Plant-Based Market: navigating potato costs & vegan demand [67th Edition of the PLANT-BASED Newsletter]

Author
Foodcom Experts
18.10.2024
7 min reading
Plant-Based Market: navigating potato costs & vegan demand [67th Edition of the PLANT-BASED Newsletter]
Summary
Table of contents
  • Organic potato flakes: Limited supply due to low yields and strict certification requirements.
  • Protein from broad beans: Gaining popularity due to neutral taste and sustainable production, ideal for athletes and environmentally conscious consumers.
  • Chia seed market: Dynamic growth, use in both food products and cosmetics.
  • Global agricultural market developments: Drought in Brazil affects sugarcane production and EU wheat exports fall by 29%.

Welcome to Partners!

Welcome back to our newsletter!

The market for plant products is experiencing significant growth. Organic potato flakes are in limited supply due to low yields and strict certification requirements. Fava bean protein is gaining popularity due to its neutral taste and sustainable production, appealing to athletes and environmentally conscious consumers. The market for chia seeds is growing rapidly, with increased use in both food and cosmetics. Pumpkin seeds are in greater demand for plant-based milk and keto products. In addition, global changes are affecting the sugar, maize and wheat markets, with Ukraine, Brazil and the EU seeing significant changes in production and exports.

Let’s see what else has happened recently in the plant-based products market!

Organic Potato Flakes

The availability of organic potato flakes on the market is limited due to the shortage of potatoes from certified organic crops, which are essential for their production. Although August and September are the key harvest months, the amount of available raw material is still insufficient, mainly due to the lower productivity of organic crops and the stringent certification requirements. Producers are taking steps towards a circular economy by processing leftover potatoes into biofuels and animal feed, but the problem of limited availability of organic raw material remains a challenge.

Fava Bean Protein

As of October 2024, the global market for broad bean protein is showing steady growth, driven by increasing demand for plant-based proteins, especially among athletes and those seeking natural protein sources. Its neutral flavour means it does not require sweeteners or flavourings, which sets it apart from other plant proteins such as soya or peas. It is valued for its low glycaemic index, making it suitable for people with diabetes and those concerned about stable blood sugar levels. The protein is used in energy bars, protein drinks and plant-based products that imitate meat. There is also growing interest in it because of its sustainable production with low environmental impact, attracting environmentally conscious consumers.

Chia Seeds

The chia seed market is growing rapidly, reaching €3.67 billion in 2023, with a projected increase to €5.83 billion by 2033. In response to reduced supply from Paraguay and Argentina due to droughts, new countries such as India and Kenya are expanding chia cultivation, which may influence the stabilisation of supply in the coming years. Interestingly, chia is increasingly appearing not only in food products, but also in cosmetics, thanks to its moisturising and skin-regenerating properties. In North American and European markets, chia seeds have gained popularity in the production of plant-based beverages and innovative snacks such as chia pudding and energy bars, which are conquering the health food sector.

Pumpkin Seeds

The pumpkin seed market reached €2.63 billion in 2024 and is expected to grow to €4.23 billion by 2028. China leads the market, accounting for 40% of global pumpkin seed production, but Eastern Europe, especially Poland and Hungary, is rapidly catching up with the introduction of new varieties with higher protein and unsaturated fat content. Pumpkin seeds are gaining popularity in the health food sector, mainly due to their richness in zinc, magnesium and healthy fats. What is new is the increase in demand for vegetable milk made from pumpkin seeds, which is distinguished by its delicate taste and high protein content. There is also growing interest in the use of pumpkin seeds in ketogenic diets, which is driving the development of innovative products such as pumpkin-based keto-snacks.

What else?

Sugar production in Ukraine to reach 1.7-1.8 million tonnes

The Ukrainian sugar industry is expected to produce between 1.7 and 1.8 million tonnes in the 2024 season, slightly exceeding previous forecasts. This increase is due to favourable weather conditions and improved yields across the country. Despite challenges, such as geopolitical tensions affecting agricultural exports, Ukraine remains a key player in sugar production in the region, providing a stable supply for both domestic and international markets.

Maize prices rise amid positive market sentiment

Maize prices have been ‘in the green’ since Wednesday, 16 October 2024, signalling optimism in the agricultural market. The positive trends are linked to strong demand and favourable weather in key growing regions. Despite earlier concerns about yields, the outlook has improved, particularly in the major exporting countries. Investors are closely monitoring geopolitical events and global trade disruptions, which could further affect maize prices in the coming months.

Drought in Brazil will affect cane production in 2025/26.

Brazilian sugarcane production is expected to decline in the 2025/26 marketing year due to a severe drought affecting key growing regions. This weather challenge is likely to reduce yields and raise sugar prices globally, as Brazil is the world’s largest exporter of sugar. The drought adds to existing concerns about the impact of climate change on global agriculture, with significant spillover effects expected in the sugar industry.

EU soft wheat exports down 29% this season

The European Union has seen a significant 29% drop in soft wheat exports this season compared to the previous year. This decline is attributed to stronger competition from other global wheat producers , such as Russia and Canada, as well as reduced production in some EU countries due to adverse weather conditions. The slowdown in exports raises concerns about the competitiveness of EU wheat in the global market, particularly in regions that traditionally rely on supplies from Europe.

Learn about “Sunflower Lecithin”
Sunflower Lecithin
1780 EUR
0.56%