The plant-based milk market has experienced significant growth in recent years as consumers become more health conscious and environmentally aware. Plant-based milk refers to non-dairy milk derived from plant sources, such as soy, almond, coconut, rice, and oat.
The plant based milk market in 2021 was valued at USD 35 billion and will reach USD 123.1 billion by 2030, with a CAGR of 15% during the forecast period.
The major factor influencing the growth of the plant based milk market is the rise in veganism, lactose intolerance, and the perception that plant-based milk is healthier than animal-based milk. Additionally, the increasing demand for plant-based milk from the food and beverage industry will contribute to market growth, especially in producing dairy-free products.
Market Dynamic
Drivers
- Health and Wellness Trends: Consumers are increasingly adopting healthier lifestyles and looking for alternatives to dairy milk that offer similar nutritional benefits without the negative health impacts of dairy.
- Environmental Concerns: The environmental impact of animal agriculture has led many consumers to seek plant-based alternatives. Plant-based milk requires less land, water, and resources to produce than dairy milk, making it a more sustainable choice.
- Rising Veganism: Veganism is becoming more mainstream as people adopt plant-based diets for ethical, health, or environmental reasons. Plant-based milk is a key component of a vegan diet.
- Lactose Intolerance: lactose intolerant people cannot consume dairy milk. Plant-based milk offers a lactose-free alternative that is more easily digestible.
- Increased Availability and Innovation: Plant-based milk is now widely available in supermarkets and restaurants. There has been significant innovation in the market, with new products and flavors continually being introduced.
Restraints
Consumers’ ignorance about plant-based beverages and concerns about beverage additives will restrict the plant-based milk market. It could, however, impede the growth of the market for plant-based milk.
Opportunity
- Another choice is the sustainable living movement, which promotes animal-safe milk and the environment. With customers becoming more environmentally conscious and concerned with reducing their household carbon footprint, the global industry is paying special attention to the tremendous potential for the market for plant-based milk.
- The number of millennials aware of the detrimental impacts of chemicals, food preservatives, and other things on health is rising. Millennials will be active consumers of organic goods, given that they spend more money on naturally occurring and organic items than prior generations. Future progress is made possible by the millennial generation’s growing awareness.
Market Segmentation
By Product Type
In 2022, the soy milk sector held the biggest market with a share of 58% due to its high protein content and widespread consumer appeal. The Soya Milk market will grow at a rate of over 11% between 2023 and 2029. Almond milk is gaining popularity in the plant-based milk industry due to its low-fat content and accessible flavor, which holds about 40% of the market share.
By End-User
In 2021, the retail household sector accounted for the biggest market share of 24.6%. The market for plant-based diets is expanding due to increased consumer interest in health consciousness. In 2021, the food and beverage industry accounted for the highest revenue share of 68%. The market for plant-based milk is being significantly impacted by the growing range of foods that use various milk flavors that several food sectors have introduced. Plant-Based Milk products will see an increase in online retail sales at a 13.1% CAGR. Market expansion is fueled by rising consumer awareness of health problems and a move toward plant-based diets.
By Packaging
In 2022, carton packaging accounted for 60% of the market share. Urbanization and higher disposable income are driving the demand for packaged food products, causing the carton packaging market to grow. Demand will rise since packaged food is very simple to transport and has recycling capabilities.
Regional Analysis
Asia-Pacific will have the greatest market share for plant-based milk in 2022. The significant market share of this area is largely attributable to greater health consciousness, faster adoption of technical improvements in the F&B industry, and a bigger demographic base of vegans and vegetarians. During the projection period, this area will develop at the fastest CAGR. The Western diet’s rising popularity, the region’s growing population, and more investment in the dairy substitutes industry are all major contributors to its rapid rise.
Key Players
- Glanbia PLC (Ireland)
- DSM (Netherlands)
- Herbalife International of America, Inc. (U.S.)
- Bayer AG (Germany)
- (U.S.)
- S. Spice Mills, Inc. (U.S.)
- Abbott (U.S.)
- Health Milk Manufacturers’ Association (U.K.)
- The Nature’s Bounty Company (U.S.)
- Amway (United States.)
- Premier Nutrition Corporation (U.S.)
- Mead Johnson and Company, LLC. (U.S.)
- Nestlé SA (Switzerland)
The plant based milk market in 2021 was valued at USD 35 billion and will reach USD 123.1 billion by 2030, with a CAGR of 15% during the forecast period. An increase in incidences of lactose intolerance and milk allergies, rising investments in the plants based milk industry, a rise in the number of vegans and vegetarians, and the nutritional advantages of plants based milk are some of the main reasons propelling the expansion of this market.
