Europe Plant-Based Dairy Products Market Research Report Forecast: (2025-2030)

Market Definition

Plant-based dairy products are foods manufactured with plants in place of regular dairy products like milk, cheese, and yogurt to suit people who avoid taking dairy products for reasons such as being lactose intolerant or suffering from diseases caused due to fats or cholesterols and have extreme health consciousness.

Market Insights & Analysis: Europe Plant-Based Dairy Products Market (2025-30):

The Europe Plant-Based Dairy Products Market size was valued at around USD 4.5 billion in 2024 and is projected to reach USD 7.8 billion by 2030. Along with this, the market is estimated to grow at a CAGR of around 10% during the forecast period, i.e., 2025-30. This is due to the wide range of products available in the European market, with good quality taste and reasonable prices. Even while expanding in the food sector, prices for plant-based food have remained constant between 2021 and 2023.

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In addition, the cases of lactose intolerance and heart-related diseases are also rising day by day in Europe. Around 25% of the population of Europe is suffering from lactose intolerance. Also, cardiovascular diseases are the cause of death of around 42.5% of people every year in Europe as per WHO. All such people are advised by health advisors not to take dairy products because they have high amounts of lactose, cholesterol, and fats. Thus, plant-based products are the best alternatives as they lack lactose and have very low fat and cholesterol levels. Therefore, the above reasons and the rise in cases of various diseases have led to plant-based alternatives witnessing high demand.

Furthermore, the number of dairy cows in EU countries is also continuously decreasing. For instance, in 2023, there were around 19.7 million dairy cows, which shows a decrease of around 1.7% as compared to the previous year. Germany has the largest dairy cow population in Europe, but it has also about 96,900 fewer cows in 2023 as compared to the previous year. As a result, the production of natural dairy products also decreased and their charges expanded. This inclines a high proportion of population towards the plant-based alternatives as they are easily available and provide all the essential nutrients. Therefore, high production and consumption of plant-based dairy products have been noted in past years, and this trend is expected to continue in the forecast period as well.

Europe Plant-Based Dairy Products Market Driver:

Increasing Health Considerations – The focus of many European consumers is increasing on their health, inclining them towards food that provides nutritional benefits without the problems that are associated with traditional dairy products. Plant-based dairy products are believed to be healthier options, often containing lower lactose and fat, while supplying essential nutrition. Moreover, the additional nutrients which include calcium and numerous vitamins, have made them an even more attractive choice for health-focused customers. For instance, Koko Dairy Free has introduced a new milk and yogurt range with improved recipes that aim to replicate the qualities of traditional dairy more closely. Its Original Like Milk has been designed to be low in sugar and a great source of protein and vitamins including B12 as well as B2. Therefore, the health benefits provided by plant-based dairy without the drawbacks of traditional dairy have attracted a wide consumer base in past years, and this trend is expected to continue in the future as well.

Europe Plant-Based Dairy Products Market Opportunity:

Increasing Number of Consumers Following Plant-Based Diets – As more people in Europe shift to vegan diets, the demand for plant-based dairy products is expected to experience an upward push. This trend is not only limited to those completely supporting a plant-based lifestyle, but a significant proportion of the general people is also reducing their consumption of animal-based products, motivated by health concerns and environmental awareness. This expanding consumer base is set to drive good growth in plant-based dairy. This shift is particularly seen among younger generations, who are more likely to ensure sustainability and animal welfare in their food choices. Therefore, the number of plant-based dairy products consumers are expected to increase in the coming years due to increasing vegan preference and health consciousness, in turn, providing a lucrative growth opportunity for the market.

Europe Plant-Based Dairy Products Market Challenge:

Resembling the Taste & Texture of Traditional Products – The manufacturing of plant-based dairy alternatives with taste and texture similar to traditional products is still a challenge for the manufacturers, mainly in cheese and yogurt. This is because various plant-based ingredients used in these products have a taste of soil, roots, or beans that are transferred to dairy alternatives. This increases the demand for adding flavors to those products which increases the cost of production. This also affects the buying behavior of customers who are health conscious and make purchases as per ingredients.

Additionally, some ingredients like peanuts not only have a strong taste but are also highly viscous which makes it difficult for manufacturers to resemble the texture in plant-based alternatives as of traditional ones. Therefore, due to difficulty in resembling products with appropriate taste and texture, customers are less inclined towards them, mainly cheese and yogurt, thus presenting a challenge for the overall growth of the market.

Europe Plant-Based Dairy Products Market Trend:

Private Label Products Gaining Traction – The plant-based dairy products that are prepared and manufactured by some companies and are sold by some other companies without the name of the manufacturer are in high trend as they have recorded the highest sales in some EU countries in past years. For instance, Hacendado, a privately label milk in Spain is responsible for more than 20% of the overall sales. Additionally, Rossmann in Poland, Delhaize in Belgium, and Carrefour Bio in France are some of the leading private-label products in Europe.

The main reason behind their popularity is the lower price of products and high availability. Also, these products are freshly prepared with good enough taste that further attract more customers. Therefore, due to the availability of high-quality products with lower prices, various retailers are inclining towards such products, and the expanding production of such companies shows that this trend is expected to continue in the future as well. For instance, Leche Pascual in Spain has started producing plant-based milk for Hacendado (mercadona's private label).

Europe Plant-Based Dairy Products Market (2025-30): Segmentation Analysis

The Europe Plant-Based Dairy Products Market study of MarkNtel Advisors evaluates & highlights the major trends and influencing factors in each segment. It includes predictions for the period 2025–30 at the regional level. Based on the analysis, the market has been further classified as:

Based on Type:

• Milk
• Cheese
• Yogurt
• Others

Based on the type of plant-based dairy product, the milk segment holds a major market share of around 58%. The main reason behind this growth is the shift of the population towards health-friendly food options that are manufactured without harming the environment. This is because their concern regarding the effect of traditional dairy farming on the environment is continuously increasing including the release of various gases in the environment, high water usage, and soil exploitation. As a result, many people are shifting towards plant-based dairy products as their manufacturing does not result in such effects.

Moreover, the focus of many people on their health is continuously increasing, thus increasing the demand for foods that offer health benefits without the limitations associated with traditional dairy products, such as lactose, fat, cholesterol, etc. Plant-based milk is assumed to be a healthier alternative as it contains low calories and fat and provides essential vitamins and minerals. Therefore, due to the health and environmental benefits provided by plant-based milk, this segment has been highly in demand in past years.

Based on Material:

• Almonds
• Blends
• Coconuts
• Oats
• Rice
• Others

Based on the type of material, oats-based dairy products hold a market share of the European market of around 43%. Oat milk, in particular, is gaining significant traction among consumers seeking sustainable and flavorful alternatives to traditional dairy-based beverages with appropriate taste and texture. This is because oat-based products are highly focused on innovation and alignment with ongoing trends. For instance, San Benedetto SPA introduced the Avena line in 2024, a new range that includes four oat-based beverages in 0.40-litre bottles, designed for convenience and on-the-go consumption. Additionally, each product is free from added sugars and features specific health and wellness (H&W) claims.

Moreover, the governments of this region are experiencing pressure to lift or lower the taxes on plant-based ingredients which will further support the growth of this segment by the reduction in the prices. Therefore, due to the affordable prices and suitable taste and texture, oat-based dairy products are highly popular in Europe, and this trend is expected to continue in forecast periods as well.

Europe Plant-Based Dairy Products Market (2025-30): Regional Projections

Geographically, the European Plant-Based Dairy Products Market expands across:

• The UK
• Germany
• France
• Italy
• Spain
• The Netherlands
• Belgium
• Poland
• Others

Regionally, Germany is the largest consumer of plant-based dairy products with a market share of around 39%. This is due to the high inclination of German people towards their health, environmental sustainability, and ethically produced food. Around 25% of Germans have lactose intolerance problems. This inclines them toward plant-based dairy products as they provide the required nutrition together with some extra vitamins consisting of B12, D, etc.

Oat milk, in particular, has emerged as a favorite amongst German consumers, due to its relatively low environmental footprint and versatile taste, which works well in both sweet and savory dishes. The growing availability of oat milk in various flavors and formulations, such as barista versions designed for frothing in coffee, has further fueled its popularity. Therefore, the health and environmental benefits of plant-based dairy products have attracted a high number of Germans.

Europe Plant-Based Dairy Products Industry Recent Development:

• 2024: Alpro introduces six new products in its chilled portfolio including Plant Protein Chocolate and Mixed Berries Variants. These products are introduced to meet the consumers’ strong desire for added protein in food and drinks.

• 2023: Oatly Group AB collaborated with Germany’s largest coffee chain, Coffee Fellows. This collaboration aimed to avail dairy-free oat-based beverages for customers at about 275 outlets of Coffee Fellows across Germany, Austria, Belgium, Luxembourg, and the Netherlands.

Gain a Competitive Edge with Our Europe Plant-Based Dairy Products Market Report

1. Europe Plant-Based Dairy Products Market Report by MarkNtel Advisors provides a detailed & thorough analysis of market size & market share, growth rate, competitive landscape, and key players. This comprehensive analysis helps businesses gain a holistic understanding of market dynamics & make informed decisions.
2. This report also highlights current market trends & future projections, allowing businesses to identify emerging opportunities & potential challenges. By understanding market forecasts, companies can align their strategies & stay ahead of the competition.
3. The Europe Plant-Based Dairy Products Market Report aids in assessing & mitigating risks associated with entering or operating in the market. By understanding market dynamics, regulatory frameworks, and potential challenges, businesses can develop strategies to minimize risks & optimize their operations.

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