Vegan Cheese Market

Global Vegan Cheese Market Size (2024 to 2029)

The size of the global vegan cheese market is expected to be worth USD 3.35 billion in 2024 and USD 5.98 billion by 2029, registering a CAGR of 12.3% from 2024 to 2029.

Lactose- and easily digestible cheese is nothing but vegan. Soy milk, almond milk, rice milk, as well as additional sources including peanut milk, coconut milk, and others are used to make vegan cheese, which is totally made of plant-based components. A few of the factors influencing the rise of the worldwide vegan sector include customer desire for environmentally friendly, animal-free sources of protein, increased consumer concern about the use of antibiotics, allergies, and hormones, and worries about animal welfare. The global vegan cheese market is growing as a result of the widespread usage of vegan cheeses in fast food snacks, bakeries, and confectioneries.

Current Scenario of the Global Vegan Cheese Market  

The global vegan cheese market has accounted for significant growth in the past years and is anticipated to have notable growth during the forecast period. The market is driven by consumers seeking sustainable and cruelty-free substitutes for traditional dairy products. The global vegan cheese market is growing due to the widespread usage of vegan cheeses in fast food snacks, bakeries, and confectioneries. The vegan cheese is 100% animal-free and made using vegetable proteins. These are made mainly from soy, cashews, and vegetable oils like coconut oil. These consist of starches and thickeners such as carrageenan and xanthan gum. The global vegan population will accelerate the market growth opportunities in the coming years. According to various reports data, by 2023, the total number of vegans will be around 3 to 4% of the total population worldwide, and the total number of vegetarians, including vegans, will be around 11 to 15%.  

MARKET DRIVERS 

The growing popularity and adoption of veganism worldwide are majorly propelling the growth of the global vegan cheese market. 

The adoption of veganism has been continuously increasing in all parts of the world, particularly among millennials. Consumers are being pushed to choose plant-based goods due to rising awareness of animal cruelty and the damaging effects the dairy sector has on the environment. A significant portion of the population is switching to a plant-based diet, fuelling the growth of the vegan consumer goods industry. Growing customer demand for plant-based dairy products has caused producers to move quickly because of growing public awareness of animal cruelty and the adverse environmental effects of a carnivorous diet. European region held the most significant vegan population; the increased number is demanding plant-based alternatives like vegan cheese among consumers, positively impacting the market growth. Most of the cheese consumed worldwide is made from dairy. Demand for plant-based vegan cheese has increased as the vegan market expands. Changes in consumer eating preferences and emerging trends in the food and beverage industries are driving the demand for vegan cheese on a global scale. Due to the rise in cases of lactose intolerance and other food-related allergies in both children and adults, consumer food preferences have changed recently. The increasing lactose intolerance cases influence people to adopt plant-based alternatives such as vegan cheese products, boosting market growth opportunities. The introduction of various innovations by the market players, such as unique flavors, textures, and formulations, is gaining traction among people and providing growth opportunities to the global vegan cheese market.  

MARKET RESTRAINTS 

Significant changes in the food and beverage industry are anticipated to result from the arrival of the COVID-19 pandemic. The global vegan cheese market is anticipated to grow slowly, particularly in 2020, as consumer demand keeps falling due to the ongoing health problem. The increased demand for vegan cheese burdens raw material suppliers such as cashews, soy, coconut, and almonds, which may hamper the market growth in the coming years. The high demand may lead to fluctuations in the price ranges of raw materials, which restricts access to small-scale businesses. The expensiveness of the plant-based alternatives, where the vegan cheese is expensive compared to the regular cheese, is expected to impede the market growth. The shorter shelf-life of vegan cheese compared to dairy cheese is another factor hindering the market growth opportunities due to limited adoption. The presence of stringent regulations by the US Food and Drug Administration (USFDA) for approval of the products will be challenging for the market players in terms of market exp

REPORT COVERAGE 

SEGMENTAL ANALYSIS

Global Vegan Cheese Market Analysis By Product

The mozzarella segment was the most significant segment in the global market in 2023, capturing more than 30% of the global market share. It is anticipated to continue to lead during the forecast period in the global vegan cheese market. In Italian dishes, including spaghetti, pizza, croquettes, and Caprese salad, mozzarella is widely used as slices, cubes, shredded cheese, and spreads. The demand for mozzarella is exceptionally high in countries where Italian food is popular, which fuels the expansion of segment revenue.    

Ricotta is anticipated to experience the fastest CAGR of 14.0% over the forecast period. This product's expanding range of use in Italian cuisines, such as manicotti, lasagna, roll-ups, high tea, and ravioli, has been driving demand and boosting category growth. 

Global Vegan Cheese Market Analysis By Source

The cashew segment had 36.4% of the global market share in 2023 and is anticipated to remain prominent during the forecast period. Vegan cheese made from cashews is low in fat and contains vitamins B2 and B12, gaining traction among people who consider that health fuels the segment's growth. Due to its health advantages, gluten-free and cholesterol-free cashew products are also becoming more popular, contributing to the market revenue. 

The soy segment is anticipated to grow fastest during the forecast period. Soy milk is an affordable alternative to dairy and contains a perfect ratio of healthy fatty acids and amino acids. As a result, it is an economical choice for large-scale vegan cheese makers. Additionally, soy-based cheese is simple to melt, so it is becoming more popular among customers. These advantages are boosting the segment growth.

Global Vegan Cheese Market Analysis By End Use

The B2C segment led the market and occupied 56.7% of the worldwide market share in 2023. It is expected to grow exponentially during the forecast period owing to rising consumer disposable income levels and their willingness to spend on high-end items. The demand for plant-based products in the B2C sector has increased. The straightforward accessibility of goods in supermarkets and convenience stores has also contributed to the growth of this market. 

The B2B segment is projected to grow prominently in the coming years. Most restaurants, cafes, and hotels are adopting plant-based alternatives, considering the vegan population, driving the segment's growth.  

REGIONAL ANALYSIS

More than 35.0% of global revenue was generated in Europe in 2023, and this region will continue to hold the top spot throughout the coming years. Consumers are progressively adopting more environmentally friendly and vegan goods as a result of rising awareness of animal cruelty and the region's growing carbon footprint brought on by the use of commodities produced from animals, such as milk, honey, eggs, beef, pig, and seafood. The European region has many vegan people and flexitarians actively seeking alternatives, fueling regional market growth. The well-established distribution network for plant-based alternatives is expected to impact the vegan cheese market's growth positively. For Instance, In October 2022, the European Commission registered the European Citizens initiative for vegan meals, which proposes a law mandating the availability of vegan alternatives in private and public establishments that sell food and beverages in Europe.   

The Asia Pacific is predicted to be the fastest-growing regional market for vegan cheese, growing at a CAGR of 14.1% from 2024 to 2029. The increased demand for plant-based baking and confectionery products in the region is predicted to increase sales of the product. China, Japan, and Australia are the leading proponents of the Asia Pacific vegan cheese market's growth.  

The North American region is projected to have considerable growth during the forecast period due to increasing demand for gluten-free food products. The increasing awareness among people regarding the need for good health and rising demand for products with low cholesterol levels is driving the demand for vegan cheese, leading to market growth across North America.   

KEY PLAYERS IN THE VEGAN CHEESE MARKET

Violife Foods, Daiya Foods, Tyne Chease Limited, Vtopian Artisan Cheese Company, Kite Hill, Miyoko’s Kitchen Company, Vermont Farmstead Company, Good Planet Foods, Follow Your Heart and Galaxy Nutritional Foods, Inc. are some of the notable companies in the global vegan cheese market.

RECENT HAPPENINGS IN THE MARKET

• In January 2024, South Korean food tech company Armored Fresh created almond-based products that mimic the taste and texture of dairy cheese with nutrient-infused protein content.  

• In January 2024, The Laughing Cow, a Chicago-based company, introduced a plant-based spreadable cheese product line in the United States. This line caters to consumers seeking dairy-free, creamy alternatives made from almond milk.  

• In February 2024, Stockeld Dreamery, a Swedish vegan dairy start-up, introduced a fermented Cheddar slice to elevate the vegan cheese experience. This newly made plant-based cheese is developed from fermented legume milk.  

• In April 2024, The Compleat Food Group returned to the M&A industry by acquiring Palace Culture, a UK-based dairy-free cheese business. Palace Culture contributes to the group's plant-based product line but is distinguished by its move away from meat alternatives.  

• In October 2023, PETA published on its site that it would give Babybel dairy-free cheese to passersby and attendees of the International Dairy Federation World Dairy Summit. PETA reminded people that loving cheese, yogurt, and milk can go hand in hand with being kind to animals.  

• Upfield released the vegan cheese line Violife in the Middle East. The product line is an allergen-free dairy replacement that comes in slices, boxes, and grated forms for two tastes: cheddar and mozzarella. 

• Violife, the top vegan cheese brand in the UK, has introduced two new flavors, namely Tex Mex Flavour Grated and round Mozzarella Flavour Slices. The Mozzarella Flavour slices may be used in a sandwich or salad and are reported to stretch like regular mozzarella. The spicy Tex-Mex Flavour is perfect for recipes like chili and fajitas. 

DETAILED SEGMENTATION OF GLOBAL VEGAN CHEESE MARKET INCLUDED IN THIS REPORT     

This research report on the global vegan cheese market has been segmented and sub-segmented based on Product, Source, End-Use & region.     

By Product

• Mozzarella
• Cheddar
• Parmesan
• Ricotta
• Cream Cheese

By Source

• Cashew
• Soy

By End Use

• B2C
• B2B

By Region

• North America
• Europe
• Asia-Pacific
• Latin America
• Middle East and Africa