In the age of genetically modified food there is a new contender pushing the limits of what consumers are comfortable with.
“Cultured meat,” or meat grown in a lab, is the latest development in science’s disruption of the food industry.
Using cells from livestock, scientists can grow meat in a lab. The initial process was costly but grabbed America’s attention five years ago.
A burger costing over $300,000 was served up to food critics in 2013. The initial remarks were underwhelming.
The burger was described as dry and left little to be desired. But the development of cultured meat is pushing forward.
Silicon Valley-based Memphis Meats announced in 2017 that a pound of cultured meat stands at $2,400.
Even at sticker-shock prices, it’s a sign of progress. The 99% fall in price over four years shows advances are being made in the field.
“Meat” Title Fight
Cultured meat may not be taken seriously by the public yet, but ranchers are preparing for what’s ahead.
Ranchers and animal producers are lobbying for the title of “meat” to be reserved for flesh directly from a living animal. They claimed an early win in Missouri last June.
The $20 billion meat industry’s fight against cultured meat shows just how much potential this has to disrupt the industry.
In contrast, “fake meats” like those made from soy and other plants met little resistance in the decades since first being introduced to store shelves.
Meat is a booming industry. America’s taste for chicken, pork and beef is growing stronger.
Cultured meat offers the opportunity to steal market share from ranchers and attract the nearly 3 million Americans who choose a vegetarian diet.
Investing in cultured meat at this point is difficult. The startups that are forging the path forward are privately held.
Major food producers like Tyson Foods Inc. (NYSE: TSN) are showing interest in cultured meat. But they are still years away from offering a cultured meat product.
In Real Wealth Strategist, we are keeping an eye on the evolution of the cultured meat sector. This area will provide huge opportunities for investors in the years to come.
Internal Analyst, Banyan Hill Publishing