Home Food & Beverages Plant-Based Food and Beverages Market Size, Share and Forecast to 2031

Plant-Based Food and Beverages Market

Plant-Based Food and Beverages Market Size, Share & Trends Analysis Report By Product (Plant-Based Milk and Derivatives, Plant-Based Meat, Bakery and Confectionery, Sweet and Savory Snacks, Plant-Based Juices, RTD Tea and Coffee, Others), By Source (Soy, Wheat, Pea, Coconut, Almond, Cashew, Others), By Category (Conventional, Organic), By Distribution Channel (Store-Based, Non-Store-Based) and By Region(North America, Europe, APAC, Middle East and Africa, LATAM) Forecasts, 2023-2031

Report Code: SRFB54238DR
Study Period 2019-2031 CAGR 11.20%
Historical Period 2019-2021 Forecast Period 2023-2031
Base Year 2022 Base Year Market Size USD 21,721.20 Million
Forecast Year 2031 Forecast Year Market Size USD 56471.18 Million
Largest Market Europe Fastest Growing Market North America
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Market Overview

The global plant-based food and beverages market size was valued at USD 21,721.20 million in 2022. It is projected to reach USD 56,471.18 million by 2031, growing at a CAGR of 11.20% during the forecast period (2023-2031). The advancement of vegetarian and vegan diet and popularity of plant-protein ingredients among food and beverage manufacturers drives the market growth.

Foods and beverages made entirely or primarily from plant-based ingredients, such as grains, legumes, nuts, fruits, and vegetables, are plant-based. Customers who follow a vegetarian or vegan diet prefer them because they don't contain any ingredients derived from animals. The demand for healthy eating practices drives a rapid expansion of the global plant-based foods and beverages market. Vegan culture is gaining popularity among consumers due to its numerous health benefits, such as lowering cholesterol, stabilizing blood sugar, reducing inflammation, and bolstering the immune system, thereby increasing the global demand for plant-based foods and beverages. There is a rising demand for non-dairy products due to the prevalence of lactose intolerance worldwide. The sales of plant-based milk and its derivatives have increased as a result. The plant-based foods and drinks market is expanding due to rising customer desire for vegan and vegetarian diets.

Market Dynamics

Global Plant-Based Food and Beverages Market Drivers:

Advancement of Vegetarian and Vegan Diet

Consumers are increasingly choosing healthier lifestyles as a trend. Obesity, diabetes, and cardiovascular disease are rising due to unhealthy lifestyles, which has prompted consumers to embrace more nutritious eating habits. A plant-based diet, typically described as a routine that emphasizes whole, plant-based food and beverages and opposes meats, dairy products, eggs, and all refined and processed foods, is the most excellent way to accomplish healthy eating. Additionally, people are becoming increasingly aware of how their lifestyle decisions and purchases affect the environment.

More consumers are converting to plant-based diets for various reasons, including animal welfare, environmental protection, general health concerns, and shifting taste preferences. The trend of veganism, which is now famous, results from a growing concern for the welfare of animals, human health, and the environment. Veganism is linked to several positive health outcomes, including improved diabetes control, decreased rates of obesity, and better heart health. Most vegans are in Israel, Sweden, Japan, Poland, the U.S., Germany, and the U.K.

Global Plant-Based Food and Beverages Market Restraint:

Association of Specific Plant Protein Sources with Poor Sensory Properties and Allergen Reactions

Soy and nut protein are the two primary plant-protein sources in the food and beverage sector with a wide range of uses. However, proteins from plant sources with different amino acid profiles are frequently linked to unpleasant flavors. Although they are all very well-liked forms of plant-derived protein, rice, pea, and chia each has distinct off flavors, bitter undertones, and vegetal aftertastes. This hinders customers' adoption of food and beverages made from plants.

Additionally, a sizeable percentage of people have allergies to particular nuts, including walnuts, almonds, hazelnuts, and Brazil nuts. Itching, rashes, dermatitis, and breathing difficulties are just a few of the mild to severe symptoms of allergic reactions brought on by eating nuts. Peanuts and tree nuts (walnuts, almonds, cashews, pistachios, and pecans) are two of the eight foods that account for over 90% of all food-allergic reactions each year in the U.S., according to Food Allergy Research and Education (FARE).

Global Plant-Based Food and Beverages Market Opportunities:

Popularity of Plant-Protein Ingredients Among Food and Beverage Manufacturers

There have been numerous product line extensions for plant-based foods and beverages recently. Increased R&D spending and technical development have resulted in the market's appearance of novel items. With the assurance of a steady and established vegetarian market in developed nations like the U.K., the US, Germany, and France, as well as the growing stability of the vegetarian population globally, food and beverage manufacturers have begun focusing more on the variety of plant-based product options and creating products with plant-based flavors.

Many businesses are broadening their consumer base by emphasizing plant-based protein components and avoiding animal products whenever possible. Even meat producers are adding meat substitutes to their product lineup to appeal to the vegetarian market to avoid alienating a developing market segment.

Regional Analysis

Europe Dominates the Global Market

The global plant-based food and beverages market is divided into four regions: North America, Europe, Asia-Pacific, and LAMEA. 

Europe is the most significant revenue contributor and is expected to grow at a CAGR of 11.20% during the forecast period. Instead of high-calorie soft drinks, consumers are choosing more nutritious and healthier drinks. The growth of the market for plant-based foods and beverages in European nations over the forecast period is positively impacted by advancements in technological development. Rising flexitarian, vegetarian, and vegan diets are predicted to increase demand for plant-based foods and beverages, as are rising consumer preferences for organic and genetically modified (G.M.) free supply chains. Additionally, the appeal of various cuisines has contributed to a shift in consumer behavior toward plant-based foods and beverages.

North America is expected to grow at a CAGR of 10.80% during the forecast period. The surge in the desire for nutritious foods and healthy diets is mostly to blame for the rising demand for North America's plant-based food and beverage products. In North America, interest in and excitement for plant-based diets and veganism are expanding. More than 9.5 million Americans currently consume plant-based foods and beverages, according to the study. Consumption of plant-based food and drinks, such as meat substitutes, fruit juices, plant-based eggs, and dairy substitutes, has surpassed that of conventional animal products in the U.S. and is increasing at a rate six times faster than that of animal products, according to data from the Good Food Institute and the Plant-Based Foods Association.

The Asia-Pacific plant-based foods and drinks market is now mainly at the introduction stage. With the most significant market share throughout the study period, China is the dominant country-level market in the area. The region is expected to present profitable prospects for plant-based food and beverages producers during the forecast period because it is home to more than 60% of the world's population or roughly 4.3 billion people. Plant-based food and drink development has faced considerable obstacles in the past few years due to various socioeconomic and cultural standards.

South America is fast growing market. The growing popularity of flexitarian trends among South American consumers for the consumption of plant-based food and beverages without compromising taste, texture, juiciness, feeling, and experience is the main factor driving the growth of the South American market. The demand for plant-based food and drinks in South America is also predicted to increase due to rising purchasing power and growing awareness of a healthy lifestyle. Market share contributions from the Middle East and Africa are also crucial for plant-based foods and drinks worldwide.

Report Scope

Report Metric Details
By Product
  1. Plant-Based Milk and Derivatives
  2. Plant-Based Meat
  3. Bakery and Confectionery
  4. Sweet and Savory Snacks
  5. Plant-Based Juices
  6. RTD Tea and Coffee
  7. Others
By Source
  1. Soy
  2. Wheat
  3. Pea
  4. Coconut
  5. Almond
  6. Cashew
  7. Others
By Category
  1. Conventional
  2. Organic
By Distribution Channel
  1. Store-Based
  2. Non-Store-Based
Company Profiles Tyson Foods Inc. Nestle SA Clara Foods Keystone Natural Holdings Premier Foods PLC Danone S.A.
Geographies Covered
North America U.S. Canada
Europe U.K. Germany France Spain Italy Russia Nordic Benelux Rest of Europe
APAC China Korea Japan India Australia Taiwan South East Asia Rest of Asia-Pacific
Middle East and Africa UAE Turkey Saudi Arabia South Africa Egypt Nigeria Rest of MEA
LATAM Brazil Mexico Argentina Chile Colombia Rest of LATAM
Report Coverage Revenue Forecast, Competitive Landscape, Growth Factors, Environment & Regulatory Landscape and Trends
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Segmental Analysis

The global plant-based food and beverages market is segmented by product type, source, category, and distribution channel.

Based on product type, the global plant-based food and beverages market is bifurcated into plant-based milk and derivatives, plant-based meat, bakery and confectionery, sweet and savory snacks, plant-based juices, RTD tea and coffee, and others.

The plant-based milk and derivatives segment is the highest contributor to the market and is estimated to grow at a CAGR of 10.90% during the forecast period. Most of the need for plant-based foods and beverages comprised this sector. This section is further broken down into subcategories like plant-based milk, cheese, yogurt, and butter. Plant-based milk and its derivatives are frequently promoted as healthy and suitable alternatives to dairy products. Plant-based milk is seen as a replacement, especially for lactose intolerant, even though it may not be comprehensive regarding vital mineral makeup. Plant-based milk can be made from various plant sources, including soy, almond, rice, and coconut. These plant ingredients also make other foods, including cheese, butter, and yogurt.

The bakery business has innovated in clean-label, vegan, and plant-protein options in response to rising customer demand for plant-based foods. To appeal to an increasingly health-conscious public, manufacturers are moving toward adopting plant-based ingredients that promote good health in bakery and confectionery products, including bread, cookies, granola bars, and other baked goods. Sprout powders are a novel form of concentrated plant protein recently gaining significant acceptance in the bread sector. Alfalfa, barley, broccoli, kale, mustard, oat, pumpkin, quinoa, radish, and sunflower sprouts are among the many conventional and organic crops whose sprouts are dried and ground into powder before being utilized to make nutritious bread and confectionery products.

Consuming more snacks from healthy plant sources has made healthy snacking a global trend. Additionally, various plant proteins are becoming more prevalent in the snacks market, propelling the development of the sweet and savory snacks market. The snack food business is seeing an increase in the use of soy protein, nut protein, pea protein, moong bean, watermelon seed, and hempseed flour. The growth of the sweet and savory snacks market has been driven by the rise in vegetarian and vegan consumers and more significant health consciousness regarding meat alternatives.

Based on the source, the global plant-based food and beverages market is bifurcated into soy, wheat, pea, coconut, almond, and cashew.

The soy segment is the highest contributor to the market and is estimated to grow at a CAGR of 10.75% during the forecast period. The majority of sources used to make meat-free goods are soybeans. Soy protein isolates are a vital calcium and linoleic acid source and have a biological value comparable to meat. The market trends for soy-based food items (meat and dairy substitutes) have shown a rise in the demand for soy foods among health-conscious consumers. Its ability to emulsify, stabilize, texture, and hydrate the goods makes it helpful in the production of emulsion-type products. Most soy meat substitutes were made using the extrusion method, in which the product's texture remains fibrous due to disulfide bonding and resemble that of flesh. In addition, soy is used to make soy milk.

Food and beverage production uses wheat gluten that has been isolated from wheat. It is a cohesive and viscoelastic protein complex that was uncovered as a by-product of the starch extraction from wheat flour. Due to its capacity to bind, make a dough, and leaven is frequently used to process and prepare plant-based food and beverages. It lacks lysine and threonine content but is high in glutamine, an amino acid that helps build muscle. Wheat gluten alters both flavor and texture in terms of sensory characteristics.

Field pea is a functional ingredient in the food processing industry and is a crucial source of various nutritional elements, including protein, carbohydrates, and fiber. Due to their non-allergenic, non-GMO, high protein, low glycemic, and high fiber content, dried pea snack foods are in high demand. Peas are also favored vegan food sources and are becoming more well-known as agriculturally sustainable crops because of their capacity to fix nitrogen and their minimal need for agronomic inputs. The use of pea protein in baking and sports nutrition is widespread.

One of the most widely cultivated and consumed nuts worldwide is the coconut. They are frequently used in food preparation, flavoring, and beverages, particularly in Asian nations. Popular items such as packaged coconut water, coconut powder, coconut milk and cream, coconut oil, and coconut chips are made from coconut by market participants. Coconut honey, sauce, jaggery, Nata-de-coco, confections, sugar, and vinegar are different product varieties. Various coconut by-products are linked to several health advantages. For instance, coconut oil possesses antibacterial and antioxidant effects. The same applies to coconut water, which promotes digestion and reduces bloating after meals.

The global plant-based food and beverages market is bifurcated into conventional and organic based on category.

The conventional segment is the highest contributor to the market and is estimated to grow at a CAGR of 10.55% during the forecast period. This category comprises plant-based foods and drinks with plant ingredients produced according to traditional farming methods. They are cultivated naturally without extra assistance. Due to a movement in consumer preference toward organic food and drink, the segment is anticipated to grow more slowly during the projection period. The adverse effects of chemical residues in agricultural products cultivated traditionally are expected to hinder the segment's expansion.

This area includes foods and drinks made from naturally grown plant materials that don't contain synthetic chemicals. Since the ingredients are produced under strict rules and supervision to preserve purity and minimal to no chemical concentration, these items are chemical-free. Foods and beverages made from organic plants cost more to produce.

Based on the distribution channel, the global plant-based food and beverages market is bifurcated into store-based and non-store-based.

The store-based segment is the highest contributor to the market and is estimated to grow at a CAGR of 11.05% during the forecast period. Due to the convenience of one-stop purchasing, consumers favor store-based channels. Examples are supermarkets/hypermarkets, convenience stores, and other store-based distribution networks. Most sales of plant-based food and drink are made at supermarkets and hypermarkets. By providing premium goods and private-label options, convenience stores are among the retail establishments that greatly aid in distributing plant-based food and beverages.

The manufacturers of plant-based foods and beverages distribute them through numerous online shopping sites or their websites as one of the non-store-based distribution methods. Manufacturers can broaden their geographic reach and, in turn, their customer base by using e-commerce channels. Businesses are releasing new items that cannot be distributed to consumers globally. To speed up the procedure, e-commerce methods are increasingly preferred. Additionally, sellers may build brand recognition more easily with this arrangement.

Market Size By Product

Market Size By Product
  • Plant-Based Milk and Derivatives
  • Plant-Based Meat
  • Bakery and Confectionery
  • Sweet and Savory Snacks
  • Plant-Based Juices
  • RTD Tea and Coffee
  • Others
  • Recent Developments

    • March 2021- With Ingredion, Clara Foods introduced the first pepsin made without using animals. This pepsin, an enzyme ingredient used in various food and pharmaceutical goods, is entirely pig product-free. Its first commercially successful offering will only be sold through Ingredion.
    • January 2021- Under the Jimmy Dean brand, Tyson Foods, Inc. introduced two new plant-based sandwiches. The Jimmy Dean plant-based burger, egg, and cheese croissant sandwich and the Jimmy Dean Delights plant-based patty and frittata sandwich are two new items. This aided the business in satisfying the rising demand for meat alternatives.

    Key Players

    Plant-Based Food and Beverages Market Share of Key Players

    Plant-Based Food and Beverages Market Share of Key Players
    Tyson Foods Inc. Nestle SA Clara Foods Keystone Natural Holdings Premier Foods PLC Danone S.A. Others

    Frequently Asked Questions (FAQs)

    How big is the plant-based food and beverages market?
    The global plant-based food and beverages market size was valued at USD 21,721.20 million in 2022. It is projected to reach USD 56,471.18 million by 2031, growing at a CAGR of 11.20% during the forecast period (2023-2031).
    North America has the highest growth rate in the plant-based food and beverages market.
    Key verticals adopting the plant-based food and beverages market include: Tyson Foods, Inc., Nestle SA, Clara Foods, Keystone Natural Holdings, Premier Foods PLC, and Danone S.A.
    Advancement of vegetarian and vegan diet are the key drivers for the growth of the plant-based food and beverages market.
    The popularity of plant-protein ingredients among food and beverage manufacturers is one of the upcoming key trends in the plant-based food and beverages market.

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