The demand for vegan food is soaring. A new report estimates that the plant-based market will be worth $162 billion by 2030—a major increase from its valuation of $29.4 billion in 2020.
Bloomberg Intelligence released the report, entitled Plant-Based Foods Poised for Explosive Growth, earlier this month. It finds that the plant-based market could make up 7.7 percent of the expected $2.1 trillion global protein market in 2030.
The vegan meat and dairy sectors are projected to outpace their animal-based counterparts. The report predicts the plant-based meat market will see the largest growth, raking in $74 billion by 2030. This is a major increase from its valuation of $4.2 billion in 2020.
And the plant-based dairy market isn’t far behind. It’s projected to grow to $62 billion by 2030, making up ten percent of the total dairy market. This is up from 4.5 percent in 2020. Other vegan categories that will see growth include condiments, dressings, and eggs. They may increase to $25.7 billion (up from $2.3 billion) in the same time period.
Plant-based market surges, according to new report
Although the U.S. has seen a surge in vegan products hitting store shelves, it appears Asia will lead the world in plant-based food sales. The region will command $64.8 billion of the global plant-based market by 2030—up from $13.5 billion in 2020.
So, what’s causing the plant-based foods market to expand?
The report credits major vegan food brands like Beyond Meat, Impossible Foods, Oatly, and Eat Just for the surge in market valuation.
The companies have spurred innovation in their respective plant-based food categories. By partnering with various retail outlets, restaurants, and fast-food chains, they’ve made their products even more accessible to consumers. Foodservice outlets will play a pivotal role “in driving long-term trial and consumption of plant-based products,” the report finds.
But non-vegan brands are also spurring the growth of the sector. Companies like Tyson, Kellogg, Kraft Heinz, and Nestlé have all tapped into the market—producing plant-based products to meet the growing demand. The latter recently launched three varieties of vegan pea milk under its plant-based milk brand, Wunda.
Nestlé even partnered with Future Meat Technologies to produce a hybrid protein, which features a combination of plant-based and cultured meat.