The United States Meat Market Trends
The United States Meat Market is estimated to hold a value of USD 6.7 Billion as of the year 2020. According to data obtained from the World Bank, it is observed that the growth dynamics associated with the United States Meat Market is estimated to hold a value of roughly -8.5%. This is primarily because the consumption of meat within this country has reduced in the span of the last 5 years. Between 2015 and 2020, the meat market has declined by a value of roughly 1.4% on a yearly basis. The production of meat in meat market is hence declined at a faster rate as compared to the overall economy surrounding this sector.
One of the key reasons for the reduced demand in products based on meat is rising awareness with respect to environmental conservation. The varying consumer behavior is one of the main factors for the decline in growth rate. Moreover, due to the pandemic, the amount of products based on meat has reduced rapidly on a global scale. People are rapidly shifting towards plant-based meat substitutes as a source of protein. The growth of the meat substitutes market and animal meat segment is inversely proportional. Consumers have been adopting substances like Tofu, Tempeh, and Seitan in their diets.
The United States based meat Market declined at a faster rate as compared to the overall retail-based trade. The United States Meat industry is the 54th ranked Retail Trade segment by market size and the 565th largest in the US. One of the primary factors that drive the growth of the meat market is the per capita meat consumption. The high protein content within meat is one of the key factors that drive the growth associated with this market. Additionally, the low cost associated with the poultry segment is another factor that propels the growth of this sector.
The United States based meat Market- Opportunities for growth
Beef and Pork are the largest industrial segments within the meat sector for the U.S economy. The revenue stream of the operators is driven by the cost associated with the red meat. The higher prices associated with red meat translates to increased industry revenue. As of 2020, there are roughly 5,443 Meat, Beef, and Poultry Processing businesses in the US.
The South-East region of the United States accounts for the largest number of meat-based businesses. Some of the states with the maximum number of meat processing business units include Alabama, Alaska, and Arizona. The overall market linked to the meat processing sector is expected to decline by a value of 1.2%. Between the years 2015 and 2020, the number of animal-based meat businesses has reduced by a value of 0.2% every year.
The data for the trade and growth segments has been studied using Global Market Database. It is a cloud-based market research platform that provides information across 600 different markets and 12 different industries. The information provided by the domain is updated every quarter. Therefore, the market research reports available via this platform are highly robust and accurate. The cost optimum platform is updated via the DMD technology which studies the change in market dynamics and trends associated with the market.
Fish and Seafoods Market
The fish and seafood segment is another important vertical that contributes to the meat industry. As of 2020, the United States has roughly 4253 Fish as well as Sea Food Businesses. The number of businesses in this market is expected to decline by a value of 3.4%. During the last 5 years, the industry declined by a value of 1.1% on a yearly basis. Most of the companies within this segment account for a market size of less than 5% individually.
The United States meat Market- Key companies
One of the companies with the largest market share includes JBS USA Holdings. It is an American food processing company that generated a revenue of roughly USD 2.8 Billion in the year 2017. The company is headquartered in Colorado. The enterprise has roughly 7800 employees. Some of the key subsidiaries of this organization include Primo Foods, Jbs US Holding LLC, Imperial Wagyu Beef LLC, Cargill, and Grass Run Farm, Inc. The company generated sales of USD 50 Billion in the year 2017. On making a trade-based analysis, it is seen that JBS USA Holdings accounts for handling approximately one-third of all beef and small stock shipments to the region. Imported Beef and Lamb accounts for 10% and 50% of the North American market share respectively.
Owing to the pandemic the company has increased its health screening facilities by a value of roughly 100%. JBS USA Holdings has been employing a staggered shift-based staff distribution to maintain social distancing amongst its workforce. The increased sanitation and disinfection efforts are anticipated to drive the growth of the company.