A ton of whey concentrate with 80% protein content reached €22,000 (around R$128,000) at União Europeia in the first two weeks of May. The 105% increase in 12 months reflects the combination of two factors: the global dissemination of weight-loss pens and the increase in protein consumption among consumers seeking to preserve lean mass during weight loss processes. Não There is consolidated data for Brasil due to the small number of manufacturers in the country.
The spread of injectable weight loss medications has transformed whey protein from a niche product into mass consumption. Segundo Tiago Chimelli, CEO of protein ingredient distributor Protesa, the input is no longer restricted to the sports nutrition and infant formula industry. Agora is used as a protein fortifier in various foods: chocolates, breads and other products that reach the end consumer with a higher protein concentration.
Falta bid pressures global prices
Demand for whey concentrate has soared while global production capacity has not kept pace. Tiago Chimelli does not see the possibility of price declines before the second or third quarter of 2027, when new manufacturing units are expected to come into operation internationally. Brasil depends heavily on imports from Estados Unidos and Europa, as production is not very regionalized.
Nos USA, one of the world’s main producers, the rise in price did not reduce consumption. Como consequence, stocks are decreasing globally. Stonex’s market intelligence analyst, Juliana Torres, assesses that there may be some correction in prices in the coming months if the high price causes a drop in consumption. Ainda thus projects that prices should not return to previous year’s levels.
Empresas passes costs on to the end consumer
Protesa passed on around 70% of the increased costs to its customers. Growth Suplementos has made two price adjustments to its products since last year, each of 15%. Supley made adjustments of approximately 40% in the prices of its products to compensate for the increase in inputs. Não is possible to pass on the entire increase to the consumer, as reported by executives from the main companies in the sector.
Diego of Freitas Rodrigues, CEO of Growth Suplementos, states that the company is unable to pass on the entire increase to the end consumer. As a result, it sought other strategies to preserve its operating margins. One of them is to offer products with a lower protein content, specifically aimed at users of weight loss pens, who do not need doses as high as bodybuilding athletes.
Indústria repositions product portfolio
Growth started to offer whey with a concentration of 60%, 40% cheaper than the traditional product that used 80% and 90% concentration. With a lower protein content, it is also possible to improve the taste of the supplement. The company also started selling smaller packages at reduced prices to consumers who do not go to the gym daily.
Supley adopted a similar strategy. Antes only offered 900-gram jars; now offers 450 gram packages. Segundo Alberto Moretto, partner of the company, the intention is to serve new sales channels and offer a more affordable average ticket. Moretto reports that demand for whey protein is still growing, but at a slower rate than it would be if the concentrate wasn’t so expensive.
Consumidores also modify their habits. Quem previously drank two whey shakes a day and now consumes just one and supplements his protein intake with protein bars or other food sources. Essa adaptation results from the pressure exerted by rising prices on the domestic budget.
Matéria-raw starts in dairy production
Whey concentrate is made from whey, a residue from cheese production. The whey is filtered and the retained material undergoes processing to transform it into whey protein. Historicamente, this product was used in animal feed and discarded as a by-product of the dairy industry.
The transformation of whey into large-scale human consumption is a recent phenomenon. Durante remained a niche ingredient for decades, restricted to athletes and consumers of sports supplements. The Covid-19 pandemic has increased interest in protein supplementation and preventive health. The spread of weight loss pens has accelerated this trend exponentially.
Expansão Brazilian factory in Francisco Beltrão
Sooro Renner, one of the few manufacturers of whey protein concentrate in Brasil, invests R$800 million in a new factory located in Francisco Beltrão, in Paraná. The expansion represents the company’s commitment to continued growth in demand, even if prices remain high. The arrival of new global productive capacities depends on this and other international initiatives.
The Brazilian supplements industry awaits price relief. Até there, companies will continue to adjust portfolios and pass on costs as their competitive capacity allows. The end consumer continues to absorb much of the price pressure, whether through nominal adjustments or reduced consumption.
