Plant Based Cheese Market

Global Plant-based Cheese Market Size (2024 to 2029)

The global plant-based cheese market is expected to be worth USD 3.43 Billion by 2029 from USD 1.62 Billion in 2024, growing at a compound annual growth rate (CAGR) of 16.2% during the forecast period.

The widespread adoption of plant-based cheese across the food industry and the availability of various flavors are expected to fuel the plant-based cheese market. The cashew-based cheese segment is expected to have a large share of the market. It contains the vitamins B2 and B12, which are low in fat, and the demand is increasing as it is gluten-free and cholesterol-free and helps in targeting health-conscious customers.

The widespread adoption of plant-based cheese across the food industry and the availability of a variety of flavors are expected to fuel the plant-based cheese market. The rise of veganism and its popularity among the population has propelled the food manufacturing industries to incorporate dairy-free alternative ingredients in the production process of various varieties of food products. This cheese is widely used in the bakeries and fast-food joints. The rising demand for vegan cheese led to the introduction of vegan burgers, pizzas, and other vegan fast-food products by leading food ventures like Domino’s and MacDonald’s. The further rise in the demand for the product resulted in the sale of these in the grocery and retail stores. The manufacturers are offering consumers a chance to experience novel tastes through the introduction of vegan cheese in different flavors like caramel, blueberry, and others. The market players are gradually increasing their penetration into the market with the continuous improvement in the texture and mouthfeel of vegan cheese to match the qualities of the traditional dairy alternative.

The shit in the consumer preferences is driving the growth of the plant-based cheese market. The increase in awareness about health among consumers increases the sales of vegan cheese. Concerns about lactose intolerance, allergies, a desire for diverse culinary options, and environmental concerns are various for the rise in the demand for the market. The increase in the trend of veganism and interest in the vegan foods aid in the market expansion of plant-based cheese drives the production and demand for these alternatives.

The rise in the usage of mozzarella cheese in the food industry. It is widely used in Italian dishes like Caprese salad, pasta, pizza, and many others and is also available in different sizes and shapes. With the increase in the popularity of Italian cuisine, the demand for mozzarella cheese usage is also increasing, resulting in global market growth.

The high cost of the product is acting as a restraint on the market and hindering the growth of the plant-based cheese market. The demand for these products puts pressure on the suppliers of raw materials such as cashews, soy, and almonds. It creates difficulty for the producers of the raw materials. The improper production results in hampering the market growth. Even the cost of the small quantity of the raw material is also high, making the final product costly, which limits the adoption of plant-based cheese by the people. As the product is new to the market, there is difficulty in the adoption and awareness of it among customers. If it is combined with the high cost, the sales will see a declining trend.

COVID-19 Impact on the Plant-based Cheese Market

The COVID-19 pandemic has had a significant impact on the plant-based cheese market. Many industries have suffered due to the sudden outbreak of the pandemic, the implementation of the lockdown, and several restrictions on the movement of people or products across the national and international levels. The limitation in the availability of labor causes the shutdown of operational activities, resulting in a decline in the supply rate. On the other hand, with the rise in awareness about health and its importance during the pandemic, people started to focus on healthy foods. This resulted in an increase in demand for plant-based cheese due to its nutritional value. Additionally, people started consuming vegan food because there is a perception that the virus may spread through animal meat. Additionally, during the initial days of the pandemic, people started purchasing more groceries with panic of non-availability. This benefited the market with the increased sales.

REPORT COVERAGE 

SEGMENTAL ANALYSIS

Product Insights

The mozzarella segment held the largest share of the global market in 2023. The availability of diverse non-animal rennet alternatives in mozzarella cheese, such as microbial or vegetable rennet and rennet-free, is the major driving force for the market. Microbial or vegetable rennet is a good option for vegetarians and vegans. These rennet products are completely vegetarian/vegan food and don’t contain any animal-derived components. These are becoming more convenient options for consumers who want easy access to vegetarian-friendly Mozzarella cheese varieties. The vegetarian mozzarella cheese uses lactic acid, lemon juice, or citric acid in its formulation instead of traditional rennet. This results in the formation of a mild flavor and creamy consistency skin that is similar to that of conventional mozzarella cheese.

Source Insights

The cashew-based cheese segment is expected to have a large share of the plant-based cheese market and is expected to continue its dominance. It contains the vitamins B2 and B12, which are low in fat, and the demand is increasing as it is gluten-free and cholesterol-free and helps in targeting health-conscious customers. The almond segment is expected to have a high growth rate in the plant-based cheese market owing to the rich nutritional value of protein, vitamin E, magnesium, fiber, and some healthy fats. Soy-based cheese is gaining huge popularity among consumers as it is a low-cost substitute for dairy. It also has the complete balance of amino acids and fatty acids, which drives the demand for the segment in the market.

End-User Insights

The B2C segment is expected to account for the large revenue share in the plant-based cheese market during the forecast timeline. The increased consumer disposable income and willingness of consumers to spend on premium products are driving the market in the B2C segment. The easy availability of the product in supermarkets and convenience stores has fueled the market growth of this segment.

The B2B segment is anticipated to have a fast-growing CAGR in the plant-based cheese market. The increase in the adoption of plant-based foods and drinks into the menu of restaurants, fast food chains, and casual dining venues is due to the rise in demand for the products and the popularity of plant-based diets.

REGIONAL ANALYSIS

Europe led the market in 2023.

Europe is expected to continue to dominate the market owing to the introduction of many new plant-based cheese products into the market by start-ups, supermarkets, and discount stores with their own brand name. Certain nations like Germany and the UK are more dominant in the region due to the high consumption rate in these regions. A wide range of vegan cheese brands in Europe in different packaging sizes shows the demand for plant-based cheese in the European region. The demand is expected to continue with the development of technology.

Asia-Pacific is the most lucrative regional segment in the global market.

Asia-Pacific region is expected to be fast-growing for the market owing to countries like Japan, China, and Australia who are the key contributors to the market growth in this region. The demand for plant-based products and confectioneries is growing at a higher rate and is anticipated to fuel sales of the product in the market.

North America is another notable regional market for plant-based cheese.

North America is expected to be at the forefront of the plant-based cheese market due to its advanced manufacturing and production facilities availability. Plant-based cheese will proliferate into the market with the growing demand for healthy ready-to-eat snacks.

LIST OF KEY PLAYERS IN THE MARKET

Treeline Cheese, Bute Island Foods Limited, Epic Provisions, Botany International Foods, Daiya Foods Inc, Grain Meat Co, Miyoko’s Creamery, Vermont Farmstead, Bute Island Foods Limited, Galaxy Nutritional Foods, Go Veggie, Follow Your Heart, Tofutti Brands, Inc. and Armored Fresh are a few of the leading players in the plant-based cheese market.

RECENT HAPPENINGS IN THE MARKET

• In 2024, Armored Fresh, a South Korean-based food tech company created a wide range of innovative products from almonds that are similar in taste and texture to dairy cheese and have been infused with nutrients to provide a akin protein content.
• In 2024, In the United States a plant-based spreadable cheese product line was launched by the Laughing Cow to cater to the requirements of the consumers searching for dairy-free, creamy alternative products made from almond milk.

DETAILED SEGMENTATION OF THE MARKET

This research report on the global plant-based cheese market has been segmented and sub-segmented based on product type, source, end-user, and region. 

By Product Type

• Parmesan
• Mozzarella
• Ricotta
• Cream Cheese
• Cheddar
• Others

By Source

• Coconut
• Almond
• Soy
• Cashew
• Others

By End-user

• B2B
• B2C

By Region

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