Global dairy alternatives market analysis and insights
The global Dairy Alternatives market estimated at US$24.9 billion in the year 2023 is now projected to grow at a CAGR of 11.06% and reach US$57.6 billion by 2030. The demand for dairy alternatives seems to be growing appreciably over the last few years, with no visible signs of deceleration whatsoever. Increasing consumption of plant-based milk is at the forefront of this growth, driven by the growing intolerance to dairy products, allergies, taste, perceived health benefits, animal welfare and sustainability.
Another key factor driving the dairy alternatives market is the growth of the organized retail sector. Hypermarkets and supermarkets are the two major offline distribution channels for dairy alternatives. Organized retailing is an integral part of offline distribution channels, which facilitates the purchasing process for consumers and enables them to choose from a diverse range of dairy alternatives. Furthermore, an increase in the number of organized retailers that offer shelf space for branded and private-label dairy alternatives is expected to drive the growth of the market.
The growing influence of online retailing is another factor supporting the dairy alternative market growth in the forecast period. The global market for dairy substitutes has grown dramatically due to the rising popularity of online distribution channels. Customers can choose from a variety of dairy substitutes with different flavors and ingredients through online shopping.
New advancement in ingredient technology and processing will further help and better address consumer expectations for taste and texture in these products. Some brands are also embracing a “different, but just-as-good” strategy in alt-dairy products, using flavors and spices that complement the plantprotein base but don’t try to exactly mimic the taste of traditional dairy products. Either way, formulators are sticking to shorter ingredient lists featuring label-friendly, plant-based proteins.
At the same time, many of these next-generation dairy alternative brands are shifting their product marketing strategies to mirror those often used in traditional dairy that position products for specific uses, such as milks or creamers for home-based baristas or by crafting premium artisanal products.
Dairy alternatives regional market insights
North American dairy alternatives market is expected to grow significantly over the 2023-2030 period. This growth is attributed to the Increasing adoption of vegan diet, high demand for organic food and beverages, and growing awareness about the benefits of plant-based milk. U.S. contributed around 78% of the total North American dairy alternatives market and is estimated to have a market value of US$6.23 billion in the year 2023. Among the other noteworthy geographic markets are Canada and Mexico, each forecast to grow at 10.16% and 8.45% CAGRs respectively over the forecast period.
Asia-Pacific dairy alternatives market is anticipated to witness an upsurge owing to the increase in consumption and production of plant-based dairy-free products in the region. China is expected to reach a market size of US$8.72 billion by 2030.
Within Europe, Germany, Italy, Spain and France are the key countries responsible for the significant growth of the regional market. Germany is expected to grow at a fastest CAGR of 10.56% over the forecast period.
Meanwhile, the Middle East & Africa is expected to show limited growth due to the strong presence of under-developed countries in Africa who are still struggling to meet technology standards. However, any growth that the region experiences is expected to come from developing Gulf Cooperation Council nations such as Qatar, U.A.E, Saudi Arabia and Oman due to a similar growth pattern as the Asia Pacific.
Key players
Key players profiled in the report include Blue Diamond Growers; Borges International Group S.L.; Califia Farms; Csc Brands L.P.; Danone SA; Earth’s Own Food Company; Freedom Nutritional Products; Hain Celestial; Kikkoman Corporation; Oatly; Pepsi Co.; Pulmuone Foods USA, Inc.; Pureharvest; Ripple Foods; Sanitarium Health and Wellbeing Company; SunOpta; The Coca Cola Company; Triballat Noyal SAS; Troll Bridge Creek; Valsoia SpA and Want Want China Holdings Limited, among others.
Competitive Landscape
January 08, 2024 – Plant-based milk category leader Oatly announces the introduction of two new oatmilk products in the US – Oatly Unsweetened and Oatly Super Basic. This launch marks the company’s first major addition to its core beverage lineup in the United States in the past five years.
October 02, 2023 – Oddlygood, the Finnish producer of plant-based products, has acquired the Nordic brand Planti®. Through the acquisition, Oddlygood becomes the market leader in plant-based dairy alternative spoonable snacks in Sweden and dairy alternative cooking products in Finland. The acquisition makes Oddlygood the second largest in the plant-based dairy alternatives market in Sweden and the third largest in Finland.
Dairy alternatives market scope
- By source
- Legume based
- Nuts based
- Cereal based
- Pseudo-cereal based
- Seed based
- Fruits based
- Others
- By formulation
- Flavored formulation
- Plain formulation
- By application
- Food
- Cheese
- Yogurt
- Butter
- Ice Cream
- Creamers
- Others
- Beverages
- Dairy alternative milk
- Tea and coffee
- Others
- Protein powders
- Others
- Food
- By region
- North America
- South America
- Europe
- Asia Pacific
- Middle East and Africa
| Report Attribute | Details |
| No. of Pages | 258 |
| Published | January-2024 |
| Forecast Period | 2023-2030 |
| Estimated Market Size in 2023 | US$24.9 billion |
| Forecasted Market Size by 2030 | US$57.6 billion |
| CAGR | 11.06% |
| Regions Covered | North America, South America, Europe, Asia Pacific, Middle East and Africa |
| Companies Mentioned | Blue Diamond Growers; Borges International Group S.L.; Califia Farms; Csc Brands L.P.; Danone SA; Earth’s Own Food Company; Freedom Nutritional Products; Hain Celestial; Kikkoman Corporation; Oatly; Pepsi Co.; Pulmuone Foods USA, Inc.; Pureharvest; Ripple Foods; Sanitarium Health and Wellbeing Company; SunOpta; The Coca Cola Company; Triballat Noyal SAS; Troll Bridge Creek; Valsoia SpA and Want Want China Holdings Limited, among others. |
The research report provides a comprehensive review of market trends (Technology, Product and Application analysis), market growth drivers, PEST Analysis (Political, Economic, Social and Technological Analysis) Market growth inhibitors, and strategic industry activities and SWOT Analysis of key players in the market. The report provides market estimates and forecast for geographic markets such as the North America (United States, Canada, Mexico and Rest of North America), South America (Brazil, Argentina Chile Colombia Peru Venezuela Ecuador and Rest of South America), Europe (Germany, France, U.K., Russia, Italy, Spain, Sweden, Netherlands, Poland, Austria, Belgium, Finland, Norway, Switzerland, Denmark, Czech Republic, Portugal and Rest of Europe), Asia-Pacific (China, Japan, South Korea, Taiwan, India, Australia, Indonesia, Philippines, Malaysia and Rest of Asia-Pacific), Middle East (Iran, Turkey, Kuwait, UAE, Israel, Oman, Bahrain, Saudi Arabia, Qatar, Egypt and Rest of Middle East) & Africa.
Research Methodology
