Page 34 - FoodFocusThailand No.198 September 2022

SPECIAL REPORT

Thailand, moreover, still has a relatively
large market opportunity for the novel
food, alternative proteins to exploit since
the alternative protein market value is
still proportionally small, occupying just
0.6% of the country’s entire protein
market, whose total value is projected
to hit THB 716 billion in 2022.
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Possibilities of Expansion
into International Markets
Provided the challenges in the domestic
market, a quest for export opportunities
in international markets can be one of
the solutions to drive the sales of
alternative proteins from novel foods
because the international responses to
these products are more palpable than
those of the domestic consumers. This
is reflected in the export value of novel
food, alternative proteins, which has
performed quite impressively in the first
five months of 2022. For instance, the
รููปที่่� 2 ตลาดโปรตีนทางเลือักจากนวัตกรรมอัาหารใหม่ปี 2565 total export of plant-based alternative
Figure 2 The 2022 Alternative Protein from Novel Food Market proteins reached USD 628.7 million
(THB 22.5 billion), expanding by 13.5%
2) Higher risks from the rise in manufacturing costs YoY, mainly thanks to the potential
The main raw materials for alternative protein production in Thailand markets such as the USA, China, Japan, and ASEAN countries.
are soybeans, which make up a large proportion of the country’s import. Additionally, the insect-based proteins, whose potential markets
The unfavorable global situation of grains, energy and logistic prices, include EU countries such as the Netherlands, Germany, and
which are projected to persist in the remaining months of 2022, may Belgium , were capped at USD 129.1 million (THB 4.63 billion),
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make the costs soar even higher. In the future, the development of growing by 25% YoY.
alternative raw materials may play a more prominent role, and the That said, exporting to international markets may entail additional
decision to choose a raw material must take into consideration the costs, tougher competition with local products in destination countries,
upstream factors in the supply chain, such as sufficient sustainable and challenges of how to increase consumption turnover as alternative
production systems, and the distinctive characteristics of local raw protein sources, especially frozen and chilled foods, usually have
materials, which can help ensure the distinctive and unique property of longer shelf life. Therefore, thorough and comprehensive research
alternative proteins. on market opportunities, along with an emphasis on the unique
characteristics of the products, such as Thai recipes, plant-based
Growth Opportunities for Alternative Proteins from seafood, environmentally friendly production systems, and integration
Novel Foods of captivating stories aimed at capturing target consumer’s attention,
According to Kasikorn Research Center, without the ongoing economic will remain the key factors that can attain the uniqueness of the
challenges, rising costs of living, and spiking, inflation-driven production business.
costs, the alternative proteins from novel foods would be expected to
grow by 7% YoY. However, these hindrances, ranging from limited
purchasing power and bloating inflation, do exist. The value of the novel More Information Service Info C002
food, alternative protein market may, therefore, only reach THB 4.1
billion, expanding around 5.1% YoY, which will be mainly due to price
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increase (by 8.2%). In spite of such prospects, the anticipated growth ข้้อมููลเพิ่่�มูเติ่มู / Additional Information
will still be lower than that of the traditional protein-based foods , 1 อััตราการขยายตัวขอังตลาดโปรตีนทางเลือักที�มาจากนวัตกรรมอัาหารใหม่ขอังตลาด
2
forecasted to improve by 8.8% this year. Meanwhile, the consumption โปรตีนทางเลือักทั�งหมดในไทยที�ส่่วนใหญ่่เป็นโปรตีนจากพืืชและแมลง
of the alternative proteins from novel technology in general may The growth rate of Thailand’s novel food, alternative protein market, which
experience a shrink back (by 3.1%) since consumers may adopt a more mainly consists of plant- and insect-based proteins
cautious approach toward their expenses by opting for more typical, 2 ตลาดอัาหารในกล่่มโปรตีนทั�งหมดในไทย ครอับคล่มอัาหารกล่่มโปรตีนประเภท
budget-friendly, and widely available protein choices. Despite these เนื�อัส่ัตว์ อัาหารทะเล ผลิตภัณฑ์์จากนมและไข่
possible issues, the alternative proteins still have the potential to satisfy Thailand’s market for protein-based food products includes proteins from
the target consumer’s needs in terms of health and environmental meat, seafood, eggs and dairy sources.
awareness. Coupled with the serious determination to enter the 3 ผลิตภัณฑ์์จากโปรตีนทางเลือักจากพืืช ครอับคล่มพืิกัดอััตราศุ่ลกากร HS 1109, HS
alternative protein market expressed by many food operators, ranging 2016, HS 3504 ส่่วนผลิตภัณฑ์์จากโปรตีนจากแมลง ครอับคล่มพืิกัดอััตราศุ่ลกากร
from food manufacturers to industry outsiders such as energy and retail HS 0410, HS 02109990, HS 15159099, HS 16029090, HS 19041090
conglomerates, the aforementioned strength may help attract more (แหล่งที�มา: กระทรวงพืาณิชย์)
investment and lead to product development that can better fulfill The HS (Harmonized System) codes for plant-based, alternative proteins are
consumer’s expectations in terms of flavor variety, price competitiveness, HS 1109, HS 2016, HS 3504, and those for the insect-based proteins are
and extensive sales channels. As a result, the alternative protein HS 0410, HS 02109990, HS 15159099, HS 16029090, HS 19041090
consumption is expected to enjoy a potential growth opportunity. (Source: Ministry of Commerce).
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