What weight-loss drugs like Ozempic mean for food systems and farmers

From a celebrity slimming hack to a big business that’s set to reshape how we eat and the crops that we grow. 

The use of GLP-1 weight-loss drugs like Ozempic, Mounjaro, Wegovy and Saxenda is increasing rapidly. 

We’ve brought together food industry experts to unpack the phenomenon and discuss how our food systems can respond to the opportunities. 

What are GLP-1 drugs?

This family of drugs mimics a hormone called glucagon-like peptide-1 (GLP-1) slowing the movement of food which makes you feel full. People have also reported experiencing less ‘food noise’ and reduced cravings while they’re taking the drug. 

But the injectable medication is expensive, there’s still limited availability, and side effects can include vomiting, nausea, constipation and loss of muscle mass. 

Are weight loss drugs a fad or a force?

Global food systems expert and Executive Director at the UCLA Rothman Family Institute for Food Studies, Jack Bobo said 10 per cent of Americans are taking, or have taken, GLP-1s. 

“The average person who takes these medications loses 20 per cent of their body weight.”

 “Many of the people that are doing it are not pre diabetic, they’re doing it to maintain a weight or to lose weight for more aesthetic reasons and they are paying tens of thousands of dollars to do it,” he said. 

KPMG Australia consulting partner, Georgie Aley said GLP-1 uptake in Australia is estimated at about one per cent of the population but it’s something our food industry is monitoring. 

Globally, GLP-1 use is expected to increase as the drugs become easier to access and more affordable. 

A Citi 2024 report  ‘Obesity and Beyond: the surprising reach of GLP-1s’ said the current global manufacturing of GLP-1s is only enough for 25 million people but it expects capacity to increase to supply hundreds of millions of people in the coming years. Patents on some of the drugs are also expiring, paving the way for cheaper generic brands. 

What does this mean for the food industry?

Jack believes this will have a “greater impact on the food system than climate change” over the next few years. 

“They’re not just drugs that suppress appetite, they’re drugs that shift how we think about the way in which we consume food,” said Jack. 

“It’s easy to imagine half of all Americans taking these medications. That alone would lead to a 10 per cent reduction in all the calories consumed in America.” 

Jack explains that along with the reduction in total food consumption, there’ll be a change in the type of food eaten by people on GLP-1s. 

“Sugary snacks are reduced by 11 per cent, you eat more nutrient dense food, more vegetables and you shift the kinds of protein that you consume, less beef more poultry.”  

He expects that will flow on to agriculture. 

“In the United States, if you’re producing corn and soy, those are two things that become ingredients for ultra processed foods and that’s more likely to feel that impact,” Jack said.  

“If you have less demand for corn and soy, that will make meat less expensive.” 

Deputy Director, Agriculture and Food at Australia’s national science agency CSIRO Professor Michelle Colgrave said correct nutrition while taking GLP-1s is important, particularly to prevent loss of muscle loss.  

RELATED: The value of food foresight

“There are micronutrients that you need to consider.  You have to make sure that if you are on this medication that you are getting the right nutrition,” she said. “That’s where food manufacturers in particular need to lean into it.” 

Georgie said in the US there’s a projection of $190 billion food and beverage market opportunity as companies re-shape their product for GLP-1 drug user. 

“We’re seeing things like same product, but a smaller serving size,” she said. “Reformulation of products to address some of the protein challenges, the fibre demands, that changing of nutritional profile that consumers are seeking.”   

Jack also forecasts that a 10 to 15 per cent reduction in American food consumption could result in a 20 per cent reduction in greenhouse gas emissions from US agriculture.

Jack Bobo, presenting at evoke^AG. 2025.

Where are the opportunities created by the GLP-1 disruption to our food system?

While the weight loss is substantial for people taking GLP-1s, the evidence shows there’s a rebound once the treatment stops.  

Jack said the $160 billion diet industry in the US is pivoting to focus on supporting people to keep the weight off.  

Co-Founder and Managing Partner, Anterra Capital Adam Anders believes there’s opportunity in the development of new digital tools to manage diet and day-to-day activity. 

“It’s the next generation of what we’ve seen with fitness apps,” he said. “Artificial Intelligence is allowing better access to data pools, but also to have a different set of instructions because it’s quite a detailed procedure you should follow if you want to lose the weight, permanently change your behavior, and also not accidentally consume all your muscle.” 

Michelle believes there’s potential for fermentation technology to help make the drug more affordable. 

“Precision fermentation as a means for producing not just one version of the drug, but multiple repeats of the drug in one protein that then is liberated and delivers a more efficacious dose,” she said. “You could use the sugar industry to fuel that production.” 

Georgie sees a future in extracting bioactive compounds to deliver more nutritious, lower calorie ‘superfoods’ to meet the needs of GLP-1 users. 

“To powderise or extract those nutritional profiles out of naturally produced fruit and vegetables to put those through to pharmaceutical sector, or into the nutraceutical and supplement space,” she explained. “Australia is an area where there’s a significant amount of under investment in that sort of manufacturing capability.” 

Executive Director at the UCLA Rothman Family Institute for Food Studies Jack Bobo, KPMG Australia consulting partner Georgie Aley and Deputy Director, Agriculture and Food at CSIRO Professor Michelle Colgrave took part in a panel discussion ‘Sustainability by injection: Weight loss drugs and the future of food’ facilitated by Anterra Capital’s Adam Anders at evoke^AG. 2025. Watch the recording here. 

Sign up to hear more from the thought leaders and change makers about the role of agrifood tech innovation in shaping a sustainable future and receive updates on evokeAG. 2026.