Plant Based Beverage Market

Plant Based Beverage Market Outlook from 2024 to 2034

The plant based beverage market is anticipated to be worth USD 374.6 billion in 2024. Plant based beverages, such as milk and smoothies, perceive growth in demand owing to the health benefits, nutritional properties, and minimum contribution to the global carbon footprint.

Attributes	Details
Plant Based Beverage Market Value for 2024	USD 374.6 billion
Plant Based Beverage Market Value for 2034	USD 665.8 billion
Plant Based Beverage Market Forecast CAGR for 2024 to 2034	5.92%

The need for plant based beverage is predicted to rise at a moderate CAGR of 5.92% through 2034. The industry is projected to surpass USD 665.8 billion by 2034. The surge in the trend of veganism is helping to promote the demand for plant based beverages across the globe.

Key Highlights of the Plant Based Beverage Industry

• Plant based beverages are becoming more and more popular as healthier substitutes are now more available for dairy milk among consumers.
• Venture capital businesses as well as conventional food and beverage corporations have started investing leading to the rising demand for plant based beverages.
• Consumer education and advocacy efforts have intensified as an awareness for the increase in ethical, environmental, and health benefits of plant-based diets.

Historical Performance and Future Growth of the Plant Based Beverage Market

Historical CAGR	5.51%
Forecast CAGR	5.92%

The historical CAGR of the plant based beverage market was 5.51%, indicating a staggering moderate rate over the past few years. The forecast CAGR is expected to be 5.92%, indicating a slight yet slight increase in the growth rate through 2034.

• The market for plant-based beverages have seen constant innovation and growth of the product.
• The vegan products have improved sensory experiences that raise their attractiveness to a wider range of consumers, which further promotes greater acceptance and commercial expansion.

The forecast CAGR of 5.92% indicates a slight increase in the growth rate of the market in comparison to the historical CAGR in the future. The rise in CAGR can be attributed to several factors, including

• Plant-based solutions are becoming extensively available to customers due to the growth in the retail presence and distribution networks, which is urging the industry to expand.
• The surge in industrial growth can be seen because of regulatory support for plant based products as well as policy reforms that help in strengthening sustainability and health-conscious choices.

Regulatory support for vegan products as well as policy reforms encourage sustainability and health-conscious choices of the industry

Key Threats Hampering the Plant Based Beverage Market

• The market for plant based beverages can be vulnerable due to not only by fiery competition from dairy farmers but also for their active marketing and promoting campaigns.
• Confusion and suspicion among consumers might result due to the wealth of paradoxical information about the nutritional advantages and disadvantages of vegan beverages.
• Vegan products might not be preferred by customers with food allergies or sensitivities due to worries about presence of allergens and the probabilty of cross-contamination during manufacturing, thus restricting market penetration and growth potential.
• The requirement and growth of the animal-free product industry may be affected by false information or deceptive marketing promises that may destroy the trust and confidence of the customers.

Country-wise Insights

The table analyses the top five countries ranked by revenue, with India holding the top position.

Due to the voluminous vegetarian population, long history of plant-based diets, and an increase in desire for healthier options, India considerably rules the world in this market. The diverse agricultural resources of the nation provide a large range of plant based beverage options.

Forecast CAGRs from 2024 to 2034

Countries	CAGR from 2024 to 2034
The United States	5.7%
Germany	6.3%
China	8.1%
Japan	4.4%
India	8.5%

Surge in Health-Conscious Consumer Base in the United States

Health-conscious consumers are the main force behind the plant based beverage business in the United States. An increasing number of the population are substituting plant based beverages for traditional dairy products as they become more responsible towards their health.

For example- plant-based milks, like almond, soy, and oat milks, are substituted in place of dairy in a variety of recipes, like cereals, baked goods, and smoothies. Plant based beverages are becoming extensively popular in the market among people who have dairy allergies or lactose intolerance.

Environmental Sustainability and Veganism Trend Booms Germany Market

The market in Germany is impacted by the rise in vegetarianism and environmental sustainability concerns. As part of their efforts to live a healthy and more sustainable life consumers are lessening their environmental impact, and choosing more and more plant-based dairy substitutes.

Health and Wellness Market Expansion Drives the Market Growth in China

The market is realizing significant growth driven by the upsurge on health and wellness among consumers of China. A growth in demand for healthier and more natural food and beverage options is directly proportion to the rise in incomes and urbanization.

Traditionally Chinese ingredients like soybeans and oats are being utilized in the production of plant based beverages for catering to local tastes and preferences.

Traditional Beverage Culture and Health Trends Boosts the Market in Japan

The traditional beverage culture and health-conscious tendencies in Japan have a major impact on the market for plant based beverages. Due to dietary preferences and health concerns Japan has historically consumed less dairy than Western nations, and has shown a rise in interest in plant-based alternatives.

In Japan, plant-based drinks such as rice milk and soy milk are frequently enjoyed as a complementary to traditional foods and drinks. The country largely emphasises on natural and healthful eating practices with the usage of plant-based products in their cuisines.

Cultural and Dietary Practices Holds a Pivotal Position in India

India considerably has a pivotal position in this market due to its unique nutritional and cultural customs. India boasts a flourishing market for plant based beverages because of its vast vegetarian population and its enduring practices for plant-based meals.

Health-conscious consumers also look for some wholesome, lactose-free dairy substitutes that are major factors driving the market for plant based beverages in India.

Category-wise Insights

The below section shows the leading segment. Based on nature, the conventional segment is accounted to hold a market share of 92.1% in 2024. Based on source, the plant-based juices segment is accounted to hold a market share of 67.8% in 2024.

Conventional beverages come in a huge range of flavors, textures, and forms to suit a broad range of tastes and preferences, making them a backbone in the diets of many people for decades.

Juices made from plants comprise of components that are high in vitamins, minerals, antioxidants, and phytonutrients, mainly supporting the immune system, hydrating the body, and promoting digestion, among other health advantages.

Category	Market Share in 2024
Conventional	92.1%
Plant-based Juices	67.8%

Conventional Segment to Hold a Significant Share in the Market

Based on nature, conventional segment tends to hold a substantial 92.1% market share in 2024. This category mainly involves drinks made using traditional ingredients and manufacturing processes.

Beverages like fruit juices, carbonated drinks, energy drinks, and bottled water are some of them. Conventional beverages often use conventional ingredients and manufacturing techniques for accommodating the tastes, preferences and habits of the general public.

Plant-based Juices Segment to Hold a Dominant Share in the Market

Based on source, plant-based juices hold a noteworthy market share of 67.8% in 2024. This category comprises of drinks that consist only plant based components and not any kind of animal derivatives.

Juices made from plants, like fruits, vegetables, and other botanical sources, provide a natural and health-conscious substitute for traditional fruit juices. Such juices are healthier in content due to the presence of vitamins, minerals, and antioxidants.

The fascination of the market for cruelty-free and sustainable products, along with boom in consumer awareness of health and wellbeing, thus drives the popularity of plant-based drinks.

Competitive Landscape

Established businesses tend to battle against the surge in number of creative startups and niche brands in the competitive environment of the plant based beverage industry. The demand of the customer for plant-based beverages increases in a rightward direction due to health and environmental concerns.

The companies hence compete for market share by providing a wide variety of plant based beverage options, by making investments in product innovation, and developing their distribution networks.

Key Developments in the Plant Based Beverage Industry

• In June 2021, Plant Veda, announced the launch of a new line of vegan lassi (an Indian yogurt drink) from cashews and real fruits. The product was free of cane sugar and contains gut-healthy probiotics.
• In February 2021, Heartbest Foods, launched its plant-based milk. The plant-based milk was available in plain and quinoa flavors.

Key Coverage in the Plant Based Beverage Industry Report

• Adjacent Study on Plant Based Beverage Market, Plant Based Food & Beverage Market, Plant Based Protein Beverages Market
• Europe Plant-Based Food and Beverages Market
• Plant Based Beverage Market Size, Current Insights, and Demographic Trends
• Demand for Plant Based Beverage Market
• Key Strategies in Global Plant Based Beverage Market

Report Scope

Attributes	Details
Estimated Market Size in 2024	USD 374.6 billion
Projected Market Valuation in 2034	USD 665.8 billion
Value-based CAGR 2024 to 2034	5.92%
Forecast Period	2024 to 2034
Historical Data Available for	2019 to 2023
Market Analysis	Value in USD billion
Key Regions Covered	North America; Latin America; Western Europe; Eastern Europe; South Asia and Pacific; East Asia; The Middle East and Africa
Key Market Segments Covered	Source, Nature, Format, Packaging, Sales Channel, Region
Key Countries Profiled	The United States, Canada, Brazil, Mexico, Germany, The United Kingdom, France, Spain, Italy, Russia, Poland, Czech Republic, Romania, India, Bangladesh, Australia, New Zealand, China, Japan, South Korea, GCC countries, South Africa, Israel
Key Companies Profiled	Bayer AG; Abbott; DSM; DuPont.; Amway; The Nature's Bounty Co.; GlaxoSmithKline plc.; Nestlé SA; RiceBran Technologies; Mead Johnson & Company LLC; Medifast Inc.

Key Segments

By Source:

• Coconut
• Soy
• Almond
• Rice
• Oats
• Hemp
• Others

By Nature:

• Organic
• Conventional

By Format:

• Regular
• Flavored

By Packaging:

• Glass Bottles
• Plastic Bottles and Pouches
• Carton
• Cans

By Sales Channel:

• Hypermarkets/Supermarkets
• Convenience Stores
• Independent Small Groceries
• Specialty Stores
• Online Retailers

By Region:

• North America
• Latin America
• Western Europe
• Eastern Europe
• South Asia and Pacific
• East Asia
• The Middle East and Africa

Frequently Asked Questions

What is the expected worth of the plant based beverage market in 2024?

As of 2024, the market for plant based beverage is expected to be valued at USD 374.6 billion.

What is the market potential for plant based beverage?

The plant based beverage market is projected to expand at a CAGR of 5.92% between 2024 and 2034.

Which nature type segment dominates the plant based beverage market?

• Which nature type segment dominates the plant based beverage market? The conventional telehealth segment is projected to dominate the industry.

What is the anticipated market value for plant based beverage in 2034?

By 2034, the market value of plant based beverage is expected to reach USD 665.8 billion.

Which country is likely to dominate the plant based beverage market?

India is likely the top-performing market, with a CAGR of 8.5%.