Vegan Food Market Size, Share, By Product, Distribution Channels, and Region - Trends, Analysis and Forecast till 2035

• Vegan food market size was value at USD 37.1 Billion in 2024.
• The target market is projected to grow at USD 118.1 Billion in 2035.
• The market is growing at a CAGR of 13.6%.

Vegan food is totally made from plants and does not contain any animal products. Target market is driven by the increasing awareness related to the benefits of vegan diet and, rising concerns regarding animal health and animal cruelty. In addition, the rising demand for meat substitutes and alternative dairy products are another factors propelling the market expansion. Furthermore, technological advancements, which increases the efficiency and cost-effectiveness of production is also anticipated to create opportunities for growth of the global market over the forecast period.

Key Takeaways:

• North America held the largest share of the market in 2024 due to rising concerns about animal cruelty in the food industry.
• Asia Pacific is expected to be the fastest-growing market during the forecast period owing to increasing health consciousness among consumers and strong presence of key manufacturers.

Key Drivers of Target Market:

Surging Health Benefits of Vegan Food Drives Market Growth

The increasing health benefits of vegan food propels the vegan food market growth. Vegan food helps to lose weight, lowers the risk of heart diseases and stroke, reduces blood pressure, and helps in managing cholesterol. Vegan foods are high in dietary fibre and are rich in folate, vitamins C and E, minerals, potassium, and magnesium.

• For Instance, In September 2024, Researchers from Qilu Hospital of Shandong University conducted a review that shows a link between plant-based diets and better long-term health outcomes, particularly related to obesity. According to the research, a plant-based diet offers an effective approach to weight control and enhancing diet quality to prevent and manage metabolic disorders.

Restraints:

High Costs of Vegan Products May Impede Market Expansion

While a plant-based diet can be affordable, specialty vegan products and substitutes can be more expensive than their non-vegan counterparts further hampering the market growth. Organic or specialty items may also strain budget.

• Counterbalance Statements: One of the major solutions to this problem is usage of AI or any advance technology for the purpose of reducing production costs.

Opportunities:

New Innovations and Technological Advancements Fuel the Market Expansion

The vegan food sector has undergone a radical transformation in recent years due to new innovations and technological advancements. It enhance taste, hygiene, and user experience. Many advance technologies, such as ohmic heating, shear cell technology, 3D printing, and electrospining are used for the production of vegan food products.

• For Instance, In August 2024, Food technology company SUJIS LINK has secured a strategic investment of USD 2.5 million approximately from Samyang Foods. SUJIS LINK utilizes soybeans and High Moisture Extrusion (HME) technology to produce plant-based meat with a moisture content similar to that of traditional meat, approximately 65%.

Vegan food market is classified into product, distribution channels, and region.

Product:

Based on product, the vegan food market is categorized into meat & seafood, creamer, ice cream & frozen novelties, yogurt, cheese, butter, and others. Among these, the meat & seafood segment dominates the target market due to the high demand for plant-based meat substitute.  Additionally, the vegan cheese market is expected to grow at a CAGR 10.4% during the forecast period due to the factors, such as changing food habits and evolving trends.

• For Instance, in March 2024, NIÚKE Foods has announced the launch of its latest offerings in the vegan food sector, introducing a lineup of plant-based condiments and milk alternatives. The new range include eight varieties of chickpea vegan mayonnaise and three types of plant milk, including peanut and quinoa milk.

Distribution Channels:

The vegan food market by distribution is bifurcated into online and offline. The offline distribution channels segment is expected to hold the largest vegan food market share globally as they offer a wide selection and product availability of vegan products, such as consumer preference, packaged foods, fresh produce, dairy and meat substitutes. The online distribution channels is expected to grow at CAGR of 11.5% during the forecast period.

• For instance, According to the data published by Invesp, 48% of the U.S. grocery shoppers currently purchase at least some of their groceries online in 2019 and 25% of the U.S. grocery shoppers plan to shop 40% or more of their grocery shopping online in 2019. Additionally, increasing number of online grocery shopping platforms such as Instacart, Amazon Fresh, Tesco, Morrisons Big Baskets, and many more helps to boost the market growth.

Region:

Geographically, the market is studied across North America, Europe, Asia Pacific, Latin America, and the Middle East & Africa.  

North America: North America is expected to dominate the market during forecast period. The growth is attributed to the rising concerns about animal cruelty in the food industry, negative impact on the environment, large number of lactose-intolerant people, and strategies owned by key market players among others.

• For Instance, in February 2024, Impossible Foods announced its partnership with the U.S. military. The U.S. Army Central is now poised to introduce Impossible’s plant-based meat products into its dining facilities overseas in the coming weeks.

Asia Pacific: Asia Pacific is considered to be the fastest growing region in the target market. As countries, such as China, India, and many more are significantly leading in the region due to the increasing health consciousness among consumers. The region’s growth is also driven by the strong presence of key manufacturers adopting the strategies, such as product launch and others.  

• For Instance, in January 2024, Fazer, one of the well-known chocolate brand in Asia Pacific region, launched the world’s first chocolate produced using ‘protein out of thin air’ in Singapore, citing its high iron and fibre content attracting the vegan and health-conscious consumers.

Vegan Food Market Report Scope:

Segmentation:

By Product:

• Meat & Seafood
• Creamer
• Ice Cream & Frozen Novelties
• Yogurt
• Cheese
• Butter
• Others

By Distribution Channel:

• Online
• Offline

By Region:

• North America
  • U.S.
  • Canada
• Europe
  • Germany
  • U.K.
  • France
  • Russia
  • Italy
  • Spain
  • Netherland
  • Switzerland
  • Rest of Europe
• Asia Pacific
  • China
  • India
  • Japan
  • Australia
  • Indonesia
  • Malaysia
  • South Korea
  • Rest of Asia Pacific
• Latin America
  • Brazil
  • Mexico
  • Argentina
  • Rest of Latin America
• Middle East & Africa
  • GCC
  • Israel
  • South Africa
  • Rest of Middle East & Africa

The key players operating in the vegan food market include Beyond Meat Inc., Daiya Foods, DANONE, and others. The strategies adopted by the key players their growth include, building huge distribution network, strong brand reputation, significant marketing, and fundamental investments.

• For Instance, in August 2022, Tofutti Brands, a U.S. based dairy-free food company, introduced new packaging for its products to improve the company’s branding, Tofutti Brands is also planning to enhance its social media and digital marketing, sales and distribution strategies to maintain its market position.

List of Key Players in the Market:

• Beyond Meat Inc.
• Daiya Foods
• DANONE
• Tofutti Brands, Inc.
• VBites
• Impossible Foods Inc.
• Conagra Brands, Inc.
• ADM
• Hain Celestial
• SunOpta
• Axiom Foods, Inc.
• Kellanova
• Amy’s Kitchen Inc.
• Taifun-Tofu GmbH
• Nutrisoy Pty Ltd.
• Eden Foods
• Vitasoy International Holdings Ltd.

• In October 2024, Axiom Foods announced a significant increase in orders and production for Vegotein CLEAR Pea Protein and Oryzatein CLEAR Rice Protein in 2024. Originally launched in 2022, these clear, plant-based proteins have transformed beverage formulations, offering a clean, grit-free option for high-acid and low-pH beverages including coffee, citrus fruit, beer, and electrolytes.

• In September 2023, MorningStar Farms launched a plant-based burger with ominvore consumers in mind. The Kellogg brand claims the new product has similar taste and texture of traditional meat burgers as the company is focusing on beyond vegan consumers. 

• In December 2020, Axiom Foods launches New Versions of VegOtein TX Texturized Pea Protein for Vegan and Processed Meats.

Analyst View:

The industry for vegan food is placed for a substantial growth due to the increasing awareness regarding the benefits of vegan diet, along with the rising concern about animal health and animal cruelty, rising demand for meat substitutes, and alternative dairy products. New product launches, advanced technologies, and several collaborations, and partnerships helps to boost the growth of the market in the upcoming years.

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