Australia Protein Market Size, Share Analysis and Forecast Report 2024-2032

Australia Protein Market Trends

The Australia protein market is recognised for its stringent food safety and quality regulations, ensuring that products like beef and dairy adhere to global standards. Producers focus on sustainable farming methods to appeal to eco-conscious consumers. The market offers a range of options, including meat, dairy, seafood, and plant-based products, with strong export potential providing several Australia protein market opportunities. The Department of Agriculture, Fisheries, and Forestry (DAFF) projects a 2% increase in poultry meat production, valued at USD 3.9 billion by 2024-25, contributing to the growth of the protein sector, as poultry is a nutritious source of protein, vitamins, and minerals.

Continuous investment in research and development drives innovation in production and the creation of new protein alternatives to meet consumer demands. Rising health awareness is increasing the demand for high-protein foods. Australia’s robust supply chain enables efficient distribution, while government support promotes sustainability and competitiveness, fostering a positive environment for growth in the Australia protein industry. According to DAFF, in 2023, cattle numbered 676,592, goats 18,356, and buffalo 6,237, bolstering the protein market, as livestock exports play a significant role in the economy, providing jobs and supporting rural communities.

Australia Protein Market Growth

The Australia protein market is growing as consumer awareness of health and nutrition drives demand for high-protein foods and plant-based alternatives, appealing to those looking for sustainable choices. Producers are implementing ethical farming practices to minimize environmental impact, while advancements in food technology enhance efficiency and product quality, boosting Australia protein market competitiveness. According to the Australian Bureau of Statistics, the percentage of young people meeting physical activity guidelines rose to 5.6% in 2022, more than doubling from 1.9% in 2017–18. This increased awareness of protein's benefits for active lifestyles is influencing consumer purchasing decisions, leading to greater integration of protein in daily meals.

The demand for convenient, ready-to-eat protein-rich foods is increasing as busy consumers look for nutritious meal options. Government backing for sustainable agriculture promotes growth and innovation, while a rising desire for personalised dietary solutions drives the market for customised protein products and tailored meal plans to address specific health needs, enhancing demand in the Australia protein market. In March 2022, CSIRO unveiled a roadmap highlighting a USD 13 billion opportunity for Australia to expand its protein sector. This roadmap, created with input from government and industry, aims to diversify Australia's protein sources.

Australia Protein Market Insights

• The Australian Bureau of Statistics reports that the percentage of adults aged 18-64 meeting physical activity guidelines increased to 22.4% in 2022 from 17.0% in 2017-18, enhancing protein market growth as awareness of protein's benefits for active lifestyles rises.
• In 2022, the Victorian government allocated USD 12 million to establish a glasshouse and incubation hub aimed at supporting the expansion of grain crop industries into the plant-based protein sector.
• In the 2022-23 financial year, Australian egg farmers produced 6.68 billion eggs (557.4 million dozen), enhancing the protein market due to eggs being a complete protein source with all essential amino acids.

Industry News

April 2024

Australian food technology startup Harvest B has introduced a groundbreaking protein blend that is healthier, more cost-effective, and more sustainable than traditional meat products, marking a world first in this category.

April 2024

Integra Foods, the ingredients division of Australian Grain Export (AGE), has launched a faba bean protein facility in Dublin, South Australia. This facility is part of AGE’s USD 20 million vertically integrated value-adding project in the Mid-North region, utilizing sustainable and energy-efficient protein separation methods.

Australia Protein Market Drivers

Technological Advancements

The Australia protein market is expanding thanks to innovations in food technology that enhance production efficiency and product quality. Advances such as precision fermentation, alternative protein extraction, and improved supply chain technologies are creating new protein products, including lab-grown meats and plant-based alternatives. These innovations meet diverse consumer preferences and are essential for ensuring food safety, which is increasingly important to buyers. Companies investing in research and development contribute to Australia protein market revenue. In March 2022, CSIRO launched Australia’s Protein Roadmap, with support from Austrade and industry partners, highlighting an A$13 billion opportunity for technology-driven protein investments.

Plant-Based Protein Growth

The Australia protein market is experiencing significant changes due to the rise of plant-based diets, as more consumers look for meat alternatives for health, ethical, and environmental reasons. This shift drives demand for plant-based proteins like legumes, nuts, seeds, and grains, as well as innovative meat substitutes made from soy, peas, and other plant sources. Brands are increasingly launching products targeted at both flexitarians and vegans, expanding their audience beyond traditional meat consumers. The Australia protein market dynamics and trends are influenced by Australian Plant Proteins (APP), a Victoria-based company that provides a premium plant-based protein powder made from locally sourced pulses and beans. This protein powder is gluten-free, soy-free, allergen-free, GMO-free, and low in fat, making it a versatile choice for use in supplements or as an ingredient in a variety of food and beverage products.

Opportunities in the Australia Protein Market

Convenience and Ready-to-Eat Options

The Australia protein market is experiencing a significant trend toward convenience, as busy consumers increasingly seek ready-to-eat and protein-rich food options. This demand is fueling growth in prepared meals, protein bars, and snacks that offer quick nutrition without sacrificing quality. Manufacturers are responding by innovating and diversifying their product lines to provide convenient solutions that cater to on-the-go lifestyles. Moreover, the rise of e-commerce has made it easier for consumers to access a wide range of protein products, further boosting Australia protein industry growth. This trend reflects a broader shift toward convenience in modern eating habits. In July 2024, Mars Food Australia's brand, MasterFoods, expanded its partnership with ready-to-eat meal company My Muscle Chef, launching three high-protein recipe bases.

Market Restraints

The Australia protein market faces several key restraints. Regulatory challenges, including strict food safety standards, can hinder product development and market entry. Price volatility in raw materials affects profitability, while a shift toward plant-based diets limits demand for traditional meat products. Health concerns regarding high protein consumption also deter some consumers.

Additionally, sustainability pressures require companies to adopt costly practices, and intense competition makes it difficult to maintain Australia protein market share. Supply chain disruptions from events like natural disasters can impact availability and costs. Finally, market fragmentation complicates brand positioning, making it essential for companies to navigate these challenges effectively.

Australia Protein Industry Segmentation

Australia Protein Market Report and Forecast 2024-2032” offers a detailed analysis of the market based on the following segments:

Market Breakup by Ingredient

• • Oats
  • Wheat
  • Millets
  • Others

Market Breakup by Type

• Animal
  • Casein and Caseinates
  • Collagen
  • Egg Protein
  • Gelatin
  • Whey Protein
  • Others
• Plant
  • Hemp Protein
  • Pea Protein
  • Potato Protein
  • Soy Protein
  • Wheat Protein
  • Others
• Microbial
  • Algae Protein
  • Mycoprotein

Market Breakup by End Use

• Animal Feed
• Personal Care and Cosmetics
• Food and Beverages
• Supplements

Market Breakup by Region

• New South Wales
• Victoria
• Queensland
• Australian Capital Territory
• Western Australia
• Others

Australia Protein Market Share

By End Use Analysis

The Australia protein market is growing as protein-rich foods and beverages provide essential nutrients that cater to various dietary preferences, including meat, dairy, legumes, and plant-based options. These offerings allow consumers to conveniently meet their nutritional needs with ready-to-eat meals and snacks. A diverse range of flavours enhances enjoyment, fosters repeat purchases, and supports local economies through sustainable sourcing, contributing to Australia protein industry revenue. In August 2024, Nutrabalance launched a protein-enriched drink aimed at supporting individuals on Glucagon-like peptide-1 (GLP-1) medications for Type 2 diabetes and weight management, featuring a low-sugar formula that easily mixes with water for daily nourishment.

In the Australia protein market, ingredients such as collagen and keratin enhance the health and appearance of personal care products, offering nourishing and anti-ageing benefits. Their incorporation improves formulations, leading to increased consumer satisfaction. Additionally, sustainable sourcing appeals to eco-conscious consumers, boosting brand reputation and protein demand. In March 2024, Hemp Foods Australia launched its first vegan collagen supplement, Plant-Based Collagen+, aimed at hair, skin, and nails to fulfil the growing need for plant-based options. A subsidiary of Elixinol Wellness, the company focuses on hemp products like protein powder and seed oils, featuring a vegan blend named Vollagen to cater to preferences for non-bovine and non-marine collagen.

Australia Protein Market Regional Insight

The Australia protein market is expanding as the government has introduced various initiatives to bolster the sector. These efforts include promoting sustainable agricultural practices that boost productivity while reducing environmental impact, alongside supporting research and development for sustainable protein sources. The Australia protein industry growth is being impacted as the Department of Industry’s Modern Manufacturing Initiative has specifically prioritized alternative proteins for manufacturing.

In March 2022, the Federal Government allocated $113 million to plant protein processing facilities in South Australia as part of the AU$1.3 billion Modern Manufacturing Initiative fund. Additionally, the South Australian state government announced an extra investment of AU$65 million.

In 2021, the Clean Energy Finance Corporation (CEFC) provided USD 5 million to the local startup All G Foods. That same year, the Advanced Manufacturing Growth Center Commercialization Fund awarded USD 1 million to Harvest B, a company focused on commercializing plant-based meat products.

Competitive Landscape

Australia protein market key players cater to various sectors, including food, nutrition, and pharmaceuticals. These companies utilise their vast expertise and international reach to address the changing needs of customers, prioritizing quality, safety, and environmental sustainability in their operations.

Key Industry Players

Archer Daniels Midland Company: Founded in 1902, it is a global leader in agricultural processing and food ingredient production. Headquartered in Chicago, Illinois, ADM specializes in transforming crops into essential products, including protein and nutrition solutions for various industries.

Gelita AG: Established in 1875, it is a leading global supplier of collagen-based products. Headquartered in Eberbach, Germany, the company focuses on high-quality gelatins and collagen peptides for food, health, and pharmaceutical applications, emphasizing innovation and sustainability in its manufacturing processes.

Cargill Incorporated: Founded in 1865, it is a multinational corporation headquartered in Minneapolis, Minnesota. It operates in various sectors, including agriculture, food production, and nutrition. It is known for its extensive supply chain and commitment to sustainability, providing innovative protein solutions globally.

Fonterra Co-operative Group Limited: Established in 2001, it is a New Zealand-based dairy cooperative headquartered in Auckland. It is one of the world’s largest exporters of dairy products, focusing on sustainability, innovation, and providing high-quality dairy nutrition to consumers and businesses worldwide.

Other key players in the Australia protein market report include Australian Plant Proteins Pty Ltd., Glanbia Plc, Noumi Limited, Lactalis Ingredients, Axiom Foods, Inc., and Saputo Inc. among others.

Recent Developments

September 2023

Australian natural dip brand Tahini Neri launched two new protein dips in over 500 Coles stores across the country. The new products, Classic Hummus + Protein and Red Tomato Hummus + Protein became available alongside the brand's existing core range of dips.

October 2022

Vow opened the largest cultivated meat facility in the southern hemisphere in Alexandria, Sydney. The Vow Factory 1 was designed to produce up to 30 tonnes of cultivated meat annually, highlighting the company's dedication to alternative protein solutions.