Let’s digest these numbers to get a taste of irony. The ‘UN Food and Agriculture Organization/ Our World in Data’ figures show that two thirds of Indians are meat eaters. This lays to rest the misconception that India is a largely vegetarian nation.
Of course, the country’s meat consumption is much lower than the global average – at less than 4kg per person. Nonetheless, it does underline that Indians love to eat meat. At the same time, a growing number of people are shifting towards faux meat for health or ethical reasons. These plant-based meats are prepared in such a way that their texture, taste and chemical characteristics are similar to conventional meat.
Sairaj Dhond, Founder and CEO of Wakao Foods tells us why this signals a untapped business opportunity for the HoReCa sector.
Do you think Indian consumers are willing to pay a premium for plant-based meat alternatives?
The key consumers for alternative meats are those who are moving towards veganism, vegetarianism, people bored of eating non-vegetarian, or those who want to avoid the guilt of killing an animal.I don’t think they should pay a heavy amount of money when it comes to sourcing plant-based meat. We learned during the lockdown that people will compromise on any other luxury of life but not on food. They are willing to pay for something that is nutritional, clean and a healthy alternative to meat.
It is also a pure myth that plant-based meat alternatives are more expensive than your normal meat. It
is probably costlier than your regular chicken and pork. But when you look at good quality mutton, lamb, turkey and pork, jackfruit meat is definitely a cheaper option; and you get the same texture to make tastier dishes. While it has been around in the West for a while now, faux meat has only recently made its presence felt in India.
Why should the country’s HoReCa segment take this category seriously?
For a while now, I have observed a change in the perception of people in India; they have become more conscious about their dietary choices. Consumers want to eat healthy, but also want to be spoilt for choice while feeling guilt-free.
People have understood that sourcing plant-based meat or faux meat has a positive impact on the environment. This has resulted in a slow, yet steady, surge in the demand for an alternate options to meat. This is just the start, but India will definitely see a growth in the plant-based meat sector as customers seek healthier and guilt-free options with similar taste.
What portion does the alternative meats category currently occupy in India’s meat industry?
Meat constitutes a huge part of the country’s HoReCa segment. India, despite having the highest consumers of vegetarian food, has a high demand for meat from all over the country. The segment is vast and has constantly seen a rise in demand as well.
Alternative meat is less than a fraction of the entire segment currently, probably even less than 5%. It is safe to say that we are only at the tip of the iceberg right now. However, there is a growth potential for this segment as we foresee people moving towards healthier and tastier faux meat options.
So, at what pace is this sector growing y-o-y?
The alternative meat market is fairly new and has only recently started exploring the F&B industry. It is safe to say that until a year ago in India, we did not have any faux meat option. Now, we are at a stage where we have jackfruit, which can be used as a substitute because of its meat-like texture.
Internationally, alternative meats entered the market two to three years ago. Players in this business are still exploring what this sector has to offer, though we do see a positive surge in demand nationally. There are companies in the US that have predicted a CAGR growth at 15.7% from 2020 to 2027.
Which alternative meats are most preferred by the HoReCa segment?
Previously, options like tofu, soya chunks, mushrooms and cottage cheese were some alternatives preferred by this segment. This was because of their soft texture, which could be used as a substitute for meat. However, jackfruit has a chance to stand out from all of them. The most common question people ask is, “How close is it to the real deal?” We believe that jackfruit has the closest resemblance to meat in texture and will gain prominence HoReCa’s faux meat segment.
How financially and logistically viable are alternative meats as compared to the real deal?
It is quite viable as jackfruit is an easily available fruit in India. It can be locally sourced; in fact, it is available in one’s backyard. It is just that no one ever paid attention to it or bothered experimenting with it and ignored its potential.
It is a myth that plant-based meat alternatives are more expensive than normal meat.
The pandemic affected the supply of meat across India. Did faux meat companies use this as an opportunity to nudge customers to try their fare?
The pandemic changed a lot of beliefs. In addition to changes in their physical and immediate environment, it transformed people’s mental state. They realised that we need to move to an alternative source of meat and a more natural source of protein.
Consumers have consciously started opting for a healthier lifestyle, which led to them to seek out alternatives to meat. Like all other companies, faux meat companies also used this opportunity to present their ideas and their products in a more open environment for consumers who are ready to change, who are ready to listen, learn, adapt and embrace the conscious eating method.
R Hemalatha, Director of Indian Council of Medical Research — National Institute of Nutrition said that vegan diets do not satisfy the balanced nutrition requirements and lack the necessary vitamin B12 and amino acids. Hence, she does not recommend it. What is your opinion about this?
Vitamin B12 and D3 deficiency is common for non-vegetarians, vegans and vegetarians, since we live in extremely sanitised environments. Traditional medical sciences lean mainly towards the methodology of post-health disorder treatment.
Currently, the world is moving towards preventive medication and healing, which can only happen through our dietary choices. Medical conditions can occur to anyone; in the end it is all about choosing and adapting a healthier lifestyle.
Medical sciences are researching and finding healthy options to meat, which can provide us with the same nutrients and proteins. For example, soy can be used to make milk and is also a meat substitute. That is why it was the closest alternative up until now. So when people are making dietary and lifestyle changes, one needs to be smart and choose the right option to sustain themselves and derive those nutrients, regardless of whether they are choosing a vegan, vegetarian or non-vegetarian diet.
To put it simply, a balanced diet is essential. World-class athletes have adapted the vegan diet for years now and have been at the top of their game at the same time.
What factors give you confidence about the business potential of alternative meats in India’s hospitality segment?
One thing that I am confident about is that people are ready to experiment. Everyone is constantly looking at trying something new or indulging in unique experiences when it comes to food. The hospitality industry has also opened up to the fact that a lot of people are adopting veganism and becoming more conscious about what they eat. Vegetarians have always been the go-to people when it comes to exploring the variety of food options and simultaneously, this business has observed a huge demand for the same.
I feel that more players in the hospitality business will extend the vegan section in their menu and take pride in providing many vegan options. This will be a unique selling point for them and will also satisfy the consumer demand.
