Meticulous Research® has released a report titled “Fungal Protein Market by Type (Fusarium Venenatum Extract, Mushrooms, Yeast Extract), Application (Food & Beverage, Animal Nutrition, Pharmaceuticals, and Other Applications), and Geography – Global Forecast to 2029.” The global fungal protein market is projected to reach $397.5 million by 2029, with a CAGR of 7.6% from 2023 to 2029. In volume terms, the market is expected to hit 23,185 tons by 2029, growing at a CAGR of 6.2%.
The growth of the fungal protein market is driven by increasing demand for allergen-free foods, the rising consumption of processed foods, and a growing interest in meat substitutes. However, undefined regulatory guidelines are anticipated to restrain market growth.
The market is segmented by type, including Fusarium venenatum extract, mushrooms, and yeast extract. The yeast extract segment is expected to register the highest CAGR during the forecast period due to its rising adoption in the processed foods industry, especially in emerging economies in Asia-Pacific and the Middle East & Africa. Nutritional protein from yeast extract can be used to create a wide variety of value-added products for both human and animal nutrition.
In terms of application, the food and beverage segment is expected to dominate the market in 2023, attributed to the growing food and beverage industry and increasing acceptance of fungal protein for its cholesterol-lowering and satiety benefits. The demand for meat-substitute products further drives growth in this sector.
Geographically, North America is expected to hold the largest share of the market in 2023. Factors contributing to this include a preference for high-quality ingredients, an abundance of raw materials, a growing vegan culture, and an increasing number of health-conscious consumers seeking alternative protein sources.