Alternative proteins have become increasingly popular and in demand as consumers have become more knowledgeable about the impacts of their food choices on the environment.
Singapore has emerged as the Asia-Pacific's leading innovation hub for alternative proteins, aided by government policy support. The city-state has also become one of the ASEAN region's most promising markets for meat substitutes. As a result, Singapore's meat substitute sales will rise at a seven percent compound annual growth rate (CAGR) between now and 2027, according to GlobalData.
Soy-based protein will be a top category regarding value sales. Meanwhile, the single-cell protein (fungi/algae) category will like to record the fastest growth over the forecast period.
Key Account Director at GlobalData Singapore, Tim Hill, shared that food security was a significant concern for Singaporean consumers, as the city-state meets 90 percent of its food requirements through imports.
"However, frequent disruptions in its essential food supplies prompted the island nation to launch the '30 by 30' initiative in 2019, setting the goal to achieve 30 percent self-sufficiency in food production by 2030," said Hill.
Aligned with this goal, authorities are striving to make Singapore the Asian and global hub for alternative proteins, competing with the likes of Hong Kong. Over the last two years, this has paved the way for numerous opportunities for multinational, regional, and local business enterprises and startups entering the plant-based meat substitutes market.
Consumer Analyst at Global Data, Bobby Verghese, shared that despite plant-based protein's higher price points compared to its traditional counterpart, the protein alternatives have received positive reception, with 51 percent of Singapore respondents stating that they found 'plant-based' an essential or nice-to-have feature they actively look for when making a purchase.
According to GlobalData, the city-state's meat substitutes sector recorded a 56.6 percent growth in annual sales in 2020, which has experienced double-digit growth in the two consecutive years following, with 2023 likely to be similar. This growth is supported by government leverage in local research and skilled labour to develop alternative protein spaces.
