Tempeh Market

Tempeh Market Outlook (2023 to 2033)

As per the previous tempeh market survey report, the net worth of the market in 2023 is likely to be around USD 4.2 billion. Sales of tempeh are expected to grow at a promising CAGR of 5% and are predicted to reach around USD 6.8 billion by 2033.

Recently, people who have severely cut meat consumption in their diets have shown a preference for meat analogs that taste and look just like meat. Soybeans are consumed by about 16% of the world's population, and many people are working to develop a habit of eating predominantly plant-based foods making a suitable market for tempeh business around the world. Manufacturers of tofu have raised their output by 10% in the last several years, giving way to tempeh market opportunities in recent years.

Attribute	Details
Tempeh Market Size (2023)	USD 4.2 billion
Tempeh Market Projected Size (2033F)	USD 6.8 billion
Value CAGR (2023 to 2033)	5%
Top 3 Countries Market Share	31%

Global Tempeh Market Historical Analysis (2018 to 2022) Vs. Forecast Outlook (2023 to 2033)

In 2020, the COVID-19 pandemic had become a huge disruptor, leading worldwide attention to shift to meat supply and food security. The traditional meat supply market got halted because this epidemic is assumed to have originated in the wet markets of meat and was only aided by crowded processing factories.

Due to these perceived increasing adaptations to the new trends of the consumers, global demand for Tempeh is anticipated to soar impressively in forthcoming years to grow at a CAGR of 5% in contrast to the CAGR of 2.2% between 2018 and 2022.

What are the Driving Factors for the Global Tempeh Market in the Forecast Years?

A sizable portion of the population wishes to either avoid or reduce their meat consumption by becoming vegan or vegetarian or by becoming flexitarians or meat reducers. As a result, high-quality protein sources that also contain other nutritional elements like vitamins and minerals, particularly vitamin B12, are in demand.

Consumers believe that a plant-based diet and tempeh use to promote good health while also being environmentally beneficial, therefore, interest in these products is fast expanding. Plant-based and plant-based proteins unquestionably represent a significant trend that will play out in research, politics, and food systems over the next decade, at the very least. As a result, the demand for plant-based meals like tempeh is not only growing but is also being viewed as a permanent shift in diet, driven by a number of variables and consumer types.

Because tofu is the most similar analog for a meat substitute, additional soy food items such as tempeh are gaining popularity. Foods made from soy, such as tempeh and tofu, provide a wide range of economic benefits, from agricultural to commercial.

Country-wise Insights

Key Markets	Value Share (2022)
United States	11.7%
Germany	4.4%
Japan	4.6%
Australia	2.8%
China	2.7%
India	9.9%
United Kingdom	6.7%

How Rising Demand for Probiotics Driving Tempeh Market Growth in the Asia Pacific?

The fermented and functional food market is a primary driver of the tempeh market's growth. The increased health consciousness among consumers is reflected in a large number of product introductions in the functional food business.

Probiotics are one of the key goods that are propelling the business forward. Furthermore, consumers are always looking for newer and better products on the market that balance their healthy lifestyles while satisfying their decadent cravings.

Tempeh straddles a number of intersecting trends, including the quest for ethically sourced food, traditional foods, probiotics, and savory foods. In terms of probiotic product introductions, Asia Pacific is the most active region, with China, Australia, and South Korea leading the way.

How is the Growing Number of Flexitarians in Australia and New Zealand Impacting the Market?

Both Australia and New Zealand influence each other's food culture because country markets in a particular region tend to take market and demand cues from their neighbors. A few tempeh producers in Australia sell their products to New Zealand. The flexitarian trend is gaining traction in New Zealand, and consumers are increasingly requesting vegan and meat alternative options.

This is a huge chance for Australia to extend its tempeh export base in New Zealand. Due to the presence of a small number of tempeh manufacturers in New Zealand, the population is already familiar with tempeh. With strong linkages between Australia and New Zealand, Australian tempeh producers can broaden their client base in New Zealand, where the desire for new vegan food and meat replacements is high.

Organizations like the Vegan Society of Aotearoa, New Zealand have already promoted Tempeh as a soy and vegan food. With the right marketing methods, Australian manufacturers may increase their production footprint in this country.

Why may Improve Production Practices in Indonesia Boost Market Growth?

Since Indonesian tempeh is perceived as of poor quality due to filthy manufacturing procedures, improvisation in these processes and the development of clean and hygienic manufacturing methods is a critical component that, while little, is blocking most of the market's growth.

Several organizations in the United States are attempting to do so, and a few firms are concentrating their efforts on the growth of this market. On the other hand, manufacturers are unaware of the problem, and teaching new and existing tempeh producers is vital.

There is also a need for investment in food safety, cleanliness, and sanitation, and providing enhanced technology to tempeh producers will function as a powerful stimulus for the market's growth. On the other hand, producers can price their products more competitively to attract more high-end customers to the market. As a result, the benefits of this invention might be numerous, including a lower carbon footprint and a better working environment.

Substituting Lupines with Soybeans in Tempeh Production, Consumption of Plant-based Foods is Becoming Increasingly Mainstream, Initiatives by Government Bodies to Promote Tempeh Production, Rising Demand for Probiotics, and Demand for Meat Substitutes and Vegan Products on the Rise.

Category-wise Insights

Why is Lupines as an Ingredient for Tempeh Growing?

The demand for tempeh and other soy foods is steadily outpacing the supply of soybeans, which are the key raw material. As a result, manufacturers are relying on locally sourced ingredients like lupines to produce tempeh. Lupines tempeh and other multigrain tempeh with lupines are becoming more common on store shelves.

Why is Demand for Organic Food Products on the Rise?

Organic is the top association (68%) in customers' perceptions of clean label, according to consumer statistics. Products located in the fresh food area (61%), those manufactured with recognizable sounding ingredients (58%), and those made with materials derived from plants or animals (58%) are among the other factors (51%).

Consumers are motivated to buy more organic items because they believe they are healthier. The top reasons to buy organic food include concerns about pesticides, hormones, GMOs, antibiotics, and a desire to avoid highly processed foods and artificial chemicals.

Which Flavored Tempeh is Most Preferred?

Tempeh, in its most basic form, is the most popular. A large consumer base is looking for naturally sourced products, according to FMI studies on the tempeh market. Tempeh is a fermented food that belongs under the functional foods category, which caters to the rapidly growing consumer interest in healthy lifestyles and eating. As a result, tempeh is in high demand.

Competitive Landscape

Manufacturers are constantly working to improve their global presence and increase their tempeh market share. Food service providers have a track record of increasing sales of meat replacements like tempeh in a variety of nations, and this is a very profitable end-use category.

With the advent of eCommerce, internet retailers are gaining a lot of traction when it comes to food products. Online stores are another possible selling venue for tempeh, which is expected to grow in popularity in the coming years.

On the side of innovation, one of the paradigm-shifting changes has occurred, namely the rise of plant-based meat. Mock meat products, which are supposed to be easier to make in more sanitary and socially isolated environments, are also proving to be one of the most recent drivers of meat reduction trends. The rise of these enterprises manufacturing plant-based meats is proof of the same from North America to the Asia Pacific, which are traditional as well as key markets for meats.

What are the Key Players Doing in the Tempeh Market?

• Lightlife Foods: Lightlife Foods, a leading plant-based protein brand, offers a range of tempeh products. They have been focusing on expanding their distribution channels, partnering with major retailers, and introducing new flavors and variations of tempeh to cater to diverse consumer preferences.
• Turtle Island Foods (Tofurky): Tofurky, known for its plant-based meat alternatives, produces tempeh as part of its product lineup. The company has been actively promoting tempeh as a sustainable and healthy protein source and has expanded its distribution network to reach more consumers.
• The Bridge: The Bridge, an Indonesian tempeh brand, has been working to promote tempeh globally. They have been collaborating with international partners to establish a market presence and create awareness about tempeh as a versatile and nutritious food option.
• Hain Celestial: Hain Celestial, a global organic and natural products company, offers tempeh under its brand portfolio. They have been leveraging their distribution network and investing in marketing initiatives to increase tempeh’s visibility and market share.

Scope of the Report

Attribute	Details
Forecast Period	2023 to 2033
Historical Data Available for	2018 to 2022
Market Analysis	USD Million for Value and MT for Volume
Key Regions Covered	North America; Latin America; Europe; East Asia; South Asia; and the Middle East & Africa
Key Countries Covered	USA, Brazil, Mexico, Germany, United Kingdom, China, India, Japan, Australia, and GCC Countries
Key Segments Covered	Source, Nature, Flavor, Product Type, Distribution Channel, and Region
Key Companies Profiled	Turtle Island Foods, Inc.; Nutrisoy Pty Ltd; Mighty Bean Tempeh Sunshine Coast; Totally Tempeh; Byron Bay Tempeh; Margaret River Tempeh; Organic Village Food; Gwen Tempeh; Tempeh Temple; Primasoy; SBC Tempeh Manufacturers; Lalibela Farm Tempeh; Alive & Healing Inc.; Henry’s Tempeh; Rhapsody Natural Foods; TOFU Manufaktur Nagel GmbH; Impulse Tempeh; Schouten Europe B.V.; Natural Oriental Fresh Foods BV; Tempea Natural Foods Ltd.; Other
Report Coverage	Market Forecast, Company Share Analysis, Competition Intelligence, DROT Analysis, Market Dynamics and Challenges, and Strategic Growth Initiatives
Customization & Pricing	Available upon Request

Tempeh Market by Category

By Source:

• Soybean
• Multi-grain
• Others

By Nature:

• Organic
• Conventional

By Flavor:

• Plain
• Herbs & Spices

By Product Type:

• Frozen
• Fresh
• Ready-to-eat

By Distribution Channel:

• Direct
• Indirect
  • Hypermarkets/Supermarkets
  • Convenience Stores
  • Food & Drink Specialty Stores
  • Traditional Groceries
  • Online Retailers

By Region:

• North America
• Latin America
• Europe
• East Asia
• South Asia
• Oceania
• Middle east and Africa

Frequently Asked Questions

How Big is the Tempeh Market?

The tempeh market is estimated to secure a valuation of USD 4.2 billion in 2023.

What is the Market Analysis of Tempeh?

The global market is analyzed to expand at a CAGR of 5% through 2033.

How Big is the Tempeh Market in the United States?

The United States is expected to acquire 11.7% from the overall market share.

Which Trend is Underscoring the Market Performance?

Heightened demand for healthier packaged options is a running trend in the market.

Which Opportunities are Enhancing the Scope of Market?

Increasing proliferation of tempeh in multiple distribution channels is enhancing the market scope.