As the alternative meat market grows rapidly due to the spread of vegetarianism following animal protection and environmental protection, many companies, from large corporations to start-ups, are jumping into the alternative meat market.
However, as the size of the alternative meat market grows, the livestock industry is bound to shrink, so the conflict with the livestock industry over the labeling of alternative meat is expected to intensify.
According to the food industry on the 8th, as the alternative meat market draws attention as a future industry, investors are also paying attention to start-ups that conduct related businesses.
First of all, Earthin Company is considered one of the leading companies in the domestic alternative meat market, which is still in its infancy. They are making substitute meat using vegetable protein extracted from soybeans.
Established in 2017, Earthin Company started a business that makes and sells processed foods using inventory of vegetables and fruits that were not sold due to poor marketability in the first place. Since then, in 2019, it has established itself as an alternative meat company by launching 'Unlimit', a vegetable meat brand made from soybeans and brown rice.
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Space F, a cultured meat startup, is also getting attention.
Cultured meat refers to meat substitutes that have the same components as regular meat, such as muscle and fat, by culturing animal cells. Unlike vegetable substitute meat, it is expected to reduce the difference with real meat because it cultivates actual meat cells.
Founded in 2020, Space F holds technologies and patents for muscle stem cell isolation and culture and muscle tissue formation. In March of last year, it developed and introduced a cultured pork prototype for the first time in Korea.
In August of last year, it succeeded in attracting 7 billion won of Series A investment and was recognized for its potential.
In particular, it is promoting the introduction and commercialization of facilities for mass production of cultured meat in cooperation with food companies.
An official from Space F said, “We plan to focus on technology development for mass production of cultured meat this year,” and “we are considering attracting additional investment.”
Substitute meat is free from animal welfare issues because there is no slaughtering, and it is expected to contribute to environmental protection as it can reduce greenhouse gases emitted in the process of raising livestock. According to the Food and Agriculture Organization of the United Nations (FAO), greenhouse gas emissions from livestock in the world amount to 14.5% of total emissions.
It is expected that the size of the alternative meat market, which contributes to both animal protection and environmental protection, will grow even more amid the global ESG (environmental, social, and governance) craze.
Global market research firm Statista predicted that the global market for alternative meat will reach $30.92 billion (about 37 trillion won) in 2026. Compared to the size of the alternative meat market (approximately $13.3 billion) as of 2020, it more than doubles in six years.
Therefore, the alternative meat market is attracting attention as one of the future industries. It was also investigated that 67.61 TP3T of the MZ generation, who value consumption, thought that alternative meat should be consumed for environmental preservation.
However, as the growth of the alternative meat market accelerates, conflicts with the livestock industry are growing. The livestock industry is taking issue with the expression 'alternative sports'.
The Korean Beef Fund Management Committee, composed of Korean cattle farmers, argued in a press release on the 8th that “substitute meat made of vegetable protein cannot replace meat because it has a different nutritional composition from meat of animal protein, and it should be called a substitute food, not a substitute meat.”
In addition, it added that there is little evidence that it will help reduce carbon as more fossil fuel energy is consumed in the process of producing substitute meat in factories.
Min Gyeong-cheon, chairman of the Korean Beef Fund, said, "The government and companies' projects to foster alternative meat are tantamount to shaking the foundation of the livestock industry."
As the growth of the alternative meat market is likely to lead to a contraction in the livestock industry, the conflict over this is expected to continue for a while.
Global consulting company ATKerney also predicted that the share of alternative meat among all meat consumed in the world would increase from 1 to 21 TP3T to 601 TP3T by 2040. It goes beyond meat consumption.
An official from the Ministry of Food and Drug Safety said in a phone call with Business Post, “We are reviewing measures related to the definition, name, and classification of alternative sports meat,” and “it is not yet known when the results will be released.”
