Alternative Proteins to Play a Major Role in Reducing Global Greenhouse Gas Emissions
Source: The DairyNews
A new report by Boston Consulting Group (BCG), The Good Food Institute (GFI), and Synthesis Capital highlights a significant opportunity for alternative proteins to play a major role in reducing global greenhouse gas emissions.
According to the report titled "What the Alternative Protein Industry Can Learn from EV Companies," expanding the share of alternative proteins to half of the global protein market could cut agriculture and land use emissions by nearly one-third by 2050. This shift could mitigate 5 gigatons of CO2 equivalents annually—equivalent to removing half of all gas-fueled cars from the road.
Despite these potential environmental benefits, the alternative protein sector has not seen growth comparable to the electric vehicle (EV) industry, which soared from 0.2% of new car sales in 2012 to 18% in 2023. In contrast, plant-based meat has stagnated at around 1% of total U.S. meat sales over the past five years. The report suggests that this slow growth may be due to the significantly lower levels of government support for alternative proteins—$635 million in 2022—compared to the $40 billion in direct purchase subsidies for electric vehicles in the same year.
Elfrun von Koeller, BCG partner and managing director, emphasized the critical need for widespread adoption of alternative proteins to achieve climate goals. The report advises the industry to draw lessons from the EV sector, which overcame early adoption hurdles through robust private and public sector collaboration.
Emma Ignaszewski of GFI remarked on the straightforward swap offered by electric vehicles—a similar swap that alternative proteins could provide, offering familiar food products with far lower emissions. She stressed the necessity for substantial public investment to allow alternative proteins to compete on taste and price.
Rosie Wardle of Synthesis Capital highlighted the growing governmental support for the sector, recognizing its potential to meet climate commitments, enhance food security, and stimulate economic growth. She called for increased backing to realize these outcomes fully.
Despite these potential environmental benefits, the alternative protein sector has not seen growth comparable to the electric vehicle (EV) industry, which soared from 0.2% of new car sales in 2012 to 18% in 2023. In contrast, plant-based meat has stagnated at around 1% of total U.S. meat sales over the past five years. The report suggests that this slow growth may be due to the significantly lower levels of government support for alternative proteins—$635 million in 2022—compared to the $40 billion in direct purchase subsidies for electric vehicles in the same year.
Elfrun von Koeller, BCG partner and managing director, emphasized the critical need for widespread adoption of alternative proteins to achieve climate goals. The report advises the industry to draw lessons from the EV sector, which overcame early adoption hurdles through robust private and public sector collaboration.
Emma Ignaszewski of GFI remarked on the straightforward swap offered by electric vehicles—a similar swap that alternative proteins could provide, offering familiar food products with far lower emissions. She stressed the necessity for substantial public investment to allow alternative proteins to compete on taste and price.
Rosie Wardle of Synthesis Capital highlighted the growing governmental support for the sector, recognizing its potential to meet climate commitments, enhance food security, and stimulate economic growth. She called for increased backing to realize these outcomes fully.
