Plant Based Food Market Overview
The key drivers impacting the plant-based food market is the growing awareness about vegan food options leads to the growing demand for plant-based food globally. For instance, according to the food revolution network in the U.S., there was a 600% increase in people identifying as vegans in the U.S in the last three years. Similarly, in the UK, people who identify as vegans have raised by 350%. In addition to this, with the growing incidence of obesity, hypertension, cardiovascular diseases, people are particular about eating healthy. According to the health data organization, there are around 2.1 billion people (that is 30% of the world’s population) who were, are either overweight or obese globally in 2015. According to the International Diabetic Federation (IDF), there were approximately 463 million adults (20-79 years) who were living with diabetes in the year 2019 and are expected to reach 700 million by 2045.
The global plant-based food market size was valued at USD 16.9 billion in 2019 and is estimated to reach USD 34 billion by 2026 with a prominent CAGR of 10.5% during the forecast period of 2019-2026.
Moreover, the high prevalence of incidents caused by the intolerance for animal protein across the globe is anticipated to increase the plant-based food market demand under the forecast period. According to the National Institute of Allergy and Infectious Diseases, around 90% of these food allergies are caused by eggs, milk, fish, red meat, soy, and nuts.
The high changing consumer perceptions towards vegetarian diets as well as its potential benefits in regulating cholesterol and insulin levels is a key determinant adding growth to the market. Also, the current trend of eating vegan pasta and vegan chocolates globally is considered as the key factor that is positively impacting the market. However, the high cost and fluctuating prices may hamper the global plant-based food industry in the long run. Also, the significant preference for animal-based products is likely to restrict the market growth. The current industry trends show the growing focus towards recycling and reuse of plant-based food and high prospects for electrification in transport in the coming decade are creating new market opportunities for the key players.
The plant-based food market is vast, with a large number of local and global players. The key leaders follow various strategies to improve their market position, such as mergers, acquisitions, expansions, and improved quality products at the best prices to enhance their market share across the world. For instance, In May 2020, JUST Inc, a company that implements progressive science and technology to develop more sustainable and healthier food products, combined with Michael Foods, a Post Holdings subsidiary and one of the chief processors of value-added eggs worldwide, in order to provide the top-selling, plant-based JUST Egg to millions of consumers in the U.S.
Similarly, in April 2020, REFILE-Cargill also expanded its plant-based protein food for China following a successful trial of plant-based nuggets by Yum China Holdings Inc.’s KFC. The company also plans to offer more plant-based products to the foodservice sector. The report studies a few key players of the global plant-based food market in detail, covering the company profile, product list, and financial information. The dominating key players included in the report are Beyond Meat, Impossible Foods, Danone, Garden Protein International, Amy’s Kitchen, Follow Your Heart, The Hain Celestial, Sahmyook Foods, Sanitarium Health and Wellbeing, Axiom Foods, Daiya Foods, Earth's Own Food Company, Lightlife Foods, REFILE-Cargill., Taifun-Tofu GmbH, Atlantic Natural Foods, JUST Inc, and Nutrisoy Pty always been the initial targets of plant-based food companies and many others.
In this market research report, the market is segmented by product, source, distribution channel, and region.
By Product Analysis
By product, the report is categorized into dairy alternatives, meat substitutes, plant-based eggs, confectionery, and others. The dairy alternative market is further segmented into Plant-Based Milk, Ice Cream, Creamer, Yogurt, Butter, Cheese, and Others. The meat substitute market is further segmented into Tofu, TVP, Tempeh, Seitan, Burger Patties, Sausages, Ground Meat, Meatballs, Nuggets, Crumbles and others. Tofu dominates the meat substitute market due to the growing demand of tofu as it is very rich in protein content. A dairy alternative dominates the product segment in 2019 with a maximum market share of xxx in terms of volume as well as revenue. It is expected to maintain its dominancy over the forecast period because of its growing adoption due to benefits offered by plant-based dairy products, and the rising number of lactose-intolerant people. Moreover, the rising awareness of ethical concerns about animal abuse in modern dairy farming practices is also driving the dairy alternative product segment.
By Source Analysis
By source, the report is categorized into soy protein, wheat protein, almond protein, pea protein, and rice protein. The Pea protein segment dominates the source segment in 2019 with a maximum market share. It is due to the growing consumer’s desire to find good tasting and sustainable animal-based protein alternatives, and its nutritional qualities as well as its allergen-free, gluten-free, and lactose-free properties. Moreover, growing investments from major manufacturers such as Ingredion Inc. (U.S.) and Roquette Frères Le Romain (France) in this space are also supporting the growing demand for pea protein sourced plant-based products across the globe.
By Distribution Channel Analysis
By distribution channel, the report is categorized into Business to Business, Business to Customers. Business to Customers (B2C) dominates the distribution channel segment in 2019 with a maximum market share. It is due to the growing number of supermarkets and hypermarkets and augmented overall product sales from these outlets are encouraging its demand. Moreover, growing consumer expenditure on vegan products and their preference for shopping from brick-and-mortar grocers due to easy availability and access is driving the Business to Customers (B2C) market globally.
By Region Analysis
In the regional outlook of the global plant-based food market, Europe dominates with the highest market share of 33.99% in 2019. Europe region is the significant region globally driving the market share over a forecast period. The rapidly growing adoption of vegan meat alternatives such as soy sausages, wheat burger patties, pea fillets, lentil strips, and oat nuggets, is the primary growth factor contributing at a regional level. Moreover, the increasing awareness towards harmful effects of white & red meat consumption and other health issues such as difficulty in digesting high saturated fat concentration, and bacterial infections caused by seafood borne bacterial infections driving the market in the UK, Germany, Italy, and France. The APAC market is anticipated to record considerable growth during the forecast period due to the presence of the key players, raising awareness about the benefits of protein diet in daily nutrition in the region.
Market Segmentation covered in the Report:
By Product Type
- Dairy Alternatives
- Plant-Based Milk
- Ice Cream
- Meat Substitute
- Burger Patties
- Ground Meat
- Plant-based Eggs/Egg Substitute
By Distribution Channel
- Soy Protein
- Almond Protein
- Wheat Protein
- Pea Protein
- Rice Protein
- Business to Business
- Business to Customers
- Modern Groceries
- Convenience Store
- Specialty Store
- Online Retail
• North America
• Asia Pacific
• Latin America
• The Middle East and Africa
This market research report has been produced by gathering information on the basis of primary and secondary research. Secondary research has been done by using various sources which include (but not limited to) Company Websites, Paid Data Sources, Technical Journals, Financial Reports, SEC Filings, and other different industry publications.
If specific information is required which is not currently within the scope of the report, it can be provided as a part of customization.