Global Vegan Food Market Outlook to 2028

Global Vegan Food Market Overview

The global vegan food market was valued at USD 33.14 billion in 2023, driven by rising consumer awareness of animal welfare, environmental sustainability, and health benefits. The market has shown consistent growth, reflecting a shift in dietary preferences, particularly among younger consumers. The increasing number of vegan product launches and the expansion of plant-based alternatives by leading food brands are further propelling the demand for vegan products.

Major players dominating the global vegan food market include Beyond Meat, Impossible Foods, Danone, Nestl, and Unilever. These companies have actively expanded their vegan portfolios through innovative plant-based food products. For example, Nestl has launched several plant-based meat alternatives under its Garden Gourmet brand, while Beyond Meat and Impossible Foods have secured partnerships with major fast-food chains. These key players have invested heavily in R&D to improve the taste, texture, and nutritional profile of vegan food products.

In July 2021, Beyond Meat signed a strategic partnership with McDonalds to roll out its plant-based burgers across several regions, reflecting the growing acceptance of vegan food in mainstream fast-food outlets. McDonalds reported an increase in plant-based product sales in these markets, emphasizing the demand for vegan alternatives.

New York, Berlin, and London are among the dominant cities in the vegan food market. These cities have a high concentration of vegan restaurants, supermarkets, and specialty stores catering to plant-based consumers. New York City is noted for its vibrant vegan scene, featuring a variety of vegan restaurants and markets. The Union Square Greenmarket is highlighted as a lively spot with abundant plant-based options, showcasing the city's commitment to veganism.

Global Vegan Food Market Segmentation

By Product Type: The global vegan food market is segmented by product type into dairy alternatives, meat substitutes, and vegan snacks. In 2023, dairy alternatives dominated the market share due to growing consumer demand for products like almond milk, soy milk, and vegan cheese. Brands like Danone's Silk and Alpro have built a strong presence in this segment, catering to lactose-intolerant consumers and health enthusiasts. The increasing availability of these products in both traditional and online retail channels has solidified the dominance of dairy alternatives.

By Region: The global vegan food market is segmented by region into North America, Europe, Asia- Pacific (APAC), Latin America, and Middle East and Africa (MEA). North America led the market in 2023, with a significant share driven by strong consumer demand in the United States and Canada. Both countries have seen a rise in veganism as part of broader health and environmental consciousness. High disposable incomes and the presence of large vegan food manufacturers contribute to the region's dominance.

By Distribution Channel: The global vegan food market is segmented by distribution channels into supermarkets/hypermarkets, specialty stores, and online retail. In 2023, supermarkets and hypermarkets dominated the distribution channel segment, accounting for the largest market share. The accessibility of plant-based products in well-known retail chains such as Walmart and Carrefour has enabled greater consumer reach. These outlets have expanded their vegan offerings, driving increased foot traffic and consumer convenience.

Global Vegan Food Market Competitive Landscape

Company

Established

Headquarters

Beyond Meat

2009

El Segundo, USA

Impossible Foods

2011

Redwood City, USA

Danone

1919

Paris, France

Nestl

1867

Vevey, Switzerland

Unilever

1929

London, UK

Beyond Meat: InMay 2023, Beyond Meat: Beyond Meat has expanded its partnerships with major fast-food chains, enhancing its presence in mainstream food channels. The company's strategy focuses on increasing availability and visibility of its plant-based products in fast-food outlets. It continues to innovate and collaborate to broaden its market reach and influence.

Nestls Recent Development: In 2023, Nestl has introduced several innovative vegan products, including plant-based meat alternatives under its Garden Gourmet brand. The company is focused on expanding its vegan product range and improving the taste and texture of plant-based foods. Nestls commitment to sustainability and innovation drives its efforts to cater to the growing demand for vegan options.

Global Vegan Food Market Analysis

Global Vegan Food Market Growth Drivers

Rising Health Consciousness and Plant- Based Diet Adoption: Health-conscious consumers in 2023 are driving the demand for vegan food, especially in urban areas where lifestyle-related health issues are prevalent. Plant-based diets are increasingly seen as healthier alternatives, boosting the popularity of vegan meat and dairy substitutes. This trend is expected to continue as more individuals seek to improve their health through diet.

Environmental Concerns and Sustainability Efforts: The environmental impact of traditional livestock farming has become a significant concern in global food production. As consumers grow more aware of the link between diet and climate change, they are increasingly preferring vegan alternatives. Many vegan food companies are focusing on sustainability, with numerous brands committing to carbon-neutral goals. This shift towards environmentally responsible practices is driving the growth of the vegan food market.

Rising Health Consciousness: The growing awareness of health benefits linked to vegan diets is significantly driving market growth. A plant-based diet is associated with lower cholesterol levels and reduced risks of heart disease and stroke. This shift towards health consciousness is influencing consumer choices, leading to increased demand for vegan food products. Additionally, the rise in lifestyle-related diseases and a focus on preventive health measures are contributing to the popularity of vegan diets. The trend is expected to continue as more consumers prioritize their health and well-being.

Global Vegan Food Market Challenges

Supply Chain Limitations for Plant- Based Ingredients: The global supply chain for plant-based ingredients like soy, pea, and chickpeas faces challenges in availability and scalability. For instance, drought conditions in South America in 2023 led to soy shortages, affecting companies that rely on it for plant-based foods. This resulted in production delays and increased costs, which hindered market expansion. Such disruptions highlight the vulnerabilities associated with overreliance on specific ingredients in the vegan food industry.

Cultural and Taste Preferences: In several regions, especially in Asia and Africa, traditional diets are heavily reliant on animal-based products. Consumer preferences for familiar tastes and textures play a crucial role in this challenge. Many consumers tend to favor traditional flavors and textures they are accustomed to, making them skeptical about adopting plant-based foods. Research indicates that while there is a growing interest in innovative flavors and textures, a substantial number of consumers still prioritize traditional flavors that they trust.

Global Vegan Food Market Government Initiatives

European Unions Farm to Fork Strategy: The Farm to Fork (F2F) strategy is a key component of the European Green Deal, launched by the European Commission in May 2020. Its primary aim is to create a sustainable food system that is fair, healthy, and environmentally friendly, addressing the entire food value chain from production to consumption. This includes a target for 25% of agricultural land to be under organic farming by 2030, which inherently supports plant-based agriculture.

Indias Eat Right Movement: The Indian government has been actively promoting plant-based diets through the Eat Right Movement to address health issues like diabetes and cardiovascular conditions. The movement includes public awareness campaigns on the health benefits of vegan diets and new guidelines by the Food Safety and Standards Authority of India (FSSAI) to standardize labeling and safety standards for vegan products. It aims to create a culture of safe, healthy and sustainable food for all Indians by 2050.

Global Vegan Food Market Outlook

As we approach 2028, the global vegan food market is set to undergo significant transformation driven by innovations in alternative protein sources. Advances in cell-based and fermented plant proteins are poised to revolutionize the industry by improving the taste, texture, and affordability of vegan products.

Future Trends

Market Outlook 2028 Driven by Innovation in Alternative Proteins By 2028, the global vegan food market is expected to see significant growth driven by innovation in alternative protein sources, including cell-based and fermented plant proteins. Companies are investing heavily in R&D to develop new protein technologies that enhance the taste and texture of vegan products. The adoption of precision fermentation is projected to accelerate, allowing for more efficient production of plant-based meat alternatives at a lower cost, making them more accessible to mainstream consumers.

Rise of Functional and Nutritionally Fortified Vegan Foods By 2028, functional vegan foods, enriched with vitamins, minerals, and probiotics, are expected to become a key trend. In response to consumer demand for healthier, nutrient-dense options, companies are expected to introduce fortified vegan products targeting specific health needs such as gut health, immunity, and energy. This trend will be particularly strong in North America and Europe, where health-conscious consumers are seeking more value-added plant-based products.
Please Note: It will take 5-7 business days to complete the report upon order confirmation