Non-dairy cheese Market Analysis

Global Non-Dairy Cheese Market Overview

The Non-Dairy Cheese Market Size was valued at USD 1.83 Billion in 2023. The non-dairy cheese industry is projected to grow from USD 1.97 Billion in 2024 to USD 3.34 Billion by 2032, exhibiting a compound annual growth rate (CAGR) of 6.80% during the forecast period (2024 - 2032). Increasing lactose intolerance is driving up demand for plant-based cheese, and growing reluctance to consume animal products for moral reasons. Their shift to healthier and cleaner goods is the key market driver enhancing the market growth.

Source Secondary Research, Primary Research, MRFR Database and Analyst Review

Non-Dairy Cheese Market Trends

• The growing obese population is driving the market growth

Market CAGR for the non-dairy cheese market is driven by lactose intolerance, also known as congenital lactase deficiency, a condition where the small intestine cannot produce enough lactase or cause it to digest or metabolize lactose properly. Undigested lactose can move to the large intestine and cause serious health problems, with bloating, diarrhea, and gas as the initial symptoms. About 65% of adult humans have this kind of lactose intolerance, according to the World Population Review from 2023. The demand for non-dairy cheese and other lactose-free goods has significantly increased recently. This is due to the increasing prevalence of lactose intolerance throughout the world.

Customers are thinking about going vegan as a sustainable and healthy option. As a result, its appeal has grown recently. The market for non-dairy cheese will grow due to consumers’ reluctance to consume animal products for moral reasons and their shift to healthier and cleaner goods. The major market players are pouring much money into R&D while concentrating on product innovations and launches in line with consumer trends. For instance, Upfield introduced the vegan cheese brand Violife in the Middle East in July 2021. The product is a lactose- and allergen-free dairy alternative in two flavors—cheddar and mozzarella—in slices, boxes, and grated form.  demand for vegan cheese is driven by changing consumer food preferences and developing trends in the food and beverage sector. Recent years have seen a shift in consumer food preferences due to increased cases of lactose intolerance and other food-related allergies among children and adults. According to data from the Food Intolerance Network, approximately 70 percent of people worldwide are lactose intolerant.

The hotel/restaurant/café (HoReCa) industry is anticipated to grow due to millennials' propensity for veganism and vegetarian diets. To encourage a healthy lifestyle, vegan restaurants, for instance, have been established all over Saudi Arabia. The concern over the carbon footprint caused by an animal-based diet and the rising awareness of animal cruelty have encouraged consumers to choose plant-based products. In addition, excluding meat, the vegan population abstains from all items derived from animals, such as cheese, milk, cream, yogurt, and even honey, which will help the market expand. Thus, driving the non-dairy cheese industry revenue.

Non-Dairy Cheese Market Segment Insights

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  Non-Dairy Cheese Product Type Insights

  
  

Based on product type, the non-dairy cheese market segment includes mozzarella, parmesan, cheddar, cream cheese and others. The mozzarella segment dominated the market, as it is a fresh type of cheese called smoked mozzarella, smoked over open wood fires. It is well known that it came from Spain and Italy. The smoking process unaffected the taste, flavor, or shelf life of the product. Smoked mozzarella can be used in various dishes, including pasta, pizza toppings, and many other foods, as it has no detrimental effects on the cooking process.

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  Non-Dairy Cheese Product Source Insights

  
  

Based on the source, the  non-dairy cheese market segment includes soy, almond, coconut, rice and others. The soy segment dominated the market. Soya non-dairy cheese can be used instead of dairy cheese in sandwiches and wraps. You can add it to your preferred fillings by slicing or grating it as a vegan alternative. For a pizza topping, soy cheese can be shredded. It has a gooey, satisfying texture, melts, and stretches like dairy cheese.

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  Non-Dairy Cheese Distribution Channel Insights

  
  

Based on distribution channels, the  non-dairy cheese market segment includes store-based and non-store-based. The store-based category generated the most income. A large selection of non-dairy cheese is frequently available at large chain supermarkets and grocery stores. Dedicated dairy sections are available in these stores, where you can find a variety of cheeses, including smoked varieties. Seek them out in the specialty cheese sections or the chilled cheese aisle. Many smoked cheeses can be found in delicatessens and delis, specializing in gourmet and high-quality foods. Usually, these shops have a cheese counter or a chilled display with various special kinds of cheese, such as non-dairy cheese.

Figure 1:  Non-Dairy Cheese Market, by Distribution Channel, 2022 & 2032 (USD Billion)

Source Secondary Research, Primary Research, MRFR Database and Analyst Review

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  Non-Dairy Cheese Regional Insights

  
  

By region, the study provides market insights into North America, Europe, Asia-Pacific and Rest of the World. The North American non-dairy cheese market area will dominate this market; the demand for vegan cheese in this area is being driven by changing consumer food preferences and developing trends in the food and beverage industry. In recent years, consumers' food preferences have changed due to increased lactose intolerance and other food-related allergies among children and adults.

Further, the major countries studied in the market report are the US, Canada, German, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.

Figure 2:  NON-DAIRY CHEESE MARKET SHARE BY REGION 2022 (USD Billion)

Source Secondary Research, Primary Research, MRFR Database and Analyst Review

Europe’s non-dairy cheese market accounts for the second-largest market share due to the increased awareness of animal cruelty and the region's growing carbon footprint as a result of the consumption of foods derived from animals, such as milk, honey, eggs, meat, pork, and seafood, consumers are increasingly choosing more environmentally friendly and vegan products. Further, the German market for non-dairy cheese held the largest market share, and the UK non-dairy cheese industry was the fastest-growing market in the European region.

The Asia-Pacific non-dairy cheese market is expected to grow at the fastest CAGR from 2023 to 2032. Product sales are anticipated to be boosted by the rising demand for plant-based bakery and confectionery items in the Asia Pacific region. China, Japan, and Australia are the main drivers as the Asia-Pacific market expands. Moreover, China’s non-dairy cheese market held the largest market share, and the Indian market for non-dairy cheese was the fastest-growing market in the Asia-Pacific region.

Non-Dairy Cheese Key Market Players & Competitive Insights

Leading market players are investing heavily in research and development in order to expand their product lines, which will help the non-dairy cheese market grow even more. Market participants are also undertaking various strategic activities to expand their footprint, with important market developments including new product launches, contractual agreements, mergers and acquisitions, higher investments, and collaboration with other organizations. The non-dairy cheese industry must offer cost-effective items to expand and survive in a more competitive and rising market climate.

Manufacturing locally to minimize operational costs is one of the key business tactics manufacturers use in the non-dairy cheese industry to benefit clients and increase the market sector. The non-dairy cheese industry has offered some of the most significant medical advantages in recent years. Major players in the non-dairy cheese market, including Daiya Foods Inc., Galaxy Nutritional Foods Inc., Otsuka, Violife Foods, Tofutti Brands Inc., Bute Islands Foods ltd, Wayfare Foods and others, are attempting to increase market demand by investing in research and development operations.

Daily Foods Inc, Daily Food Co. is a micro business in Saudi Arabia. Started Maestro Pizza a few years ago, a neighborhood pizzeria that has expanded from a single local pizzeria to a fantastic pizzeria serving all major cities across the nation. The Daily Food Co. was founded in 2013 when we had our modest beginnings. We started as a small neighborhood pizzeria, i.e., Within three years, Maestro Pizza transformed into a thriving national phenomenon.

Bute Island Foods LTD, since the company began 30 years ago, Bute Island Foods has been committed to providing vegan food. To learn more about how the acclaimed dairy-free Sheese was created and the changes the company has undergone to continue providing the best dairy, gluten, and animal-free vegan foods we can, read the backstory here. A soy-based cheese substitute called Sheese was created with modest artisan beginnings at a kitchen table in a farmhouse. It is Cheddar in style. The first official production of hand-crafted Sheese was started in the entire animal and dairy-free facility, which Bute Island Foods completely renovated from top to bottom. Sheese quickly gained popularity, leading to the addition of seven additional flavors to give consumers a wider variety to choose from. Sheese became available in many European nations due to consumer demand, starting with Sweden, Germany, and Holland. It was made by hand for a long time, down to the precise weighing and shaping of each item with a hand press.

Key Companies in the non-dairy cheese market include

• Daiya Foods Inc.


• Galaxy Nutritional Foods Inc.


• Otsuka, Violife Foods


• Tofutti Brands Inc.


• Bute Islands Foods Ltd


• Wayfare foods

For Instance, March 2022 Upfield introduced the Violife vegan cheese brand in the Middle East. The product line is an allergen-free substitute for dairy products and comes in slices, boxes, and grated forms in two flavors, including cheddar and mozzarella.

For Instance, February 2021 An assortment of plant-based ingredients, including cultured cashew nuts and other ingredients, are used to create the plant-based cream cheese line that Treeline Cheese has introduced. Plain, chive and onion, and strawberry are the three flavors offered.

Non-Dairy Cheese Market Segmentation

Non-Dairy Cheese Product Type Outlook

• Mozzarella


• Parmesan


• Cheddar


• Cream Cheese


• Others

Non-Dairy Cheese Source Outlook

• Soy


• Almond


• Coconut


• Rice


• Others

Non-Dairy Cheese Distribution Channel Outlook

• Store-Based


• Non-Store-Based

Non-Dairy Cheese Regional Outlook

• North America
  
  
  
  • US
  
  
  • Canada
  
  
  
  


• Europe
  
  
  
  • Germany
  
  
  • France
  
  
  • UK
  
  
  • Italy
  
  
  • Spain
  
  
  • Rest of Europe
  
  
  
  


• Asia-Pacific
  
  
  
  • China
  
  
  • Japan
  
  
  • India
  
  
  • Australia
  
  
  • South Korea
  
  
  • Australia
  
  
  • Rest of Asia-Pacific
  
  
  
  


• Rest of the World
  
  
  
  • Middle East
  
  
  • Africa
  
  
  • Latin America