Tesco drops plant-based meat sales target

UK – Tesco has scrapped its target to raise sales of meat alternatives by 300% by 2025, after slower-than-expected market growth and shifting customer preferences weakened progress toward the goal.

The retailer confirmed in its 2026 sustainability report that plant-based meat sales growth had fallen short of expectations, with momentum fading after the Covid-19 period, and that 2024/25 sales were about 94% above 2018 levels rather than reaching the original target.

The company said it “did not fully deliver the impact” it had planned, linking the shortfall to a broader market decline and changes in how customers choose food, particularly a shift toward simpler, more familiar meal options.

Despite dropping the target, Tesco stated it will continue to offer plant-based meat products and invest in innovation, arguing that the category still has a loyal customer base and ongoing product development.

Shift toward whole-food plant proteins

Management said the focus is shifting toward plant-forward eating patterns, including vegetable-led meals and minimally processed plant proteins, rather than structured growth targets tied specifically to meat alternatives.

Tesco CEO Ken Murphy said the business is redirecting attention away from areas not meeting expected impact, including plant-based meat alternatives, and toward initiatives aimed at improving access to healthier and more sustainable food choices.

Market data in the report showed that chilled plant-based food volumes in the UK rose slightly, by just under 1%, in 2025, with growth reaching 1.7% in the final quarter, although overall demand remained subdued.

Within the category, some segments still showed growth, including vegan mince, which increased by nearly 25%, while products such as tofu, tempeh and seitan rose about 12%, indicating uneven performance across plant-based options.

Tesco is now expanding its focus on whole-food plant proteins such as beans and pulses, supported by consumer research showing rising interest in legumes and grain-based meals as part of healthier diets.

The retailer highlighted internal data showing that customers who buy more beans tend to have higher fibre and protein intake and are more likely to prepare meals from scratch, supporting its shift in product strategy.

As part of this approach, Tesco is increasing shelf space for beans in high-traffic store areas and convenience outlets, while also promoting more than 700 bean-based recipes across its online platforms.

The company also reported that plant-based products accounted for about 10% of meat and seafood sales, up from 9% the previous year but below the 12% share recorded in 2021/22, while vegan dairy alternatives held steady at 7%, up from 5% in earlier years.

Outside the retail sector, UK meat prices have risen sharply, with beef increasing by about 56% since 2019 due to supply constraints and wider cost pressures, while pork prices have also climbed.

Dried pulses remain significantly cheaper than meat, with pork now costing about US$7.21 per kilogram compared with roughly US$4.45 per kilogram for dried pulses, highlighting the growing price gap between animal protein and plant-based staples.

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