Five Key Trends in China's Meat Market
1. Bifurcation of the Chinese Meat Market
- Regular Meat Consumers: More than half of Chinese consumers eat meat regularly, consistent with the US and UK.
- Conscious Consumers: 57% of Chinese consumers eat meat regularly, higher than in most Western countries. Many conscious consumers aim to reduce meat consumption.
2. Changing Consumer Preferences
- Pork Dominance: Pork accounts for 60% of total meat consumption in China, significantly higher than in other countries.
- Poultry Growth: Poultry consumption is on the rise, growing 7% annually from 2017 to 2021 and expected to continue growing at 1% annually until 2026.
- Beef Potential: Beef ranks third in consumption, with strong growth potential, growing 4% annually from 2017 to 2021 and expected to continue at 2% until 2026.
3. Influences on Meat Purchasing Decisions
- Safety and Taste: Healthiness, product safety, quality, and taste are the primary factors influencing meat purchases.
- Consumer Behavior: Rising incomes and health concerns drive changes in meat consumption patterns. Conscious consumers, particularly affluent individuals, prefer beef over pork due to perceived health benefits and quality.
4. Future Trends and Opportunities
- Reduced Pork Consumption: With growing health concerns and rising incomes, there is a trend towards reduced pork consumption.
- Increased Beef Consumption: Affluent consumers are more likely to opt for beef, seeing it as a healthier and higher-quality alternative.
- Growing Seafood Market: Seafood, another healthy option, is expected to grow at 1-2% annually until 2026.
5. Insights into Chinese Consumer Habits
- Meat Consumption Patterns: 60% of Chinese consumers eat pork in three to five meals a week, while 29% especially enjoy the taste of beef.
- Future Spending Intentions: 20% of consumers plan to increase their beef spending, while 12% plan to decrease it, indicating a net increase in beef consumption.
These trends highlight the evolving landscape of the Chinese meat market, presenting both challenges and opportunities for meat executives.