The global beef market size is expected to reach USD 383.5 billion by 2025, according to a new report by Grand View Research, Inc., exhibiting a 3.1% CAGR during the forecast period. Growing awareness regarding beef as a major source of protein is expected to drive the market.
Beef and veal have higher protein content compared to chicken, pork, turkey, and lamb. Surging awareness associated with consumption of protein through high nutritional food is gaining importance among people. Meat eaters in U.S. prefer beef over other meats owing to various diseases associated with poultry and pork. These factors have been aiding market growth.
High demand from China, supported by increasing disposable income, is also anticipated to drive beef consumption over the forecast period. Favorable government initiatives pertaining to the food industry will remain an important growth factor. Recently, the government of China lifted the ban on Australian chilled and frozen food. It is expected that the government will also lift the Brazilian imports ban over the coming years. However, health hazards associated with consumption of meat and higher prices of beef compared to other forms of meat can critically impact market growth.
U.S. is one of the largest producers of beef in the global market. In the last six years, the country has seen significant imports of chilled grass beef. Demand from restaurant chains such as Burger King and McDonald’s is also expected to contribute to the growth of the U.S. market.
Rise in Islamic population will trigger demand for halal beef over the forecast period. Limited supply of cattle in certain countries can lead to increase in product prices, creating imbalance in the value chain. Safety and quality benefits associated with kosher beef will trigger demand in the North America region. Enhancement in slaughtering techniques and improvement in animal feed technology are projected to create opportunities for various market participants in the value chain.
Further key findings from the report suggest:
- The other cuts segment dominated the global market with a revenue share of 54.7% in 2017, mainly due to increasing demand for ribs, round, chuck, plate, and flank
- Loin cut is expected to be the fastest growing segment, registering a CAGR of 3.5% from 2017 to 2025
- In terms of volume, the halal slaughter method is projected to expand at a CAGR of 2.7% over the forecast period
- In terms of volume, North America is projected to witness a steady CAGR of 2.5% over the forecast period. Awareness associated with grass-fed beef is anticipated to contribute to market growth
- Some of the key companies in the market are Tyson Foods, Inc.; Danish Crown; Cargil, Incorporated; Marfrig Global Foods S.A.; and NH Foods Ltd.