal care products.

Threat:

High cost

Due to its functional, environmental, and nutritional advantages, insect protein is one of the distinctive and innovative animal feed proteins. High costs, regulations, and constrained production capacity continue to be the key barriers to progress, nevertheless. The equipment and processes needed to create insect-based proteins need to be optimised for large-scale manufacturing because they are currently costly. Although many customers are priced out of this market, few consumers are willing to pay higher rates for the health and environmental advantages of protein obtained from insects.

Covid-19 Impact

The majority of nations throughout the world have been impacted by COVID 19. Lockdowns brought on by COVID-19 had a negative impact on the expansion of the worldwide insect protein sector. The pandemic brought about a number of difficulties for the food industry; the worldwide beef market has been particularly hard damaged. The insect feed market has been concerned about the danger of ongoing production, supply, distribution, a lack of labour, and less development activities. As a result, there may be a change in the foods that people choose to eat, especially with regard to foods that come from animals. As a result, it is anticipated that consumption of strange items of animal origin like insects would be rejected more frequently. The possibility of zoonotic illnesses migrating to humans is a worry in the case of insects used as food and feed. Although it has not been documented that these viruses may be spread by eating, it is known that insects can carry viruses and directly inject them into humans' blood.

The crickets segment is expected to be the largest during the forecast period

The crickets segment is estimated to have a lucrative growth. The increased use of crickets in recipes and food items, their high nutritional value and simplicity of cultivation and processing, and the increasing demands for cricket-based food products like protein sources, protein bars, and snacks are all factors contributing to the growth of the market.

The Cosmetics and Pharmaceuticals segment is expected to have the highest CAGR during the forecast period

The Cosmetics and Pharmaceuticals segment is anticipated to witness the fastest CAGR growth during the forecast period. Insects as a source of protein have a number of advantages over traditional cattle, including excellent nutritional content, sustainability (low carbon footprint), and reduced water use. Due to their high protein content and beneficial benefits on the skin, insect proteins have the potential to become well-liked components in skincare products. From ancient times, traditional Chinese medicine has employed insect proteins as a crucial component to treat a wide range of illnesses, including parasite infections, asthma, and arthritis.

Region with largest share:

Europe is projected to hold the largest market share during the forecast period. Customers in the European market is more receptive to using insect protein for food and beverage, animal nutrition, and personal care products. The demand for insect protein in Europe is anticipated to rise as a result of the recent licensing of insect protein to be utilized in animal feed, particularly that for pigs and poultry. Developed countries like France, Germany, and the UK are anticipated to have a significant demand for insect protein over the projected period, driving the market.

Region with highest CAGR:

North America is projected to have the highest CAGR over the forecast period, owing to expansion of the markets in nations like the United States, Canada, and Mexico. In addition, the rising demand for different foods and drinks has undoubtedly propelled the market expansion in the area. A few of the major factors driving the growth of the worldwide insect protein market are rising demand for alternative proteins, food security & sustainability, and rising acceptance of sustainable industrial farming. Also, the region's food restrictions are anticipated to support the market's healthy expansion.



Key players in the market

Some of the key players profiled in the Insect Protein Market include Nordic Insect Economy, Agriprotein Technologies, Nutrition Technologies, InnovaFeed, Aspire Food Group, Percuro Pet Food, Neo Bites, Cricket Flours LLC, HATCH Biosystems and Entoma petfood.

Key Developments:

In December 2021, Neo Bites had launched the first line of functional dog food toppers made from the insect protein. The neo bites dog food toppers and treats are powered by insect protein which is only animal protein with a natural prebiotic and contain more omega- 3s than salmon. Neo Bites products are hypoallergenic and made from whole super foods.

In December 2021, Percuro Pet Food had launched the new insect protein dog treat. The treats, Snappies are disc shaped and designed to snap easily allowing the pet owners to feed the whole biscuit at once or in portions during the training.

Forms Covered:
• Powder
• Whole Insect
• Other Forms

Insect Types Covered:
• Ants
• Crickets
• Grasshoppers
• Black Soldier Flies
• Mealworms
• Caterpillars
• Locusts
• Beetles
• Wasps
• Bees
• Buffalo Worms
• Silk Worms
• Other Insect Types

Sources Covered:
• Diptera
• Coleoptera
• Hemiptera
• Lepidoptera
• Orthoptera
• Hymenoptera
• Other Sources

Distribution Channel Covered:
• Online
• Offline

Applications Covered:
• Cosmetics & Pharmaceutical
• Food & Beverages
• Animal Nutrition
• Other Applications

Regions Covered:
• North America
o US
o Canada
o Mexico
• Europe
o Germany
o UK
o Italy
o France
o Spain
o Rest of Europe
• Asia Pacific
o Japan
o China
o India
o Australia
o New Zealand
o South Korea
o Rest of Asia Pacific
• South America
o Argentina
o Brazil
o Chile
o Rest of South America
• Middle East & Africa
o Saudi Arabia
o UAE
o Qatar
o South Africa
o Rest of Middle East & Africa

What our report offers:
- Market share assessments for the regional and country-level segments
- Strategic recommendations for the new entrants
- Covers Market data for the years 2020, 2021, 2022, 2025, and 2028
- Market Trends (Drivers, Constraints, Opportunities, Threats, Challenges, Investment Opportunities, and recommendations)
- Strategic recommendations in key business segments based on the market estimations
- Competitive landscaping mapping the key common trends
- Company profiling with detailed strategies, financials, and recent developments
- Supply chain trends mapping the latest technological advancements

Free Customization Offerings:
All the customers of this report will be entitled to receive one of the following free customization options:
• Company Profiling
o Comprehensive profiling of additional market players (up to 3)
o SWOT Analysis of key players (up to 3)
• Regional Segmentation
o Market estimations, Forecasts and CAGR of any prominent country as per the client's interest (Note: Depends on feasibility check)
• Competitive Benchmarking
o Benchmarking of key players based on product portfolio, geographical presence, and strategic alliances