Europe Dairy Alternatives Market Forecast to 2028 - COVID-19 Impact and Regional Analysis - by Source, Product Type, and Distribution Channel

The Europe dairy alternatives market is expected to grow from US$ 5,264.35 million in 2022 to US$ 9,597.79 million by 2028. It is estimated to grow at a CAGR of 10.5% from 2022 to 2028.

The vegan population has grown significantly over the past few years. According to Veganuary (a non-profit organization that encourages individuals to go vegan for the entire month of January), in 2022, more than 620,000 people registered for the Veganuary campaign, and the registrations increased by 200% in the last 3 years. People are increasingly switching to a vegan diet due to the rise in health and sustainability concerns. The livestock industry is one of the significant contributors to the total anthropogenic greenhouse gas emissions. The dairy sector is responsible for 30% of the total livestock emissions. Many studies have shown that shifting to a vegan diet can significantly lower carbon dioxide emissions.

Moreover, many organizations believe that veganism can help save the planet from the climate crisis. The awareness regarding the harmful effects of the livestock industry on the environment is increasing among consumers. The consumption of plant-based dairy products helps minimize carbon footprints, save water and other natural resources, and reduce the overall environmental impacts. Therefore, consumers are rapidly switching to plant-based dairy and meat products. This factor is significantly driving the dairy alternatives market.

Further, consumers are highly inclined toward plant-based or vegan-friendly products due to increased health concerns and increased awareness of animal welfare. The rising health consciousness among people due to the increasing prevalence of obesity, diabetes, and other diseases is compelling people to change their dietary habits. People generally perceive plant-based products to be healthier than conventional ones. Thus, health-conscious consumers rapidly substitute traditional, animal-based products with plant-based food. This factor is significantly boosting the dairy alternatives market.

Vendors can attract new customers and expand their footprints in emerging markets with new features and technologies. This factor is likely to drive the Europe dairy alternatives market at a promising CAGR during the forecast period.

Europe Dairy Alternatives Market Segmentation

The Europe dairy alternatives market is segmented based on source, product type, distribution channel, and country.

• Based on product type, the market is segmented into milk, ice cream, yogurt, cheese, and others. The milk segment dominated the market in 2022.
• Based on source, the market is segmented into soy, almond, coconut, oats, and others. The almond segment dominated the market in 2022.
• Based on distribution channel, the market is segmented into supermarkets & hypermarkets, convenience stores, online retail, and others. The supermarkets & hypermarkets segment dominated the market in 2022.
• -Based on country, the market is segmented into the UK, Germany, France, Italy, Spain, and the Rest of Europe. The Rest of Europe dominated the market in 2022. Blue Diamond Growers; Califia Farms, LLC; Danone S.A.; Nestlé SA; Oatly Inc.; Valio Ltd; and Valsoia S.p.A. are the leading companies in the Europe dairy alternatives market.