Processed meat refers to meat which is enriched with various additives/preservatives such as salts, acidifiers, minerals and other seasoning & flavoring agents. Meat is chiefly processed to improve its quality, preserve it from decay and to add flavors to its original composition. It can be either red meat or white meat from poultry, swine, cattle or sea animal meat.
The processed meat market can be segmented into six major categories on the basis of its usage as fresh processed meat products, raw-cooked meat products, raw-fermented sausages, cured meat cuts, precooked-cooked meat products and dried meat products. The market can also be segmented geographically into North America, APAC, Europe and RoW regions.
The global processed meat market is expected to witness a substantial growth with a single digit increase in CAGR from 2013 to 2019. There is a significant increase in the consumption of processed meat with higher disposable income in emerging countries and large number of working women globally.
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The key drivers of this market are large varieties of processed meat available in the market place at lower prices. Furthermore growth in retail market and greater purchasing power of consumers in emerging countries are driving the growth of processed meat market. Some of the restraining factors could be government regulations on manufacturing of such products (licensing among others), process of treating meat and rising health concerns among consumers.
The value chain consists of raising animals, transporting, slaughtering, dressing and cutting, conditioning and final processing. There is a significant backward and forward integration in this sector.
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Some of the key players in processed meat market are ConAgra, Tyson Foods Inc., Advance Food Company Inc., Pilgrim’s Pride Corporation, Cargill Inc., and other private labels.