Dairy Alternatives Market Size By Product (Almond, Soy, Coconut, Oat, Rice, Hemp), By Application (Food {Cheese, Deserts, Snacks}, Beverages), By Formulation (Sweetened, Unsweetened), By Sales Channel (Mainstream Stores, Specialty Stores, Online Stores, F

Dairy Alternatives Market Size By Product (Almond, Soy, Coconut, Oat, Rice, Hemp), By Application (Food {Cheese, Deserts, Snacks}, Beverages), By Formulation (Sweetened, Unsweetened), By Sales Channel (Mainstream Stores, Specialty Stores, Online Stores, Food Service) & Forecast, 2023 - 2032

Global Dairy Alternatives Market is expected to expand steadily through 2032 due to the high nutritional value of plant-based dairy alternatives. Fresh dairy products have always been regarded as the healthiest and the most significant components of an individual's diet. However, during recent years, as people have learned more about the advantages and disadvantages of dairy substitutes over traditional dairy products, the demand for such products has skyrocketed.

The availability of several alternative dairy products, such as soy milk, oat milk, almond milk, rice milk, and hazelnut milk in grocery and retail stores has increased consumer demand. Leading market players have been investing in R&D activities to expand their product portfolio in the overseas market. For instance, in October 2021, Alpro, a Danone subsidiary, announced an investment of $54.65 million in the UK to boost plant-based beverage production. These funds will help Alpro increase its production capacity by 300 million liters annually.

The dairy alternatives market has been classified in terms of product and region.

Based on the product, the coconut segment is slated to amass more than USD 7.4 billion in revenue by 2032. The popularity of more diverse food and beverage products, like coconut panna cotta and coffee with almond milk, is growing among consumers concerned about their health. Similarly, coconut-based dairy substitutes are becoming more prevalent in major end-use industries, including restaurants, hotels, and cafes, in the form of packaged meals. Due to the items' increasing availability, consumers have found it simpler to select dairy alternatives and products incorporating them.

Meanwhile, the hemp segment is anticipated to attain high gains in the forthcoming years. Hemp seed milk is being used more frequently because of the continuous developments in nutraceutical technology which, in turn, is expected to foster industry growth over the coming years. Furthermore, demand for hemp seed milk in the retail sector is anticipated to increase because of the rising popularity of plant-based diets in developed nations, including the United States, Canada, the United Kingdom, and Italy.

From the regional outlook, the Latin America dairy alternatives market is poised to propel robustly over the review timeline. The market for dairy substitutes in Latin America has been stimulated by the rise in lactose intolerance cases and the popularity of vegan diets. Consumers' increased health consciousness has increased the demand for functional beverages, which is being pushed by the creation of tasty and nutritionally-sound functional drinks made from plant-based alternatives.