Australia Plant Protein Market: Growth Trends, Business Opportunities & Future Outlook Q2 2025

According to the report, the plant protein market in Australia is expected to grow by 13.9% on an annual basis to reach US$493.4 million in 2025.

The plant protein market in the country has experienced robust growth during 2020-2024, achieving a CAGR of 16.6%. This upward trajectory is expected to continue, with the market forecast to grow at a CAGR of 9.4% during 2025-2029. By the end of 2029, the plant protein market is projected to expand from its 2024 value of US$ 433.1 million to approximately US$ 792.4 million.

Key Insights

Increasing Consumer Demand for Health and Wellness Products

• Australia has seen a noticeable shift towards health and wellness products, with plant proteins becoming a staple among health conscious consumers. The trend is driven by a growing awareness of the benefits of plant-based diets, which are perceived as healthier and more sustainable compared to animal based products. For example, Australian consumers are increasingly substituting traditional meat products with plant-based alternatives such as tofu, tempeh, and pea protein based products.
• The health and wellness sector has been significantly influenced by rising obesity rates and lifestyle related diseases. According to the Australian Institute of Health and Welfare, two thirds of adults in Australia were overweight or obese as of their last report. The increasing prevalence of conditions like heart disease and diabetes has prompted consumers to seek healthier food options. Additionally, the COVID-19 pandemic has heightened consumer focus on health, leading to a surge in demand for products that support immunity and overall wellbeing.
• This trend is expected to intensify, with plant protein products becoming more prevalent in both supermarkets and specialty health stores. Companies are likely to expand their product offerings to include a wider variety of plant-based foods, driven by advancements in food technology and formulation. The trend towards plant-based eating is anticipated to become mainstream, with an increasing number of consumers adopting flexitarian diets.

Rising Environmental and Ethical Concerns

• Environmental sustainability and ethical concerns have become pivotal factors guiding consumer choices in Australia. This trend is characterized by a shift towards products that are perceived as environmentally friendly and ethically produced. Plant proteins are often marketed as having a smaller carbon footprint and being more sustainable than animal proteins.
• Environmental awareness among Australians has grown, influenced by global discussions on climate change and local environmental challenges such as droughts and bushfires. Reports from the Commonwealth Scientific and Industrial Research Organization (CSIRO) highlight agriculture's role in greenhouse gas emissions, prompting many consumers to consider plant-based diets as a means to reduce their carbon footprint. Ethical concerns about animal welfare in the meat and dairy industries further drive the trend towards plant-based eating.
• This trend is likely to stabilize as more companies commit to sustainability goals and transparent supply chains. The adoption of plant-based proteins will be supported by policy measures aimed at reducing environmental impacts. In the coming years, we can expect increased collaboration between food producers and environmental organizations to promote sustainable practices.

Innovation in Plant-based Food Products

• Innovation in the plant-based food sector is accelerating, with companies investing in research and development to improve the taste, texture, and nutritional value of plant proteins. In Australia, there has been a notable increase in the variety and quality of plant-based products available to consumers, including meat analogues, plant-based dairy, and protein supplements.
• Competitive pressures and consumer demand for variety and quality drive innovation in the plant protein market. Technological advancements in food processing, such as fermentation and extrusion technologies, have enabled manufacturers to create products that closely mimic the sensory properties of meat. Additionally, government support for food innovation and consumer preferences for locally sourced ingredients further catalyze product development.
• The innovation trend is expected to intensify, with ongoing research leading to the introduction of novel plant-based products. As consumer acceptance grows, plant-based products will likely capture a larger share of the protein market. The market will see a proliferation of new entrants and increased competition, which will drive further innovation and potentially lower prices.

Influence of Cultural and Dietary Shifts

• Cultural acceptance of plant-based diets is increasing in Australia, influenced by global dietary trends and cultural shifts towards vegetarianism and veganism. This trend is reflected in the growing popularity of plant-based diets among younger generations and urban populations.
• Cultural influences from global media, food influencers, and social media platforms have played a significant role in reshaping dietary habits. Additionally, multicultural influences have introduced Australians to diverse plant-based foods from around the world. The rise of flexitarians, where individuals reduce their meat intake without fully committing to vegetarianism, is also a significant driver.
• This trend is expected to stabilize as plant-based diets become more culturally entrenched. Continued exposure to international culinary trends and the normalization of plant-based eating will likely sustain consumer interest. Over time, plant proteins may become an integral part of the Australian diet across various demographics.

Expansion of Retail and Distribution Channels

• The retail landscape in Australia is adapting to the plant protein trend, with supermarkets and online retailers expanding their plant-based offerings. This trend is characterized by increased shelf space for plant proteins and the emergence of dedicated plant-based sections in stores.
• Retailers are responding to consumer demand and competitive pressures to offer a diverse range of products. The rise of ecommerce and direct to consumer sales channels has facilitated access to a wider variety of plant-based products. Additionally, partnerships between retailers and plant-based food manufacturers have accelerated product availability.
• This trend is expected to intensify as retailers continue to expand their plant-based product lines and improve distribution networks. As consumer preferences evolve, retailers will likely enhance their marketing strategies to target health conscious and environmentally aware consumers. The ease of access to plant proteins will further drive market growth.

Competitive Landscape and Future Outlook

The future of the Australian plant protein market is promising, with potential for significant growth and transformation. As competition intensifies and innovation accelerates, the market is poised for continued evolution, presenting opportunities and challenges for industry stakeholders.

Market Maturity and Growth Trajectory

• The Australian plant protein market is transitioning from its nascent stage to a more mature phase, marked by increased consumer acceptance and a broader range of products.
• Growth is being driven by rising health consciousness, ethical concerns regarding animal welfare, and environmental sustainability.
• The market has seen an annual growth rate of approximately 13% over the past year, indicating robust consumer demand and industry response.

Innovation and Product Availability

• There is significant innovation in plant protein sources, with a shift from traditional soy based products to those utilizing pea, chickpea, fava bean, and lentil proteins.
• In the past year, product availability has expanded from basic meat substitutes to include plant-based dairy, snacks, and meal kits.
• Technological advancements have led to improved taste, texture, and nutritional profiles of plant protein products, enhancing consumer appeal.

Consumer Segmentation and Preferences

The market is diversifying, appealing to vegans, vegetarians, flexitarians, and health focused consumers.

Younger demographics, particularly millennials and Gen Z, are the primary consumers, driven by lifestyle choices and environmental concerns. There is a notable increase in demand for plant-based products in urban centers, aligning with higher disposable incomes and access to a variety of retail channels.

Key Players and New Entrants

Major Companies

Global giants such as Beyond Meat and Impossible Foods have established a significant presence in Australia, capitalizing on their international brand reputation and extensive distribution networks. Local companies like V2food and Fable Foods are rapidly gaining market share by catering to local tastes and preferences, emphasizing sustainability and clean label products.

Traditional Food Giants and Market Entry

Established Australian food conglomerates such as Sanitarium and Freedom Foods are expanding their portfolios to include plant-based options, leveraging their existing infrastructure and consumer trust. Multinational corporations such as Nestlé and Unilever are also entering the market, introducing global plant-based brands tailored to Australian consumers.

Emerging Startups

Startups like Harvest B and Eaty are gaining traction with innovative products and agile business models that allow them to quickly respond to market trends. New entrants are focusing on niche segments, such as plant-based seafood and fermented proteins, to differentiate themselves from established players.

Recent Partnerships, Mergers, and Acquisitions

Consolidation Trends

The past year has seen increased consolidation in the plant protein sector, with several mergers aimed at scaling operations and expanding product lines. Australian company V2food acquired a stake in a local pea protein processor, enhancing its supply chain capabilities and product development capacity.

Tech Partnerships

Technology partnerships are becoming prevalent, with companies collaborating with research institutions to develop new plant protein technologies. Notable collaborations include Sunfed Meats partnering with R&D firms to improve the scalability and cost effectiveness of its products.

Strategic Acquisitions

Global players are acquiring local startups to gain a foothold in the Australian market, such as Nestlé’s acquisition of a minority stake in a local plant-based snack company. Such acquisitions are strategic, aimed at accessing innovative product lines and local market insights.

Future Outlook (Next 2-4 Years)

Evolution of Competition

Competition in the plant protein market is expected to intensify as more players enter the space, driven by increasing consumer demand and favorable regulatory environments. The market is anticipated to diversify, with new entrants exploring untapped segments like plant-based seafood and dairy alternatives.

Potential for Market Consolidation

While competition is set to increase, there is also potential for further consolidation, particularly among startups seeking scalability and established brands aiming to expand their portfolios. Larger players may continue acquiring innovative startups, leading to a more streamlined industry landscape.

Technological Advancements and Innovation

Technological advancements in food processing and biotechnology will likely lead to new product innovations, enhancing the taste and nutritional value of plant proteins. Continued investment in R&D is expected to yield breakthroughs in protein extraction and enhancement, supporting market growth.

Regulatory and Sustainability Impacts

Regulatory support for plant-based foods, including labeling standards and sustainability incentives, will play a critical role in shaping the market. Sustainability will remain a key focus, with companies investing in ecofriendly production practices to appeal to environmentally conscious consumers.

This report provides a detailed data-centric analysis of the plant protein industry in Australia, covering market opportunities and analysis across a range of plant protein, product categories, domains. With over 50+ KPIs at the country level, this report provides a comprehensive understanding of plant protein market dynamics, market size and forecast, and market share statistics.

It breaks down market opportunities by protein consumption, functional segment, product categories, ingredients, and, price point. In addition, it provides a snapshot across city, age, and, demographics. The report also segments the market by sales channel and retail outlet, offering insights into end user trends. KPIs in value terms help in gaining an in-depth understanding of end-market dynamics.

The research methodology is based on industry best practices. Its unbiased analysis leverages a proprietary analytics platform to offer a detailed view of emerging business and investment market opportunities.

Report Scope

This report provides an in-depth, data-centric analysis of the plant protein market in Australia 2020-2029. Below is a summary of key market segments:

Protein Consumption Market Size and Future Growth Dynamics

• Protein Industry
• Plant Protein Consumption Per Capita
• Plant Protein Consumption

Plant Protein Market Share by Functional Segment

• Ready To Mix
• Ready To Eat
• Ready To Drink
• Ready To Cook

Plant Protein Market Share by Product Categories

• Nutrition Supplements
• Protein Bars
• Sports Nutrition
• Meal Alternative
• Dairy Alternatives
• Meat Alternatives
• Bakery Products
• Infant Formulas
• Other Product Categories

Plant Protein Market Share by Ingredients

• Soy
• Pea
• Beans & Lentils
• Hemp
• Flaxseed, Pumpkin & Other
• Brown Rice
• Quinoa
• Spirulina & Seaweed
• Nuts
• Other Ingredients

Plant Protein Market Share by Price Point

• Premium Pricing
• Mid Tier Pricing
• Low End Pricing

Plant Protein Market Share Analysis by City

• Tier 1 City
• Tier 2 City
• Tier 3 City

Plant Protein Consumption Market Share by Age

• Baby
• Kids & Teens
• Young Adults & Mid Age
• Old Age

Plant Protein Market Share by Demographics

• Income
• Gender

Plant Protein Market Share by Sales Channel

• Online
• Offline

Plant Protein Market Share by Retail Outlet

• Diversified Stores
• Pharmaceutical & Wellness Stores
• Healthcare and Fitness Centers
• Specialist Sports Stores

Reasons to Buy

• In-depth understanding of plant protein market dynamics: Understand market opportunity, industry dynamics, key trends, and drivers across different market segments and sub-segments of the industry in Australia.
• Develop market-specific strategies: Identify growth segments and target specific opportunities to formulate your investment strategy; assess market-specific key trends, drivers, and risks in the industry.
• Get market share analysis by segments in Australia: Get a detailed analysis across different segments protein consumption, functional segment, product categories, ingredients, price point, city, age, demographics, sales channel, and, retail outlet.