Tofu Market - Growth, Trends, COVID-19 Impact, and Forecasts (2022 - 2027)
The global tofu market is projected to grow at a CAGR of 5.1% during the forecast period (2021-2026).
The demand for plant-based protein products has seen to increase since the onset of the COVID-19 pandemic. With the disrupted supply and access to meat products, many people had to move to soy-based products for their protein requirements. The demand for tofu was boosted during the COVID-19 pandemic as tofu is high in protein as well as a good source of vitamins and minerals. However, the sudden rise in demand led to an increase in the prices of Tofu across the economies.
The market is driven by increasing preference for plant-based products with a shift among consumers toward a vegan or a plant-based diet. Also, the rich nutritive profile of tofu is fueling the market demand, globally.
The major challenge faced by the market is the availability of substitute products and high perishability rate of tofu and tofu-based products.
Companies, such as House Food Group, are offering a broad portfolio of tofu products to lure consumers, such as premium category tofu, DHA omega-3 enriched tofu, vacuum pack, tofu cutlet, and so on.
Shifting consumer interest from animal to plant-based products is majorly increasing because of people's rising concern about animal welfare, personal health, and most importantly, sustainability. The intake of animal protein is associated with high cholesterol levels, fat, and calories, which increase the risk of cardiac disease, high blood sugar levels, and obesity; hence, people are showing an inclination toward the vegan source of protein. This has created a good platform for the tofu market growth. Moreover, young consumers are seeking an alternative for red meat, but at the same time they are not ready to give up protein; thus, they are switching to plant protein products, such as tofu, which is boosting the tofu market, globally.
The Asia-Pacific dominated the global tofu market in terms of revenue with China leads the market specifically, due to shifting lifestyle patterns towards veganism. The major contributing countries in the Asia-Pacific region are China, Japan, South Korea, Vietnam, and Indonesia. China is one of the fastest-growing market for soybean and is anticipated to be a major exporter as well. This will ultimately affect the growth market for tofu and tofu-based products. Also, emerging nations including the Philippines, and Thailand, has huge opportunities in the global tofu market due to their high nutritional benefits. For instance, tofu is currently being used in various stir-fries, stews, soup, and fried dishes as a great product to use as a meat replacement due to its meaty texture and high protein content, proving to be a positive factor for the growth of tofu market.
The global tofu market is highly competitive with a large number of international and regional vendors. Some of the major key players in the tofu market include House Foods Group, Morinaga & Company, Keystone Natural Holdings , the Tofoo Company, Pulmuone Co., Ltd., and Vitasoy International Holdings Limited, amongst others. Key market players are investing in expanding product offerings with the launch of new products as well as entering the new and untapped markets with their popular products in order to strengthen their market position. The players are also investing to expand their production capacity with a view to cater for the ever-increasing demand from established as well as emerging markets.