Grass-fed Beef Market Makes a Strong Case for Clean Labels and Leaner Steaks Inciting Global Demand

The latest research report by Fairfield Market Research on the global grass-fed beef market suggests that the market will be worth US$13,369.4 Mn, surging at a CAGR of 4.4% by 2025. The demand for grass-fed beef comes as the awareness about consumption clean meat grows amongst consumers. Access to accurate information about livestock being raised on antibiotics for marbling effect has raised alarms about its impact on the environment and human health. In light of this, the global market for grass-fed beef is expected to witness lucrative opportunities in the coming years.

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Health Awareness to Remain Key Reasons for Escalating Demand for Grass-fed Beef
Rearing livestock with excessive use of antibiotics has been identified as the pre-cursor for myriad health issues for humans and cattle. Use of growth hormones and antibiotics over the years has not only impacted cattle health by making them resistant to bacteria, eventually leading to serious illnesses in humans. Thus, in recent years, there has been a radical change in consumption pattern, titling towards eating cleaner meat products.

Bigger Shelf Space to Cleaner Labels and Improved Restaurant Menus to Drive Demand for Grass-fed Beef
Mushrooming restaurants and retail stores have given the global grass-fed market a significant boost. Retail stores, centred around the idea of selling clean food products, have been proactively given grass-fed beef significant shelf space. The efforts of selling directly to consumers are expected to fetch the market a sizeable contribution to its revenue. Contracts with farmers to package and sell meat through retail channels has also favoured market growth. Meanwhile, restaurants have also had their share in the growing popularity of grass-fed beef. Addition of gourmet meals that are promoted as healthy options when compared to conventional meat has given the market a growth avenue.

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Long Gestation Period of Livestock Rearing to Act as an Impediment
The inherently time-consuming nature of rearing cattle has been a hurdle to the global grass-fed beef market. It takes about two years to raise a full-grown animal that can be slaughtered for consumption purposes. This demands dedication not just in terms of time but also resources. Grazing cattle on high-quality grasslands means adhering to right kind of farming and rotational grazing. Laborious nature of producing grass-fed beef is thus expected to act as a restraint for the global market. However, to overcome the chasm between demand and supply large scale manufacturing are undertaking contract farming.

North America to Dominate as Beef Remains Integral to Staple Diet
According to Fairfield Market Research, North America is expected to dominate the global grass-fed beef market. This regional market is expected to register a CAGR of 5% between the forecast years of 2019 and 2025. The region has a higher demand for hormone and antibiotic-free meat as awareness levels of health benefits of grass-fed beef are definitely more than other regional markets. Analysts note that the demand for processed meat in the region is likely to push the demand for grass-fed beef, as consuming ready-to-eat packaged food becomes a norm.

Players Look at Entering Long-term Contracts with Farmers to Ensure Quality Supply
The global grass-fed beef market has a fragmented competitive landscape. Majority of the livestock is owned by farmers due to their dominance over grazing lands. Citing its high potential amongst consumers and a younger demographic, players are capitalizing on the opportunity by entering into long-term contracts with players to ensure a steady and a high-quality supply of meat.

The key players studied in this market are Conagra Brands, Inc, Hormel Foods Corporation, Pre Brands LLC, Perdue Farms, Inc, JBS SA, Teys Australia Pty Ltd, Australian Agricultural Company Limited, Meyer Natural Food, Verde Farms and The Asian New Zealand Meat Company (ANZCO).

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