Alternative or smart proteins, aka alt proteins, are proteins extracted from unconventional sources (algae, fungi, insects) or manufactured using new methods (fermentation, lab cultivation of cells). They mimic the taste and nutrition of dairy, meat and seafood, without actually breeding animals. Policies that support alt proteins can help the push for net zero: plant-based meat production uses 72-99% less water and 47-99% less land, causes 51-91% less water pollution and emits 30-90% less greenhouse gas emissions, data from Good Food Institute (GFI) India, a think tank, shows.
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Safe and sustainable
As people get richer, they derive more of their calorie needs from proteins. For India, proteins’ share in calorie consumption rose from 9.7% in 1991 to 11% in 2021, in step with rising incomes, as per calculations by Our World in Data using numbers from the Food and Agriculture Organization. Alt proteins are a sustainable way to meet this growing protein demand. They offer food safety (no risk of zoonotic disease from animal meat), and many see it as a more humane and ethical way to consume protein. Plant-based alt proteins are culturally compatible with several Indian cuisines, which have a vegetarian protein item such as pulses, paneer, or legumes as a staple.
Market and demand
Plant proteins such as soya chaap, nuggets or soy milk have been available in the market for decades. Yet, the domestic market remained small, at about $45 million in 2022, according to the GFI-Deloitte Smart Protein Economic Analysis. But this is growing fast: by 2030, it is forecast to be worth between $946 million to $2.4 billion.
Alt proteins picked up during the pandemic, when households embraced healthier food options. GFI India counted 377 such products across 41 formats and from 73 brands in stores, online and in restaurants in India as of 2023. A GFI-Kantar survey of urban households showed greater familiarity with plant-based dairy and meat in metros, among younger persons, for non-vegetarians, and in higher-income households. This demographic is an early adopter across alt protein products.
Adoption hurdles
The key adoption barriers are taste, texture, and price. Unlike Western markets, where burgers with plant-based patties are the anchor product, Indian consumers demand a wide variety, ranging from unflavoured protein powder to exotic tikkas, biryani, and kebabs. Also, we love dairy: most consumers will opt for regular cheese in a plant-protein burger. Thus, an all-vegan product finds fewer buyers in India than in the West, where vegetarian often means vegan.
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Texture is another issue: alt-meat may not be “meaty” enough for non-vegetarians, or too meat-like for vegetarians. To get the right balance, companies offer products based on different ingredients such as jackfruit (Wakao), soya (Shaka Harry) or pea and quinoa (GoodDot).
Surveys reveal other consumer quirks: soy milk and almond milk are the most familiar across the alt protein spectrum, while mock-chicken topped trials in the plant meat category. This suggests that plant milk and chicken substitutes may be good entry points for consumers.
Price is a sticking point, especially because the new alt protein items are seen as indulgences rather than necessities. To a budget-conscious consumer, half a kilo of fresh paneer ( ₹150-200) or chicken ( ₹170-250) would be better value for money than mock-chicken nuggets ( ₹450 or higher).
Export opportunities
An expanding global market for alt proteins also presents India with multiple export opportunities. As a leading global producer of chickpeas, lentils, millets, peas, rice and soybean—all of which are sources of plant protein—India can position itself as a top supplier of inputs. The market for nutritional additives such as protein-rich concentrates, isolates and flours also has great potential.
Indian ready-to-eat protein products are already being exported around the world. In 2023, Shaka Harry’s range of plant-based meat debuted in Singapore’s iconic Mustafa supermarket, and GoodDot entered the US in partnership with ADF Foods Ltd. With its large cultivable land area, plentiful agricultural labour, and distinct flavours, India has the potential to build an alternative protein manufacturing ecosystem.
A smart protein campaign
It will take time and deliberate effort to change domestic consumption patterns. Indian manufacturers already offer innovative products in local flavours. Partnering with cutting-edge alt protein firms in innovation hubs like Singapore could help fine-tune taste and cut costs.
The government has done its bit by recognizing the potential of alternative proteins and providing a supportive policy environment. A possible next step is to launch a campaign across social and news media to spread awareness and correct misinformation. To get millennials and Gen Z on board, alt proteins will have to be trendy, not just healthy. In the 1980s, the National Dairy Development Board positioned eggs as a versatile and fun food with its ‘roz khao ande’ campaign. Amul did the same for milk in the 1990s with ‘Piyo glass full doodh’. It may be time to roll out a reel that strikes a chord across demographics, and encourages greater consumption of alternative proteins.
The author is an independent writer in economics and finance.