January 5, 2021

photo credit: Marubeni

By Lynda Kiernan, Global AgInvesting Media

At the same time that plant-based foods have been dominating the consumer food trends narrative, Marubeni has grown to be an international presence in the grain trading space. 

Global protein consumption is expected to climb at a compounded annual growth rate (CAGR) of 1.7 percent, reaching 943 million tons by 2054, according to Lux Research. Over this same time period, alternative protein sources are forecast to command up to a third of the protein market as they fill the void created by slowing growth in meat and seafood production, and demand shifts within the consumer market.

In the more immediate future, the global plant-based food market is expected to grow from a value of US$4.8 billion in 2020 to $24 billion by 2030, according to Marubeni. Riding this wave, the plant-based meat category is expected to see particular growth, especially in North America, driven by market demands from Millennial and Generation Z buyers.

With its strong grain procurement system, and armed with extensive experience in global grain trading and North American businesses, Marubeni is well-situated to capitalize upon its unique capabilities to meet plant-based food demands.

As such, it has chosen to commit an investment of JPY 100 million, or approximately US$1 million in support of DAIZ, a Japanese startup and maker of plant-based meat ingredient “Miracle Meat” from germinated soybeans. 

Under the terms of the deal, Marubeni will provide support to DAIZ in expanding sales in Japan and to secure a stable supply of soybeans. It will also begin a U.S. marketing campaign to introduce “Miracle Meat” to the U.S. plant-based meat industry. 

Marubeni’s timing for turning its attention to the U.S. market looks to be opportune. As Adam Bergman, managing director at EcoTech Capital, explained in his article COVID-19 Is a Silver Lining For Plant-Based Protein published by GAI News May 2020,  “COVID-19 is providing an unexpected boost to the plant-based protein sector.  With several meat processing facilities idled or running well below capacity due to COVID-19 spreading among their employees, parts of the U.S. are starting to experience a meat shortage or, where it is available, higher prices. Of course, the lack of animal protein and higher prices might end up only being a short-term issue, but the impact on protein consumption patterns could be significant and longer lasting as consumers, faced with limited animal protein options, begin purchasing plant-based protein varieties, even if reluctantly at first.”

Despite its meteoric growth, the plant-based meat market has room for improvement, especially concerning taste and sustainability, stated Marubeni, which plans to improve these factors through its partnership with DAIZ and the utilization of the company’s novel and innovative technology.

Called the “Ochiai style high-pressure method”, DAIZ’ patented technology induces germination of soybeans by controlling the amount of oxygen, carbon dioxide, temperature, and water content.

This process allows for the extruding of soybeans with better nutritional value, including amino acids and fiber, and produces “Miracle Meat” – an ingredient that can mimic the texture of real beef, pork, and even chicken.

By using high-oleic soybeans as a raw material, DAIZ is able to reduce the “bean-y off-flavor” that accompanies many plant-based meats, and reduces the need for additional additives or processing agents often used to mask this flavor. 

“By combining DAIZ’s innovative technology and Marubeni’s global grain procurement network and marketing capabilities, Marubeni will contribute to the distribution of tasty and sustainable plant-based meat throughout the world,” stated the company.

– Lynda Kiernan is editor with GAI Media, and is managing editor and daily contributor for Global AgInvesting’s AgInvesting Weekly News and  Agtech Intel News, and HighQuest Group’s Oilseed & Grain News. She is also a contributor to the GAI Gazette. She can be reached at lkiernan@globalaginvesting.com.