Meatpacker JBS to Shut Plant-Based Foods Business in the US

Brazil’s meatpacker JBS SA shutting its plant-based foods business in the United States, known as Planterra Foods, after around two years in operation. The closure highlights increasing troubles in the plant-based protein industry, where the US sales are decreasing.

Nikki Richardson, JBS USA spokesperson, said that Planterra Foods sold fake meat under the Ozo brand name, but JBS will now focus on its plant-based operation in Europe and Brazil. Brazilian and European operations will continue to gain market share and expand their respective customer bases.

Gary Stibel, chief executive of the New England Consulting Group, said that the industry has come under pressure because the meat alternatives does not taste good enough and the prices are also very high, and JBS made a good decision to close Planterra Foods.  

Gary Stibel added that, everyone thinks that they can make money in this business and they cannot. It will be a good business for some players, but for today, it is a sinkhole for many people that are throwing good amount of money after bad.

The value of all meat alternatives sold in the United States, including fresh and fully cooked products, has increased by 1.1 percent to around 963 million dollars.