Plant-based Milk Market is Catching Up with Dairy Milk Trends

Plant-based Milk Market is Catching Up with Dairy Milk Trends

The plant-based milk market is in trends by increasing health awareness. Plant-based milk such as soy milk, almond milk, coconut milk, and oat milk are gaining popularity as dairy alternatives. These plant-based milks provide similar nutrients to dairy milk and are lactose-free. The growing vegan and flexitarian population prefers plant-based milks due to real or perceived health benefits over dairy.

The Global Plant-based Milk Market is estimated to be valued at US$ 19.88 Bn in 2024 and is expected to exhibit a CAGR of 7.2% over the forecast period 2024 to 2031. Key Takeaways Key players: Key players operating in the plant-based milk market are Danone S.A., Blue Diamond Growers, The Hain Celestial Group, Inc., Califia Farms, LLC, SunOpta Inc., Pacific Foods of Oregon, LLC, Oatly AB, Dohler GmbH, and Horizon Organic. These players are focusing on new product launches, partnerships, and expansion strategies to strengthen their market position.

Growing demand: Rapid urbanization, changing lifestyles, and growing health awareness are fueling the demand for plant-based milk globally. Plant-based Milk Market Size alternatives provide similar nutrients to dairy and are suitable for lactose-intolerant individuals. The demand is strong among vegan and flexitarian populations.    Global expansion: Major players are expanding their manufacturing facilities globally to leverage the growth opportunities. For instance, Danone S.A expanded its almond and oat milk facilities in the U.S. in 2021. Players are also investing in awareness campaigns to promote plant-based milk benefits. The demand is expected to grow significantly in Asia Pacific and Latin American regions in the forecast period. Market key trends The growing popularity of oat milk globally is one of the key trends in the market. Oat milk is a healthy option as it contains beta-glucans that help manage cholesterol levels. It is easily digestible and provides nutrients like calcium, vitamins, and minerals. Famously known as a dairy alternative for lactose-intolerance, the U.S. witnessed 19% year-on-year growth of oat milk sales between 2018 and 2019, making it the fastest-growing plant milk.

Porter’s Analysis Threat of new entrants: The plant-based milk industry has high startup costs for production plants and R&D which limits new entrants. However, small local producers can enter with niche and artisanal products. Bargaining power of buyers: Buyers have moderate bargaining power. Large retailers can negotiate lower prices from brands but increasing health awareness makes buyers value nutritional attributes over price. Bargaining power of suppliers: Suppliers of plant-based ingredients and packaging materials have moderate power as they are many alternative suppliers. However, specialty and certified organic ingredients may give some suppliers an edge. Threat of new substitutes: New plant-based milk alternatives and nutrient-focused beverages may erode market share, but complete substitutes are limited due to the unique taste and texture profiles of various milk types. Plant-based Milk Market challenges and opportunities navigating consumer preferences for taste and texture, while capitalizing on the growing demand for healthier, sustainable milk alternatives. Competitive rivalry: The market is growing rapidly with many national and private label brands competing on health, sustainability and taste attributes but no single brand dominates the diverse categories. North America occupies the largest share of the global plant-based milk market, valued at over US$ 8 Billion. The U.S. is the leading country driven by widespread health consciousness, veganism, and lactose intolerance among consumers. The Asia Pacific region is poised to be the fastest growing market for plant-based milk between 2024 to 2031 forecasted to expand at over 10% CAGR. Rising incomes, western influence, and flexitarian diets favoring reduced meat intake will propel growth especially in China, India and Southeast Asian countries.

About Author: Alice Mutum is a seasoned senior content editor at Coherent Market Insights, leveraging extensive expertise gained from her previous role as a content writer. With seven years in content development, Alice masterfully employs SEO best practices and cutting-edge digital marketing strategies to craft high-ranking, impactful content. As an editor, she meticulously ensures flawless grammar and punctuation, precise data accuracy, and perfect alignment with audience needs in every research report. Alice's dedication to excellence and her strategic approach to content make her an invaluable asset in the world of market insights. (LinkedIn: www.linkedin.com/in/alice-mutum-3b247b137 )