Global Plant Based Food and Beverage Market Outlook - Forecast Trends, Market Size, Share and Growth Analysis Report (2024-2032)

Global Plant Based Food and Beverage Market Growth

Plant based food and beverages refer to products derived from plants including soy, coconut, wheat, almond, vegetables, nuts, legumes, seeds, and fruits, among others. Due to their environmentally sustainable nature, these products are gaining popularity in various regions across the globe.

The increasing adoption of vegan diets due to rising health concerns and increasing incidences of allergies is supporting the growth of the plant based food and beverage industry. The exclusion of animal-based products from diets decreases the consumption of trans and saturated fats, reducing the risk of hypertension, heart diseases, diabetes, and obesity, among others.

Global Plant Based Food and Beverage Market Analysis

The plant based food and beverage industry growth is driven by expanding contracts with different channels. Distribution channels such as supermarkets, hypermarkets, convenience stores, and online platforms offers a range of flavours, which is creating attractive growth opportunities for the plant based food and beverage market.

The plant based food and beverage market dynamics and trends are being driven by the increasing prevalence of lactose intolerance, which is boosting the demand for plant-based beverages worldwide. This disorder, caused by a deficiency in the enzyme lactase, is leading more people to seek plant-based alternatives.

Plant Based Food and Beverage Industry Outlook

According to industry reports, investment in plant-based companies from 2010 to 2022 demonstrated significant capital inflows, particularly in the United States, which led to USD 4.1 billion invested across 43 deals. Israel followed with USD 325 million in investments through 12 deals whereas Singapore's investment totalled USD 240 million with 5 deals. China's investment totalled USD 147 million across 3 deals, while France and Switzerland invested USD 119 million and USD 120 million, respectively, through 4 and 3 deals. The United Kingdom's investment was USD 292 million spread over 15 deals, fuelling the plant based food and beverage market revenue as, companies in this sector are driving innovation with a variety of products, such as plant-based milks, meat substitutes, and snacks, to meet diverse consumer preferences.

As per the Good Food Institute, in 2023, the United States led global investments in plant-based meat and seafood with USD 240 million, solidifying its dominant position in the market with a total of 45 deals. Sweden followed with significant investments totalling USD 429 million whereas the United Kingdom attracted USD 35 million in investments across 11 deals. France secured USD 76 million through 5 deals and Australia's investment reached USD 9 million, spread over 3 deals. Canada spent USD 68 million in investment through 6 deals while Spain spent USD 7 million across 7 deals. Austria, Finland, and Italy, with respective investments of USD 13 million, USD 9 million, and USD 5 million, each with a single deal, demonstrated an emerging interest in plant-based solutions.

As per the World Population Review, in 2021, India led the global vegan population with 9% of its population identifying as vegan. Germany, the United Kingdom, Austria, and Finland each reported a 2% vegan population whereas Spain had a percentage of 0.8%. By 2022, Greece and Hungary joined the ranks of countries with a 2% vegan population whereas Austria and Finland maintained their 2% vegan population. Germany and the United Kingdom had a steady 2% vegan population from 2021 to 2022, while India's 9% vegan population in 2021 continued to significantly impact the plant based food and beverage industry revenue as the rising number of individuals adopting vegan diets for health, ethical, and environmental reasons is driving increased demand for plant-based products.

Plant-based foods are often perceived as healthier, offering lower levels of saturated fats and higher nutrient content, attracting health-conscious consumers and driving the plant based food and beverage demand growth.

• These products have a lower environmental impact compared to animal-based foods, appealing to eco-conscious consumers, and supporting sustainability initiatives.
• The market benefits from continuous product innovation, including diverse and improved plant-based alternatives that meet various dietary needs and preferences.

Plant-based products can be more expensive than traditional animal-based options, potentially limiting affordability for some consumers.

• Some consumers may find plant-based alternatives lacking in taste or texture compared to traditional animal-based foods.
• Plant-based options may not be as widely available in all regions, restricting market reach and consumer choice.

Increasing consumer awareness of health and environmental issues creates a rising demand for the plant based food and beverage market. 

• Expanding product lines and entering new markets can drive growth and increase plant based food and beverage market share.
• Collaborations with restaurants, retailers, and food service providers can enhance product visibility and accessibility.

The market faces high competition from both established food companies and new entrants, which can impact market share and profitability.

• Changing regulations and labelling requirements could affect product formulations and marketing strategies.
• Disruptions in the supply chain for key plant-based ingredients can impact production and availability.

Key Players in the Global Plant Based Food and Beverage Market and Their Key Initiatives

Nestle S.A.

• Launched a plant-based milk alternative to meet the growing demand of the plant based food and beverage market. 
• Introduced plant-based Toll House chocolate chips.

Conagra Brands, Inc.

• Introduced more than 50 new plant-based products.
• Expanded the use of plant-based fibre bowls for its Healthy Choice.

Campbell Soup Company

• Expanded plant-based beverage line to capture the plant based food and beverage market opportunities. 
• Invested USD 230 million in supply chain optimisation. 

Danone S.A.

• Danone launched a new dairy and plant mix infant formula.
• Inaugurated a new plant-based beverage production facility. 

Global Plant Based Food and Beverage Industry Segmentation

“Global Plant Based Food and Beverage Market Report and Forecast 2024-2032” offers a detailed analysis of the market based on the following segments:

Market Breakup by Type

• Plant Based Dairy
• Meat Substitutes
• Plant Based Nutrition/Snack Bars
• Plant Based Bakery Products
• Plant Based Beverages
• Others

Market Breakup by Source 

• Soy
• Coconut
• Wheat
• Almond
• Others

Market Breakup by Category 

• Organic
• Conventional

Market Breakup by Distribution Channel 

• Supermarkets and Hypermarkets
• Convenience Stores
• Online
• Others

Market Breakup by Region

• North America
• Europe
• Asia Pacific
• Latin America
• Middle East and Africa

Plant Based Food and Beverage Market Share

As per the plant based food and beverage market analysis, organic plant-based food and beverages are expected to witness significant growth in the coming years. The increasing availability of organic products across different distribution channels and growing awareness about the various negative health effects associated with the consumption of food products produced using pesticides is boosting the segment expansion. The increase in environmental concerns is further supporting the production of organic produce driving the plant based food and beverage demand growth. 

Leading Companies in the Plant Based Food and Beverage Market

The companies emphasise providing nutritious, high-quality products and creative solutions that cater to a wide range of consumer needs and preferences.

• Nestle S.A. 
• Conagra Brands, Inc. 
• Campbell Soup Company 
• Danone S.A. 
• Beyond Meat Inc. 
• Hain Celestial Group Inc. 
• Noumi Ltd. 
• Blue Diamond Growers 
• Tofutti Brands, Inc. 
• Eden Foods, Inc.