Study: European Plant-Based Industry Grows 49%, Propelled By Record Demand


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The European plant-based food industry has grown by 49% within the last two years, driven by record high levels of demand across the region, a new study finds. The research, which represents the most accurate overview of plant-based consumer habits in Europe to date, also highlighted plant-based milk as the fastest-growing category in the majority of countries, overtaking plant-based meat. 

A new report released by the E.U.-funded Smart Protein Project has revealed the staggering growth of the bloc’s plant-based industry. The research, produced in partnership with Berlin-headquartered nonprofit ProVeg International, analysed previously unpublished retail data from Nielsen, providing what it bills as “unprecedented insights” into the European plant-based food segment and consumer habits in the “first and only report of its kind” to date. 

Every single one of the 11 European countries included in the report saw a dramatic increase in plant-based demand, averaging out at a 49% growth over the last two years across the region, translating to a total sales value of €3.6 billion (approx. US$4.35 billion).

Plant-based meat and dairy alternatives have seen sales surge across all European markets surveyed in the report over the past two annual periods. (Source: Heura)

Notably, the German market saw the biggest plant-based shift of all, with its vegan meat category growing by a whopping 226% over the same period to top €181 million (approx. US$218 million) in sales value, confirming previous research indicating that for the first time, German consumers identifying as full-time meat-eaters are now a minority in the country

Finally, we see the tremendous growth of plant-based food in Europe over the last few years reflected in numbers.

Dr. Kai-Brit Bechtold, Senior Consumer Research Scientist, ProVeg International

Plant-based meats also performed well in the French market, with 100% growth recorded within its discount store channels, and in the Austrian retail, where sales-value growth reached 82%. In the U.K., the vegan meat segment leads its broader plant-based food industry, and is among the most highly valued at €502 million (approx. US$470 million). 

The fastest-growing category of products across most countries in Europe was plant-based milk, with oat milk sales leading the sector, with the exception of France, where almond milk continues to dominate. 

Oat milk sales are leading the plant-based milk category (Source: Oatly)

In Spain, plant-based milk has surged double-digits to become the leading segment in the industry, with its sales value surpassing €318 million (approx. US$384 million), though its plant-based meat sector remains strong, bolstered by its successful homegrown startup brand Heura, who stands as the fastest-growing plant-based startup in Europe and has recently reported a tripling in its year-on-year turnover amid the pandemic

Other dairy products also recorded an incredible rise in demand over the past two years, such as plant-based yoghurt, sales of which grew an eye-popping 497% in Belgium’s discount store channels, and plant-based cheese sales increasing 165%, 150% and 140% in the British, German and Dutch consumer markets respectively

While the vegan seafood segment remains in its infancy, the research indicated a major market opportunity in the coming years, with German consumers leading the way to push sales growth in the plant-based fish sector to 623% over the past two annual periods

This report clearly reveals the huge increase in sales of plant-based food and offers a green light to the food industry in terms of pursuing more plant-based options.

Dr. Kai-Brit Bechtold, Senior Consumer Research Scientist, ProVeg International
Plant-based seafood will be a category to watch within Europe’s plant-based food industry. (Source: Novish)

Commenting on the results, Dr. Kai-Brit Bechtold, senior consumer research scientist at ProVeg International, said: “Finally, we see the tremendous growth of plant-based food in Europe over the last few years reflected in numbers. This report clearly reveals the huge increase in sales of plant-based food and offers a green light to the food industry in terms of pursuing more plant-based options.” 

Though the first report of its kind, the Smart Protein Project’s new study is just among the latest in a slew of positive predictions for the future of the plant-based industry in Europe and around the world. In October 2020, analysts at ING research estimated that the European plant-based meat and dairy industry will grow 10% year-on-year to reach US$8.9 billion by as soon as 2025

If this trend continues over the coming decades, plant-based protein alternatives could surpass sales of their animal counterparts by the mid-2050s, said ING research. Other reports have highlighted that globally, Asia-Pacific will be the region to watch, especially in the vegan meat alternatives market, which is forecasted to top US$21 billion by 2025


Lead image courtesy of Francisco Seco / AP.

Author

  • Sally Ho

    Sally Ho is Green Queen's former resident writer and lead reporter. Passionate about the environment, social issues and health, she is always looking into the latest climate stories in Hong Kong and beyond. A long-time vegan, she also hopes to promote healthy and plant-based lifestyle choices in Asia. Sally has a background in Politics and International Relations from her studies at the London School of Economics and Political Science.

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