Global market for plant-based drinks grows at 11.7% CAGR
According to Research and Markets, the global plant-based beverage market will be worth $47.55 billion by 2030, growing at a CAGR* of 11.7%.
*Compound annual growth rate.
Plant-based dairy alternatives from Alpro / Photo: Alpro
Oat drink may be the common denominator
The high prevalence of lactose intolerance and milk allergy, coupled with increased health awareness, will be a key market driver. Environmental concerns and increased support from governments and investors will also be an advantage for the industry in the future. However, volatile raw material prices and consumer preferences for dairy products of animal origin may restrain market growth, but soy, nut and cereal allergies may also pose a challenge.
By type, oat drinks are expected to register the highest growth rate during this forecast period, as they are soy-free, low in fat and can be made gluten-free. Its neutral taste and growing consumer awareness of the health benefits of oats are also likely to play a role.
Vairy brand vegetable cream cheese alternative / Photo: Vairy
Delicious, varied and versatile
In the future, the emerging economies of Asia-Pacific and Latin America are expected to create new growth opportunities in the plant-based beverage market. Western-style diets are becoming increasingly popular in the Asia-Pacific region, and the population is also growing in vegan and flexitarianism.
The B2C segment is expected to hold the largest market share as stores, especially supermarkets and hypermarkets, provide more shelf space for plant-based alternatives to dairy. The CAGR of flavoured plant-based beverages will be higher than that of unflavoured products, largely due to the increasing demand for ready-to-drink beverages.
The report is supported by recent data showing that European plant-based milk alternative sales grew by 49% between 2020 and 2022, with particularly strong growth in Germany. Other products made to supplement the organoleptic properties of dairy products, such as plant yoghurt alternatives and plant butter substitutes, are also set to see significant market growth.
“The plant-based drink is not only climate-friendly, but also tasty, varied and versatile – and thus popular with people with different diets,” says Dirk Liebenberg, Food and Retail Project Manager at ProVeg Germany.