Dairy alternatives market to be worth $66.9 billion by 2030
The global dairy alternatives market size is expected to expand at a CAGR of 12.6% from 2023 to 2030, according to a new report by Grand View Research
The increasing occurrence in cases of milk allergies and lactose intolerances are expected to drive the demand further in the forecast period. Numerous food and beverage products are thus making use of the product to appeal to the growing consumer base that is opting for plant-based and others.
Key industry insights and findings
Soy: The report found that the soy segment dominated the market in 2022 based on source, with a revenue share of over 35.32%. Soy milk is rich in nutrients and has a high protein content compared to other dairy alternatives, which is expected to drive the segment over the forecast period. The product has been traditionally used in the Asia Pacific region for centuries and is a part of numerous recipes, which is expected to keep the product demand consistently stable over the forecast period. It is used for the purpose of lowering obesity and blood cholesterol levels and reducing the risk of several postmenopausal issues, along with improving cardiovascular health, which, in turn, has made it a preferred supplement
Milk: Based on product, the milk segment dominated the market in 2022 accounting for a share of 67.98%. In Europe, increasing demand for low-calorie content food, coupled with the rising popularity of plant-based nutritional products, is likely to augment the demand for the product over the forecast period. The milk product segment includes various new and innovative beverage options with dairy alternatives as a base ingredient. The manufacturers of beverages are introducing new products for higher market capitalisation.
Asia Pacific: This region dominated the overall market last year, with a market share of 45.20% 2022. Increasing cases of lactose intolerance and the rising health issues associated with harmful additives used in dairy products are anticipated to boost the demand for non-dairy products such as soy milk, almond milk, rice milk, and other dairy alternatives in the region.
The research, titled “Dairy Alternatives Market Size, Share & Trends Analysis Report”, looked at products by source and by product. Those looked at by source include soy, almond, coconut, rice, and oats. While those looked at by product include milk, yoghurt, cheese, ice-cream and creamers. These were further analysed by distribution channel, by region, and by segment forecasts for 2023 to 2030.
Dairy Alternatives Market Growth & Trends
The increasing demand for vegan and vegetarian diets is one of the major drivers to the market. With the growing awareness about the benefits of plant-based diets, more consumers are opting for vegetarian and vegan food products. Consumers are also opting for alternate products as a means to cut back on calories consumed as dairy products generally contain a high number of calories. Consumers looking to lose weight have been increasingly substituting cow or buffalo milk with soy or almond milk. This, in turn, is expected to aid the growth of the market as the fitness-savvy consumer base is increasing across the globe.
Initiatives undertaken by manufacturers such as offering novel flavours, enriching with vitamin & mineral supplements, better quality, and attractive packaging are expected to have a positive impact on the industry over the forecast period. In 2022, numerous start-ups in the market received notable investments such as Remilk, Imagindairy, and Perfect Day which received USD 120 million, USD 13 million, and USD 350 million respectively in seed funding.
Key players in dairy alternatives market
- The Whitewave Foods Company
- The Hain Celestial Group
- Daiya Foods
- Eden Foods
- Nutriops, SL
- Earth’s Own Food Company
- Freedom Foods Group
- OATLY AB
- Blue Diamond Growers
- CP Kelco
- Vitasoy International Holdings
- Organic Valley Family of Farms
- Living Harvest Foods