Dublin, July 16, 2024 (GLOBE NEWSWIRE) -- The "Organic Beef Market - Global Industry Analysis, Size, Share, Growth, Trends, and Forecast 2031 - By Product, Technology, Grade, Application, End-user, Region: (North America, Europe, Asia Pacific, Latin America and Middle East and Africa)" report has been added to ResearchAndMarkets.com's offering.
The global organic beef market is poised for substantial growth, with projections indicating a market value of $18.79 billion in 2024, surging to $31.28 billion by 2031, driven by a robust CAGR of 7.5%.
This expansion is fueled by the rising consumption of organic products worldwide, as an increasing number of health and environment-conscious individuals boost the demand for organic beef products. Consumers are shifting their preferences towards organically grown beef meat, motivated by heightened awareness of the health benefits and environmental advantages of organic foods. Furthermore, the easy availability of organic beef through retail chains is anticipated to significantly propel global market sales.
Product Variation Boosting Sales
Changes in consumer lifestyles and the increasing number of working populations have led to a surge in the sales of convenience foods. Organic beef manufacturers are capitalizing on this trend by offering more ready-to-eat products to expand their consumer base. Key players in the organic beef production sector are diversifying their product portfolios by offering processed products such as ground beef, patties, chucks, and steak beef. Additionally, organic beef providers are catering to health-conscious consumers by including meal options featuring organic beef. The increased presence of organic beef products on e-commerce platforms also contributes to rising demand.
Hospitality Sector Driving Growth
The growing awareness of healthy lifestyles and clean eating has positively impacted the market for organic food. As a result, food service providers such as restaurants and quick-service restaurants (QSRs) are incorporating organic foods into their offerings to attract more customers and boost sales. The ease of marketing organic food has enabled restaurants to adopt the organic trend, drawing customers towards farm-fresh food that offers health benefits and is free from pesticides. Organic food is also considered more appetizing than conventional food, further driving the incorporation of organic options in restaurant menus.
Demand for Product Transparency and Traceability
Consumers' desire to understand the origins and production processes of their food has increased significantly in recent years. This demand for product transparency is high, with consumers tracing the journey and nature of their food. The emphasis on food safety issues has raised awareness of potential safety risks associated with food consumption. With meat product contamination being a common issue, there is an increased demand for transparency in organic meat, such as organic beef. Regulatory labeling and traceability are becoming more important as consumers seek assurance that livestock is raised according to recommended norms.
Government Support for Organic Food Products
Government initiatives are increasingly encouraging the production and consumption of organic products to reduce environmental degradation. Several programs, such as the Cattleman's Financial Corporation in Canada, provide financial assistance for the feeder and breeding of livestock, acknowledging the higher costs associated with organic cattle feed. Increased government support and encouragement for organic food products present opportunities for existing manufacturers to expand and increase the penetration of organic products like organic beef, along with enhanced export opportunities.
Challenges in Organic Beef Production
Despite the growing market, organic beef production faces challenges due to stringent guidelines. According to USDA regulations, animals used for producing organic meat must be raised using organic management practices and separated from conventional livestock. The use of antibiotics and growth-enhancing hormones is prohibited. These regulations, coupled with lower production efficiency, increased labor costs, and higher production and marketing expenses, result in reduced profit margins for manufacturers. Organic beef producers must choose between grain-fed or grass-fed organic systems, both of which come with added costs and risks.
Regional Market Insights
North America and Europe are expected to hold prominent market value shares in the global organic beef market. European consumers prioritize health and wellness, leading to increased consumption of chemical-free and organic food products. Beef is a key meat product in Europe, further driving the consumption rate of organic beef. North America also exhibits a leading market share, attributed to the higher number of organic beef manufacturers and the increasing adoption of organic meat products by consumers. The millennial consumer base in the region is particularly demanding high-protein and healthy food products.
Segment Growth Insights
By type, processed meat is expected to show the highest market value share in the global organic beef market. The higher consumption pattern of processed meat among consumers through various food service channels is a key contributing factor. Ground beef is projected to witness the highest CAGR among processed meat sub-segments, owing to its higher utilization in processed food products.
Distribution Channel Insights
Among business-to-consumer segments, online retailers and independent retailers are expected to exhibit beneficial growth rates in the global organic beef market. The presence of products on online sales channels makes it convenient for both manufacturers and consumers to purchase and sell products, driving market growth.
Competitive Landscape
Manufacturers are increasing the presence of organic beef products on online retail channels to meet consumer demand. They are also keen on catering to the growing health-conscious consumer base, which is increasingly adopting organic products, including organic beef. For instance, Blackwood Valley has partnered with various suppliers and distributors to reach a wider customer base. Neat Meat has designed recyclable packaging for its HARMONY brand to attract environmentally conscious customers. Mangapiri Downs Organicstud Farm introduced a new Ram Catalogue to attract customers seeking affordable organic beef.
Organic Beef Industry Insights by Category
By Beef Type:
- Fresh Meat
- Processed Meat
- Ground Beef
- Steak Beef
- Chucks
- Patty
- Others
By Distribution Channel:
- Business to Business
- Business to Consumer
- Hypermarket/Supermarket
- Convenience Store
- Specialty Store
- Online Retail
- Other Retail Channels
By Region:
- North America
- Latin America
- Europe
- South Asia & Pacific
- East Asia
- Middle East & Africa
A selection of companies mentioned in this report includes, but is not limited to:
- JBS Global
- Danish Crown
- Tyson Foods Inc.
- Meyer Natural Foods
- Perdue Farms
- OBE Organic
- Australian Organic Meats Group Pty. Ltd.
- Eversfield Organic Ltd.
- Verde Farms, LLC
- Blackwood Valley Beef
- Arcadian Organic & Natural Meat Co. Pty. Ltd.
For more information about this report visit https://www.researchandmarkets.com/r/j9wttg
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