The global vegan cheese sauce market is expected to be valued at USD 100.9 Million in 2023 and to reach a valuation of USD 192.3 Million by 2033. Market expansion can be attributed to the growing popularity of veganism, especially among the younger generations. Consumers are increasingly choosing plant-based alternatives as they become more conscious of the dairy industry's detrimental effects on animals and the environment.
Owing to these factors, the demand for vegan cheese sauce is estimated to grow at a steady 7.4% CAGR, with the UK, the USA, Germany, and Japan emerging as key producers.
Research and development efforts to successfully replicate cheese compositions are in full swing at this time.
To expand as a business, the vegan cheese sauce market needs more money invested in research and development. Despite the brisk growth of the demand for vegan cheese sauce, especially in North America and Europe, it lags behind other plant-based food sectors like meat and dairy. But as competition in the vegan cheese industry heats up, several firms are investing heavily in future research to find ways to accurately replicate cheese's intricate structure and nuanced flavor qualities.
The vegan cheese sauce is on the rise, but modern shoppers are wary of its quality and nutritional profile. Therefore, there are active Research and Development projects aiming to replicate classic cheese's characteristics. As the trend toward plant-based diets continues to grow, the demand for vegan cheese sauce is expected to skyrocket.
| Attributes | Details |
|---|---|
| Vegan Cheese Sauce Market CAGR (2023 to 2033) | 7.4% |
| Vegan Cheese Sauce Market Size (2023) | USD 100.9 Million |
| Vegan Cheese Sauce Market Size (2033) | USD 192.3 Million |
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The global demand for vegan cheese sauce grew at a CAGR of 7.3% between 2016 and 2022, and it's expected to expand at a CAGR of 7.4% between 2023 and 2033. The growth potential of the market could be looked at from short-term, mid-term, and long-term perspectives.
| Short-Term Outlook (2023 to 2025): | Increasing global demand for vegan cheese sauce is being fueled by shifting consumer eating tastes and new developments in the food and beverage industry. Consumer tastes have shifted as the number of people with lactose intolerance and other food allergies continues to rise among both young and old. The Food Intolerance Network reports that, as of early 2021, around 70% of the global population experienced lactose intolerance. This is expected to drive the demand in the short term. |
|---|---|
| Mid-Term Outlook (2025 to 2028): | Industry growth in the Hotel/Restaurant/Café (HoReCa) sector is predicted to be bolstered by the millennial generation's trendiness toward veganism and vegetarian diets. In Saudi Arabia, for instance, vegan eateries have sprung up all over the place as a means of encouraging people to adopt more plant-based diets. Additionally, customers have been influenced to choose plant-based products due to the increased awareness of animal cruelty and worldwide worries over carbon footprint due to the animal-based diet. In addition to meat, the vegan population abstains from any items made from or including animals, including dairy (cheese, milk, cream, yogurt), eggs, and even honey, which is expected to boost the demand for vegan cheese sauce mid-term. |
| Long-Term Outlook (2028 to 2032): | Long-term trends point to growth in demand due to an expanding vegan population and rising concerns for animals' welfare. The market's profit potential is expected to expand as a result of manufacturers' heightened attention to unique product offers and increased restrictions on animal-based food items. |
The global vegan cheese sauce market is projected to be led by the proliferation of fast-food burger and pizza franchises.
A rise in global demand for cheese sauce can be attributed to the proliferation of pizza and burger fast-food restaurants as well as the growth of the pastry and bakery industry. In response to these demands, a number of well-established companies from around the world have entered the market, increasing competition significantly. The expansion of the market is forecasted to be driven by factors such as product innovation, customer retention, and price competition. In addition, developments in cheese sauces' nutritional value are likely to drive demand for cheese sauce among health-conscious customers, which is expected to further fuel the market.
The rising demand for vegan food products can be attributed to their greater availability at mass market retailers.
Products suitable for vegan diets can be found in many different types of businesses, from standard supermarkets to health food stores to internet markets to corner markets. The majority of these products are sold through grocery stores. In addition, a lot of the major supermarkets have recently started stocking vegan food options. Many grocery stores feature large window displays announcing the advent of novel plant-based product varieties. The fact that plant-based products have their own department in the supermarket probably helps to explain why they are so popular among shoppers.
Forecasted challenges for the worldwide cheese sauce industry include higher prices and potential health consequences.
However, the inevitable increase of veganism around the world is expected to be one of the primary causes holding back the sales of vegan cheese sauce. Higher prices and serious health concerns including obesity, cardiovascular disease (CVD), and diabetes are some factors that hinder the expansion of the worldwide cheese sauce industry.
Owing to the growing number of health-conscious consumers in North America who want to boost their immune systems, the vegan cheese sauce business has seen a surge in activity. In an effort to lessen their risk of developing allergies or eczema, consumers are increasingly turning to plant-based alternatives.
Vegan cheese sauce may not be widely used during the coronavirus pandemic due to a combination of factors, including a lack of information about its benefits and high prices. Therefore, brands in the North American vegan cheese sauce industry are focusing their marketing efforts on niche consumers through stores and online. The market is expected to continue to see growth as more people learn about the immune-boosting effects of plant-based cheese.
Companies that have traditionally made cheese from milk are increasingly interested in diversifying their product line by introducing cheese made from other sources. The rising demand for plant-based products has prompted companies across the board to invest heavily in the purchase and development of new products and brands.
A total of six new vegan cheese sauces in six flavours and two styles were introduced by French dairy producer Bel Brands in April 2021. Cheese shreds, slices, and spreads are now available under Danone's plant-based dairy-free brand, So Delicious.
| CAGR (2023 to 2033) | 8.1% |
|---|---|
| UK Vegan Cheese Sauce Market Share | 9.4% |
| UK Vegan Cheese Sauce Market Valuation (2022) | USD 8.8 Million |
| UK Vegan Cheese Sauce Market Valuation (2033) | USD 20.8 Million |
One of the major factors in bad health in the United Kingdom is obesity, says Public Health England. The demand for food products with healthy ingredients is rising as people become more aware of the importance of taking care of their health. The alternative plant-based movement has gained substantial traction in the UK. In addition, these factors, as well as allergen-free varieties of traditional products (gluten-free & lactose-free) that have been extensively acknowledged by the growing number of single-person homes, have permeated the market.
In January 2022, vegan cheese sauce debuted under Aldi UK's Plant Menu label. This product is made from coconut oil and does not include any gluten or soy.
Two vegan pizzas, prepared with hand-stretched vegan dough and a plant-based cheese that does not include any dairy or animal-derived components, were reportedly introduced by Dominoes in September 2020. Also, the classic garlic and herb dip is now available in a vegan-friendly form.
Norseland Ltd., known for its Applewood brand of dairy products, reportedly plans to release a spicy plant-based version of its famous cheese flavour in July 2020, expanding its dairy-free range. The new vegan version shares the same lack of soy, nuts, milk, lactose, gluten, and eggs as the old one.
| CAGR (2023 to 2033) | 5.9% |
|---|---|
| China Vegan Cheese Sauce Market Share | 9.5% |
| China Vegan Cheese Sauce Market Valuation (2022) | USD 8.94 Million |
| China Vegan Cheese Sauce Market Valuation (2033) | USD 16.8 Million |
Chinese companies are investing heavily in product development and acquisitions to expand their product lines and meet the growing demand of Chinese consumers. Moreover, in response to the growing demand, a select number of major retailers have added more shelf space to their stores' plant-based product sections.
Funacho, a manufacturer and distributor of food dispensing equipment and items such as cheese, chilli, and condiments, has released a new, patented chilli/cheese sauce dispenser. The manufacturer claims that the dual-head, gravity-fed dispenser, which uses bottle-type cartridges to hold the substance, results in higher extraction rates than bag-type dispensers. FUNacho cartridges only contain shelf-stable, microbially safe food ingredients. The dispenser has a footprint of 10 inches wide and can store 300 ounces of product.
| CAGR (2023 to 2033) | 7.4% |
|---|---|
| India Vegan Cheese Sauce Market Share | 3.2% |
| India Vegan Cheese Sauce Market Valuation (2022) | USD 3 Million |
| India Vegan Cheese Sauce Market Valuation (2033) | USD 6.6 Million |
India ranks among the world's top consumers of vegan cheese sauce. The demand for vegan cheese sauce in India is anticipated to increase thanks to several causes, including a shift in consumption patterns, an increase in the desire for plant-based dairy products, an increase in disposable income, and a rise in the adoption of western lifestyles generally.
In addition, the hospitality and restaurant sectors have been major drivers of the vegan cheese sauce business expansion through the labelling and appetiser use of vegan cheese sauce in their establishments. Plant-based cheese is becoming more popular among lactose-intolerant and dairy-sensitive individuals.
Goodmylk, an Indian dairy company, announced in March 2022 that it has acquired the PRO2FIT nutrition brand. The acquisition of PRO2FIT shows that the Indian vegan cheese sauce market is maturing. The goals of both companies to increase people's access to healthy plant-based options led them to collaborate.
Upfield Group, a company that makes vegan butter and spreads, said in January 2020 that it had acquired Arivia, a company that makes vegan cheese sauce. Strategically, Upfield Group of Companies has acquired Arivia and its VIOLIFE brand, adding it to its roster of well-known brands including Flora, Rama, Country Crock, Blue Band, and Proactiv.
Principal Consultant
It is anticipated that the cashew category, which accounted for over 35.0% of total sales, will continue to dominate throughout the projection period. Vegetarian cheese made from cashews is a good source of protein and is fat-free, plus it's rich in vitamins B2 and B12. Due to this, it is well-liked among health-conscious shoppers all around the globe. Cashew products that don't contain gluten or cholesterol are very popular because of their positive health effects.
From 2023 to 2033, the soy industry is expected to post the highest CAGR, at 28.2%. Soy milk is a cheap alternative to dairy that contains an ideal ratio of fatty acids to amino acids. This makes it a practical option for commercial vegan cheese sauce manufacturers. Cheese made from soy is becoming increasingly popular since it melts like regular cheese.
| Segment | Distribution Channel |
|---|---|
| Top Sub-segment | Mom and Pop Stores |
| Market Share | 10.3% |
| Segment | Source Type |
|---|---|
| Top Sub-segment | Soy Milk |
| Market Share | 28.2% |
There are a lot of national and multinational firms competing in the worldwide market. As the demand for vegan goods rises, major manufacturers have been releasing new products. Examples include Aldi UK's introduction of vegan cheese in January 2022, under the Plant Menu label. It's free of gluten and soy and produced with coconut oil.
Upfield introduced their vegan cheese, Violife, to the Middle East in July 2021. The line would have two tastes, such as cheddar, and mozzarella, and be available in a variety of formats, including slices, boxes, and grated. Treeline Cheese introduced its line of vegan cream cheese in March 2020. The cheese is produced from cultivated cashew nuts and other plant-based ingredients. Three tastes are offered: basic, chive and onion, and strawberry.
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The Vegan Cheese Sauce market is estimated to be worth USD 100.9 Million in 2023.
The Vegan Cheese Sauce market is expected to be valued at USD 192.3 Million by 2033.
The Vegan Cheese Sauce market expanded at 7.2% CAGR in the last five years, from 2017 to 2022.
Mom and Pop stores accounted for nearly 10.3% market share in the global Vegan Cheese Sauce market in 2023.
1. Executive Summary 2. Market Overview 3. Market Background 4. Global Market Analysis 2018 to 2022 and Forecast, 2023 to 2033 5. Global Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Source 5.1. Oat Milk 5.2. Rice Milk 5.3. Corn Milk 5.4. Soy Milk 5.5. Pea Milk 5.6. Almond Milk 5.7. Coconut Milk 5.8. Cashew Milk 5.9. Flax Milk 5.10. Hemp Milk 5.11. Others (Nuts, Cassava, etc.) 6. Global Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Sales Channel 6.1. B2B/ Food Service 6.1.1. Hotels 6.1.2. Restaurants 6.1.3. Cafes 6.2. B2C 6.2.1. Hypermarkets / Supermarkets 6.2.2. Convenience Stores 6.2.3. Mom-and-Pop Stores 6.2.4. Discount Stores 6.2.5. Food & Drink Specialty Stores 6.2.6. Independent Small Groceries 6.2.7. Online Retail 6.2.8. Other Retail Formats 7. Global Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Region 7.1. North America 7.2. Latin America 7.3. Europe 7.4. East Asia 7.5. South Asia 7.6. Oceania 7.7. Middle East and Africa (MEA) 8. North America Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country 9. Latin America Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country 10. Europe Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country 11. East Asia Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country 12. South Asia Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country 13. Oceania Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country 14. MEA Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country 15. Key Countries Market Analysis 16. Market Structure Analysis 17. Competition Analysis 17.1. Greenspace Brands 17.2. Vtopian Artisan Cheeses 17.3. Chicago Vegan Foods 17.4. Bute Island Foods Ltd 17.5. Gardener Cheese Company 18. Assumptions & Acronyms Used 19. Research Methodology
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Vegan Cheese Sauce Market
