Tyson Foods Nurseries on Plant-Based with Raised & Rooted
The nation's largest meat producer plans to enter plant-based meat substitutes.
Tyson Foods announces its Nuggets plant-based debut this Thursday as part of the new Raised & Rooted brand, which will sell herbal and mixed meat products.
Since February, Tyson executives are considering switching to meat alternatives. However, this is the first time the meat packer has come to market announcing its plans to compete with Impossible Foods and Beyond Meat.
Beyond Meat's shares fell 4% on Thursday after the announcement in premarket trading, while Tyson's stock rose 3%. The plant-based meat manufacturer has a market value of $ 8.5 billion, which is approximately one-third of Tyson's market value.
"We remain committed to our growing traditional meat business and expect to be a leader in alternative protein, which will see double-digit growth and one day become a billion dollar business for our company," said Noel White, CEO of Tyson Dies is an explanation.
According to Mintel, the meat alternative market is expected to grow by $ 22.9 billion worldwide due to flexible diet. Almost 60% of US consumers are interested in eating less meat.
Beyond Meat, a former Tyson investment, previously sold plant-based chicken strips, but the company pulled the product out of the grocery freezers earlier this year.
Tyson's imitation nuggets use pea protein instead of chicken. The company also plans to launch a burger mix of Angus beef and pea protein under the new brand.
Springdale, Arkansas-based company plans to introduce additional alternative protein products for its brand portfolio and food service operator. The brand Aidells already sells sausages and meatballs that mix chicken with vegetable ingredients.
Perdue Foods, another major meat producer, announced Wednesday that it would sell new chicken nuggets, tender and patties that mix meat with vegetables.
In addition to the new brand, Tyson has invested in start-ups focused on alternative proteins. The company's venture capital fund has invested in mushroom-based protein producer MycoTechnology and breeding meat producers Memphis Meats and Future Meat Technologies.