Chickpea Protein Ingredients Market Analysis

Chickpea Protein Ingredients Market (Global, 2024)

Introduction

- The chickpea market is experiencing a notable transformation. The growth of the chickpea market is mainly driven by the increasing demand for plant-based foods and the growing awareness of the health and environmental risks associated with animal-based foods. As more and more people adopt a vegetarian or even a vegan lifestyle, the versatility and nutritional properties of chickpeas are being recognized by manufacturers and consumers. The wide range of applications, such as snacks, beverages and meat alternatives, also gives the market an added value. Furthermore, the growing trend towards clean label and the emphasis on natural ingredients are also driving the development of new chickpea products, which are increasingly becoming the preferred choice for health-conscious consumers. The market is also influenced by technological advances in the processing of chickpeas, which improve the functionality of chickpeas and make them an attractive ingredient in the formulation of various foods. The market is evolving and becoming increasingly sustainable, in order to ensure that the production of chickpeas is compatible with the environment and at the same time meets the growing demand for healthy and ethical food.

PESTLE Analysis

Political

In 2024, in several countries, governments are increasingly favoring vegetable sources of food, especially chickpeas. For example, the European Union allocates about fifteen billion to sustainable agriculture and the production of vegetable foods. This subsidy, whose aim is to reduce the dependence on animal farming and ensure food security, directly favors the chickpea food industry, both by encouraging farmers to sow more chickpeas and by encouraging industry to invest in production and in processing.

Economic

The interest of the consumers in the plant-based diets has increased the demand for the products of the chickpeas, which has increased the cost of production. In 2024, the average cost of production is estimated to be around $500 per ton, which represents an increase of about 10% compared to the previous year, due to higher input costs and the scarcity of labour. The economic pressure is pushing manufacturers to optimize their supply chains and adopt cost-effective sourcing strategies to maintain their profits and meet the needs of consumers.

Social

In a recent survey, 65% of consumers preferred plant-based foods to animal-based foods. It is a trend especially marked in millennials and Generation Z, who are more likely to adopt a vegetarian or even a vegan diet. The health benefits of chickpeas, such as their high fibre and protein content, are becoming better known.

Technological

The development of food technology is playing an important role in the development of the chickpea ingredient market. In 2024, the introduction of new extraction methods such as enzymatic hydrolysis has increased the yield of chickpeas by up to 30 percent. This technological innovation not only increases the yield of the extraction process, but also improves the nutritional profile of the end product, which is more acceptable to health-conscious consumers and food manufacturers.

Legal

Amongst other things, the regulations relating to food labelling and safety are becoming more and more stringent, particularly in the European Union and North America. In 2024, the European Union has introduced new regulations on the labelling of plant-based food products, including chickpea flour. These regulations stipulate that all products containing chickpea flour must state the percentage of the total amount of the ingredient in question, in order to ensure full transparency for consumers. In order to avoid penalties and ensure that they are allowed to continue to operate on the relevant market, manufacturers must comply with these legal requirements.

Environmental

Compared to other sources of animal protein, the agronomic impact of the cultivation of chickpeas is relatively small. In 2024, research showed that chickpeas require about half as much water as other sources of animal protein, making them a more sustainable alternative in the face of climate change. Moreover, the nitrogen that they fix can be used to replace chemical fertilizers. These two factors, which are becoming more and more appreciated by consumers, are increasing the demand for chickpea-based foods.

Porter's Five Forces

Threat of New Entrants

The Chickpea Protein market is experiencing growth, owing to the rising demand for plant-based proteins. However, the market is dominated by players with strong brand names and distribution networks, which may create barriers to new entrants. Also, the need for specialized processing technology and the need to comply with food safety regulations may deter new entrants.

Bargaining Power of Suppliers

“The supply of chick-peas is relatively abundant, and there are numerous suppliers in the market. Suppliers, therefore, have no bargaining power, and the manufacturers are free to choose the most advantageous supplier. The only problem is that the variability of agricultural production, which is affected by climatic conditions, may have a significant effect on the stability of the supply.

Bargaining Power of Buyers

The market for chickpea ingredients is a highly concentrated one, and the buyers, namely food manufacturers and consumers concerned with their health, have considerable power to influence the price. As a result of the growing availability of other sources of vegetable protein, buyers can easily switch to other plant-based ingredients if prices rise or quality declines. Suppliers are thus under constant pressure to maintain a keen price and high quality.

Threat of Substitutes

The threat of substitutes is high in the chickpea-based food market. There are many alternative sources of protein, such as soy, pea and rice. Competition on the basis of price, functionality and nutritional value makes it essential for suppliers of chickpea-based products to differentiate their products in order to retain their market share.

Competitive Rivalry

The competition in the glycine betaine market is moderate, with a few established players and new entrants fighting for market share. The market is growing, but the presence of many competitors can lead to price competition and increased marketing. Companies must continue to develop their products to stand out in the market.

SWOT Analysis

Strengths

• High nutritional value, rich in protein and fiber.
• Growing consumer preference for plant-based diets.
• Sustainable and environmentally friendly sourcing.
• Versatile ingredient used in various food products.

Weaknesses

• Limited awareness among consumers compared to other protein sources.
• Potential allergenicity for some individuals.
• Higher production costs compared to traditional protein sources.
• Variability in quality and supply due to agricultural factors.

Opportunities

• Increasing demand for vegan and vegetarian products.
• Expansion into emerging markets with rising health consciousness.
• Innovation in product development, such as protein-enriched snacks.
• Partnerships with food manufacturers to create new formulations.

Threats

• Intense competition from other plant-based protein sources.
• Market volatility due to climate change affecting chickpea crops.
• Regulatory challenges regarding labeling and health claims.
• Economic downturns impacting consumer spending on premium products.

Summary

CHICKPEA PROTEIN INGREDIENTS MARKET - 2024 is a growing market due to its nutritional value, sustainable production, and its association with the growing trend of plant-based diets. However, the lack of awareness of consumers and the high cost of production may hinder the penetration of the market. Opportunities exist for product innovation and expansion into new markets. Threats from competition and external factors may affect the stability of the market. Strategic alliances and marketing efforts will be essential to taking advantage of the strengths and opportunities, and to reducing the weaknesses and threats.