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Home Topics Economy

Soaring pea costs to hit plant-based meat producers

French supplier warns droughts and wet harvests have led to ‘unprecedented situation’

September 29, 2021
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Soaring pea costs to hit plant-based meat producers

Please use the sharing tools found via the share button at the top or side of articles. Copying articles to share with others is a breach of FT.com T&Cs and Copyright Policy. Email licensing@ft.com to buy additional rights. Subscribers may share up to 10 or 20 articles per month using the gift article service. More information can be found at https://www.ft.com/tour. https://www.ft.com/content/689fe9b6-3b1f-4a19-b917-0546def68371 A chef assembles a burger made with a Beyond Meat plant-based patty. The company said in its annual report that it could face ‘decreased availability or less favourable pricing’ for its key ingredients © Andrey Rudakov/Bloomberg/Getty

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The Financial Times reports that plant-based meat companies relying on the pea as a key ingredient are set to be hit by the severe drought in Canada this year. A leading supplier warns it has led to soaring crop prices.

.French company Roquette, which processes the legume and counts Beyond Meat as one of its customers, said this week that the plant protein sector was “facing an unprecedented situation”.

Pea availability was “challenged” and the price increases would “inevitably lead to costs being transferred to customers” the group said.

Prices of peas in Canada have more than doubled as the world’s largest producer suffered sharp declines in production after the worst drought in a century. Alongside Canada, Europe has suffered from low yields and in France, another large pea-producing country, the crop has been severely damaged by wet weather during the harvest, said Roquette.

Although accounting for just 2 per cent of total plant-based proteins, according to commodities data firm Mintec, peas have been the fastest-growing category used by food companies. Soya is the most abundant and cheapest source of plant-based protein, but it is also an allergen, and often genetically modified in the US. It is also abundant in plant oestrogen, leading to fears among some consumers about adverse health effects.

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