The food industry is saddened by the popularity of weight-loss drugs...Meat Companies' Reflective Profit on Decline in Sales of High Calorie and High Processed Foods
May 16, 2025
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Recent studies have shown that people who are prescribed GLP-1 drugs have reduced appetite and feel full longer, resulting in a 15-40% reduction in food intake. In fact, households with more than one GLP-1 user spend about 6% less on groceries and households with higher incomes spend 9% less. In particular, it is analyzed that the purchase of high-calorie and high-processed foods such as snacks, confectioneries, and carbonated drinks has decreased by 7-11%. In addition, more than half reduced the cost of eating out, and 37% also reduced alcohol consumption.
Analysts say that food and beverage companies have been directly hit by such a drop in consumption, but demand for high-protein and health foods is rather increasing.
Some analysts say that the meat industry is benefiting from the trend of increasing protein intake to maintain healthy weight loss and muscle mass.
According to Bloomberg, Dilbertu Tomazoni, CEO of JBS, the world's largest meat company, said at a conference in New York that profits increased as demand for protein foods such as chicken and beef increased. Consumers using GLP-1-based treatments may increase protein intake to avoid losing muscle mass.
Traditional food and beverage companies are experiencing a decline in sales as food spending by consumers on medication decreases, but some food companies, mainly high-protein and low-calorie products, are getting growth opportunities.
For example, dairy company Danone said demand for high-protein, low-calorie yogurt has soared in the United States.
This article was translated by Naver AI translator.
