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News / Life / Food

Tyson enters plant-based meat market

Major meat producer responds to consumer tastes

By DEE-ANN DURBIN, Associated Press
Published: June 13, 2019, 5:21pm
2 Photos
A plant-based meat alternative made by Tyson Foods. The blended burger made from beef and pea protein will debut this fall. The product will be sold under a new brand, Raised and Rooted, which will continue to develop new plant-based products and blends. Kevin Smith/Tyson Foods Inc.
A plant-based meat alternative made by Tyson Foods. The blended burger made from beef and pea protein will debut this fall. The product will be sold under a new brand, Raised and Rooted, which will continue to develop new plant-based products and blends. Kevin Smith/Tyson Foods Inc. Photo Gallery

The fast-growing market for meat alternatives has a surprising new player: Tyson Foods.

Tyson, one of the world’s largest meat producers, will begin selling nuggets made from pea protein at grocery stores this summer. A blended burger made from beef and pea protein will follow this fall. Both will be sold under a new brand, Raised and Rooted, which will continue to develop plant-based and blended products for both groceries and restaurants.

Tyson is responding to a growing global trend toward plant-based eating, fueled by health and environmental concerns. U.S. sales of meat substitutes are expected to jump 78 percent to $2.5 billion between 2018 and 2023, according to Euromonitor. Global sales could reach $23 billion in that same time frame.

Startups like Beyond Meat, which makes burgers and sausages from pea protein, and Impossible Foods, which has a soy-based formula, have also raised consumers’ interest with products that mimic meat so closely in taste and texture that they’re being sold at Burger King and Carl’s Jr.

But the entry of Springdale, Ark.-based Tyson could upend the alternative protein market because of its sheer size and distribution capacity. Tyson Foods reported $40 billion in sales in its 2018 fiscal year; Beyond Meat, which held its IPO last month, forecasts $210 million in sales this year. Tyson has 50 facilities just for processing chicken; Impossible Foods has one factory in Silicon Valley.

Tyson has been watching the alternative protein market for a while. Its investment arm, Tyson Ventures, acquired a 5 percent stake in Beyond Meat in 2016. It sold that stake before Beyond Meat’s IPO, but it continues to hold investments in other startups, including Memphis Meats and Future Meat Technologies — which grow meat from cells — and mushroom-based protein startup MycoTechnology.

“These things work together and help us have a broad view of what the world of food looks like,” said Justin Whitmore, who leads Tyson’s alternative protein business.

Whitmore said the company noticed a significant upswing in the number of consumers who eat meat but want alternative sources of protein. About a year ago, Tyson’s chefs and consumer specialists began developing its own alternative protein products. The nuggets it came up with look like fried chicken, but they’re made with pea protein, egg whites, flaxseed and bamboo fiber and other ingredients.

“It became apparent we had the capability not only to compete but to lead in this space,” Whitmore said.

Whitmore said Tyson will develop more Raised and Rooted products and also spread plant-based alternatives through its other brands. For example, Tyson’s existing Aidells brand is getting sausage and meatballs that contain 50 to 60 percent chicken and 40 to 50 percent plants like chickpeas, quinoa and lentils.

The products will be sold at grocery stores and restaurants, but Tyson isn’t yet saying which ones. One Tyson customer, McDonald’s, has yet to say whether it will add a plant-based burger to its U.S. menu. It sells one made by Nestle in Germany.

Nestle is among the companies that could challenge Tyson. Last week, the Swiss food giant said it plans to launch its Sweet Earth brand Awesome Burger in the U.S. this fall. And earlier this week, Maryland-based chicken company Perdue Farms said it will soon start selling nuggets, tenders and patties made from a blend of chicken and vegetables.

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