Plant-Based Food Market

Global Plant-Based Food Market:

The global plant-based food market size reached US$ 10.6 Billion in 2023. Looking forward, IMARC Group expects the market to reach US$ 29.0 Billion by 2032, exhibiting a growth rate (CAGR) of 11.5% during 2024-2032. The market is experiencing significant growth driven by the growing demand for sustainable food options to stop animal cruelty, rising adoption of vegan lifestyle habits among the masses, and increasing availability of a wide variety of unique vegan food products via online platforms.

Global Plant-Based Food Market Analysis:

• Major Market Drivers: The plant-based food market is experiencing strong growth due to the increasing health consciousness among consumers. Moreover, various restaurants, fast-food chains, mainstream grocery stores, etc., are also offering plant-based food products to cater to the evolving culinary preferences of consumers, which in turn, is augmenting the growth of the overall plant-based food market.
• Key Market Trends: Strategic partnerships between food service establishments and vegan food producers are providing a positive outlook on the plant-based food market. Besides this, regulatory changes by government bodies to promote sustainable and ethical practices are expected to bolster the growth of the plant-based food market in the coming years.
• Technological Advancements: Rapid advancements in food technology are leading to improved taste, texture, and nutritional profiles of plant-based products, making plant-based food products more competitive with traditional options.
• Geographical Trends: Asia Pacific leads in the market share, driven by a growing middle-class population and dietary diversity. The adoption of plant-based diets, particularly in countries like China and India, is rising, creating a substantial market for plant-based products.
• Competitive Landscape: Some of the major market players in the global plant-based meat industry include Amy's Kitchen Inc., Atlantic Natural Foods LLC, Beyond Meat Inc., Danone SA, Garden Protein International Inc., Impossible Foods Inc., Lightlife Foods, Inc. (Maple Leaf Foods Inc.), Nestle S.A., Tyson Foods Inc., Vbite Food Ltd., among others.
• Challenges and Opportunities: As per the plant-based food market overview, various challenges include market saturation in some regions, the need for increased consumer education, and addressing the unique tastes and preferences of different cultures. However, opportunities for the untapped potential of emerging markets, diversification of product offerings, and alignment with sustainability goals are projected to overcome these challenges.
   

Global Plant-Based Food Market Trends:

The Growing Number of Health-Conscious Individuals

The expanding flexitarian and vegetarian population, accounting for around 4.98 million vegetarians worldwide, who aim to minimize the risk of chronic diseases, is augmenting the consumption of plant-based food products. In addition to this, out of these, 3.8 million were from India, a country where individuals generally prefer to consume plant-based, non-veg products as a healthy alternative to meat and chicken. Furthermore, the escalating expatriate population in numerous countries and the elevating number of new start-ups, including Fazenda Futuro, KBW ventures, Vbites, etc., are attracting customers towards plant-based meat, which is acting as another significant growth-inducing factor. Moreover, various food manufacturers are developing and promoting a wide range of creative and delicious vegan food items to meet the rising demand. For instance, the data released by Vegconomist (a vegan business magazine) shows that among 130 million people living in Mexico, a startling 20% have eliminated animal-based food and beverages as a part of their vegan lifestyle. 

The Rising Need for Environmental Sustainability

People are becoming more aware of the environmental consequences, on account of which they are seeking sustainable and eco-friendly alternatives, such as vegan meals. Vegan food products emit less carbon than food products containing animal products. In a survey conducted by the United States, 71% of consumers were concerned about climate change, and 67% were conscious of the impact of food production on climate change. In addition to this, 47% of the respondents preferred plant-based meat, as it generates less carbon dioxide emissions and has a significantly less environmental impact compared to animal meat. Moreover, one research study used life cycle assessment (LCA), where plant-based protein sources replaced ground beef. The substitution of 25%, 10%, and 50% of ground beef with plant-based burgers at the national scale resulted in reductions in annual GHG emissions, water consumption, and land occupation. This, in turn, is anticipated to augment the future of the plant-based food industry in the coming years. 

Advancements in Food Technology

Advancements in food technology have led to the development of unique plant-based substitutes that closely imitate the flavor, texture, and appearance of animal products, which is one of the plant-based food market drivers. Plant-based meats, such as burgers, sausages, and nuggets, are now available with the same flavors and textures as traditional meat products. These alternatives are made from plant-based ingredients, including soy, wheat, and pea protein. Food technology has also permitted the creation of vegan cheese, ice cream, yogurt, and other dairy alternatives that are remarkably identical to their animal-based counterparts. Texture modifiers, taste enhancers, and emulsifiers are being employed to enhance the sensory experience of vegan alternatives. For instance, Shiru, Inc., a U.S.-based company, announced the launch of OleoPro, a plant-based fat ingredient. The company's proprietary technology platform, Flourish, was used for developing the ingredient. The platform leverages Artificial Intelligence (AI) to generate insights for unique plant proteins.

Plant-Based Food Industry Segmentation:

IMARC Group provides an analysis of the key trends in each segment of the market, along with forecasts at the global, regional, and country levels for 2024-2032. Our report has categorized the market based on type, source, and distribution channel.

Breakup by Type:

• Dairy Alternatives
• Meat Alternatives
• Egg Substitutes and Condiments
• Others
   

Dairy alternatives account for the majority of the market share

The report has provided a detailed breakup and analysis of the market based on the type. This includes dairy alternatives, meat alternatives, egg substitutes and condiments, and others. According to the report, dairy alternatives represented the largest segment.

The dairy alternatives segment within the plant-based food market includes products like almond milk, soy milk, oat milk, and various plant-based yogurts and cheeses. The escalating demand for dairy alternatives can be attributed to the bolstering number of lactose intolerant consumers who have dairy allergies or choose plant-based options for health, environmental, or ethical reasons. Various key market players are responding to this demand by offering improved versions of plant-based milk and milk products. For instance, in March 2024, Haven, New Zealand-based infant nutrition firm launched an oat-milk-based drink, known as Haven Oat Toddler Drink, for toddlers aged one and above. Innovations and advancements like these will continue to bolster the growth of this segment in the global market. 

Breakup by Source:

• Soy
• Almond
• Wheat
• Others
   

Soy holds the largest share in the industry

A detailed breakup and analysis of the market based on the source have also been provided in the report. This includes soy, almond, wheat, and others. According to the report, soy accounted for the largest market share.

The escalating demand for soy-based meat products, owing to their ability to replicate the taste and texture of animal-derived meats, is propelling the plant-based food market demand. For example, around 50% of Indonesian soybean consumption is in the form of tempeh. The increasing need for imported soybeans to produce soya-based products, including tempeh, in Indonesia is expected to reach 3 million metric tons per year.

Breakup by Distribution Channel:

• Supermarkets and Hypermarkets
• Convenience Stores
• Online Stores
• Others
   

Supermarkets and hypermarkets represent the leading market segment

The report has provided a detailed breakup and analysis of the market based on the distribution channel. This includes supermarkets and hypermarkets, convenience stores, online stores, and others. According to the report, supermarkets and hypermarkets represented the largest segment.

The wide accessibility of plant-based meat in supermarkets and hypermarkets, as these retail facilities facilitate ethical and sustainable choices, is also augmenting the plant-based food market. Moreover, the presence of well-known brands and established players in these stores instills confidence in consumers, driving them to make plant-based choices. Apart from this, supermarkets frequently collaborate with vegan firms, promoting the creation and availability of a broader selection of vegan items. As per the plant-based food market statistics, Campbell Soup Company acquired Pacific Foods of Oregon LLC for US$ 700 Million, with expectations of strengthening Campbell's health and well-being portfolio in the growing natural and organic category.

Breakup by Region:

• North America
  • United States
  • Canada
• Asia-Pacific
  • China
  • Japan
  • India
  • South Korea
  • Australia
  • Indonesia
  • Others
• Europe
  • Germany
  • France
  • United Kingdom
  • Italy
  • Spain
  • Russia
  • Others
• Latin America
  • Brazil
  • Mexico
  • Others
• Middle East and Africa
   

Asia Pacific leads the market, accounting for the largest plant-based food market share.

The market research report has also provided a comprehensive analysis of all the major regional markets, which include North America (the United States and Canada); Asia Pacific (China, Japan, India, South Korea, Australia, Indonesia, and others); Europe (Germany, France, the United Kingdom, Italy, Spain, Russia, and others); Latin America (Brazil, Mexico, and others); and the Middle East and Africa. According to the report, Asia Pacific accounted for the largest market share.

The Asia Pacific plant-based food market revenue is driven by increasing health awareness, a growing middle-class population, and dietary diversity. The adoption of plant-based diets, particularly in countries like China and India, is rising, creating a substantial market for plant-based products. For instance, the volume of soybean meal consumption in China in 2020/21 was 72.68 MMT, which was around 9% more than in 2018. Moreover, around 81% of Indian consumers restrained meat from their diet in 2021. Similarly, in 2020, Japan's daily per capita intake of plant-based proteins was 34.3 grams. The rise in plant-based diets is expected to continue to provide opportunities for food manufacturers in the upcoming years.

Leading Key Players in the Plant-Based Food Industry:

The market research report has provided a comprehensive analysis of the competitive landscape. Detailed profiles of all major companies have also been provided. Some of the key players in the market include:

• Amy's Kitchen Inc. 
• Atlantic Natural Foods LLC
• Beyond Meat Inc.
• Danone SA
• Garden Protein International Inc.
• Impossible Foods Inc. 
• Lightlife Foods Inc. (Maple Leaf Foods Inc.)
• Nestle S.A.
• Tyson Foods Inc.
• Vbite Food Ltd.
   

(Please note that this is only a partial list of the key players, and the complete list is provided in the report.)

Global Plant-Based Food Market News:

• March 2024: The Kraft Heinz Not Company LLC debuted NotHotDogs and NotSausages, the first ever plant-based Oscar Mayer offerings and the first plant-based meat innovation from the joint venture between The Kraft Heinz Company (Nasdaq: KHC) ("Kraft Heinz") and TheNotCompany, Inc. ("NotCo"). With its mission to create mouthwatering plant-based foods for all, The Kraft Heinz Not Company's Oscar Mayer NotHotDogs and NotSausages offer the savory and smoky experience that brand fans have known and loved for more than 140 years.
• March 2024: DSM-Firmenich, an innovator in nutrition, health, and beauty, has opened a new pilot plant in Plainsboro, New Jersey, designed to enable collaboration with customers. The pilot facility is part of DSM-firmenich's Taste, Texture & Health Business Unit and will support the company's commitment to accelerate global diet transformation by providing food & beverage brands with the capabilities to create enjoyable eating and drinking experiences that are healthier for people and more sustainable for the planet.
• March 2024: Supermarket chain REWE is reportedly opening an all-vegan store in Berlin, Germany. REWE is the second-largest food retailer in the country, with approximately 3,300 locations nationwide. The shop front of the new store will be located on Warschauer Straße, in the east Berlin district of popular tourist destination Friedrichshain.

Global Plant-Based Food Market Report Scope:

Key Benefits for Stakeholders:

• IMARC’s industry report offers a comprehensive quantitative analysis of various market segments, historical and current market trends, market forecasts, and dynamics of the plant-based food market from 2018-2032.
• The research report provides the latest information on the market drivers, challenges, and opportunities in the global plant-based food market.
• The study maps the leading, as well as the fastest-growing, regional markets. It further enables stakeholders to identify the key country-level markets within each region.
• Porter's five forces analysis assists stakeholders in assessing the impact of new entrants, competitive rivalry, supplier power, buyer power, and the threat of substitution. It helps stakeholders to analyze the level of competition within the plant-based food industry and its attractiveness.
• The competitive landscape allows stakeholders to understand their competitive environment and provides insight into the current positions of key players in the market.