United States Plant-Based Food Market Growth, Trends and Outlook 2032

United States plant-based food market is projected to witness a CAGR of 12.53% during the forecast period 2025–2032, growing from USD 12.84 billion in 2024 to USD 33.11 billion in 2032. The market has experienced significant growth in recent years, fueled by factors such as increasing awareness of the health and environmental benefits of plant-based diets, changing consumer preferences, and advancements in food technology.
The United States plant-based food market is a rapidly growing segment of the food industry, driven by a rising demand for healthier and more sustainable food options. Plant-based food products are made from ingredients that are derived from plants, such as vegetables, fruits, grains, legumes, and nuts. These products are typically free from animal products such as meat, dairy, and eggs, making them an appealing choice for consumers looking for vegan, vegetarian, or flexitarian options. Nearly 8 percent of the county’s population is vegetarian, and 3 percent is vegan. The plant-based food market includes a wide range of products such as meat alternatives, dairy alternatives, plant-based snacks, and plant-based beverages. As the demand for plant-based food products continues to rise, the market will likely continue to expand and evolve, presenting opportunities for innovation and growth in the food industry.
The wider availability of plant protein ingredients such as flaxseed, quinoa, pea proteins, chia, and oats are adding nutritional flavors to food, making them a healthier alternative to milk, meat, and eggs. Consumer’s misconception of plant-based meals being more expensive than the regular meal options and accessibility to buy plant-based food and fresh produce, especially for the lower-income Americans, hinders the market growth to a limited extent. Although, new entrants as well as existing players can tap this market potential by bringing innovative solutions to provide easy accessibility of plant-based meals to this mass group. In March 2024, Yo Egg, an Israeli food technology firm, began selling its vegan poached eggs and sunny-side-ups at US retail locations, with the primary focus on Los Angeles. Yo Egg specializes in precooked frozen poached and sunny-side-up eggs that are ready to fry or boil. The products are composed primarily of soy protein, chickpeas, and sunflower oil.
The United States plant-based food market has witnessed significant expansion in recent years, driven by increasing consumer awareness of health benefits, environmental concerns, and animal welfare considerations. As more individuals adopt flexitarian, vegetarian, and vegan diets, the demand for plant-based food products continues to rise, creating lucrative opportunities for businesses and investors.
Increasing Consumer Preference for Healthier Diets Catalyses Market Expansion
The availability of plant-based food products has increased significantly in recent years in the United States, driven by growing consumer demand for healthier and more sustainable food options. Supermarkets and restaurants across the country have responded to this demand by increasing their offerings of plant-based products, including plant-based meat alternatives, dairy-free milk, and vegan cheese. Plant-based alternatives offer various health benefits such as controlled blood sugar, and lowered cholesterol level. Moreover, large food companies have started to introduce plant-based alternatives to traditional meat and dairy products, further expanding the availability of plant-based options. For instance, in February 2024, Califia Farms launched a plant-based milk, Califia Farms Complete, which contains nutrients, protein, amino acid and lesser sugar as compared to dairy-based milk. The product is made using a mixture of chickpea, pea, and fava bean protein.
As the availability of plant-based products continues to increase, it is likely that the plant-based food market will continue to grow in the United States. The US retail sales for plant-based foods were USD 8 billion in 2023 out of which the plant-based milk category accounted for USD 2.8 billion with more than 40 percent of the household penetration.
Environmental Sustainability and Ethical Considerations Fuel the Market Demand
Environmental sustainability and ethical considerations are significant market drivers for plant-based foods in the United States. Consumers are becoming more aware of how their food choices impact the environment, thereby enhancing the demand for sustainable options. Generally, when compared to animal products, plant products have a lower carbon footprint, which attracts environmentally conscious consumers. Furthermore, many consumers seeking plant-based alternatives that do not involve animal suffering are motivated by animal welfare concerns. This trend is seen mostly in the younger generations, like Gen Z and Millennials, who base their purchasing decisions on sustainability and ethical consumption. Consequently, companies are expanding their plant-based product lines to meet this demand and fuel the market’s growth.
Aligning with the trend, in March 2024, the first plant-based Oscar Mayer offerings and the first plant-based meat invention from the joint venture between The Kraft Heinz Company and TheNotCompany, Inc., were introduced by The Kraft Heinz Not Company LLC as NotHotDogs and NotSausages. Both products provide a smoky and savory taste experience for the consumers, with juicy and thick bites satisfying their cravings.
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Plant-based Dairy Segment Holds the Majority of the Market Share
The United States plant-based food market is closely linked to the growing popularity of plant-based diets, which have become increasingly popular in recent years due to their numerous health benefits and environmental advantages. Dairy alternatives hold a prominent share in the plant-based food market in the United States mainly owing to a large lactose intolerant population. Nearly 36% of the country’s population is lactose intolerant. Plant-based milk captures 15% of the total milk market in the United States.
Other reasons for the adoption of dairy alternatives include a shift towards vegan lifestyles and concerns for the environment. Innovation focusing on texture and taste has aided in propagating consumer acceptance for fortified and functional dairy alternatives. With the expansion of retail and food service assistance comes market growth. Dairy substitutes have proven to grow at a much faster pace compared to other categories, with consumers gradually switching to plant-based diets, which further adds strength to this leading category of plant-based foods in the country. In November 2024, The Laughing Cow, under Bel Brands USA, Inc., introduced its plant-based spreadable cheese to nationwide customers. The product is targeted at customers in search of spreadable alternatives based on plants and is made using almond milk for a creamy mouthfeel.
Market Segmentation
The U.S. plant-based food market is segmented into various product categories:
- Plant-Based Meat: Burgers, sausages, nuggets, and ground meat alternatives.
- Dairy Alternatives: Plant-based milk, cheese, yogurt, butter, and ice cream.
- Egg Replacements: Liquid and powdered egg substitutes for cooking and baking.
- Plant-Based Seafood: Fish fillets, shrimp, and tuna alternatives made from algae and other plant proteins.
- Snacks and Bakery: Vegan protein bars, cookies, and pastries.
Competitive Landscape
The market is highly competitive, with key players investing in research and development to improve product offerings. Some leading companies include:
- Beyond Meat
- Impossible Foods
- Oatly
- Danone (Alpro, Silk)
- Nestlé (Sweet Earth, Garden Gourmet)
- The Kraft Heinz Company (Boca Foods)
Challenges and Opportunities
While the plant-based food market in the U.S. is booming, challenges remain:
- Higher Price Points: Plant-based products are often more expensive than conventional options, affecting mass adoption.
- Taste and Texture Barriers: Some consumers remain hesitant due to perceived taste differences.
- Regulatory Considerations: Labeling restrictions and nutritional claims regulations continue to evolve.
Future Market Scenario (2025–2032F)
- Scaled up plant-based meal varieties with innovations in flavors, texture, and nutritional value are expected to stimulate the interests of mainstream consumers.
- Major players from both established and start-up companies will likely increase investment in plant-based food offerings contributing to the growth of the market.
- Further growth will be seen in the market due to the increasing consumer awareness and demand for sustainable, ethical, and health-conscious food choices.
Report Scope
“United States Plant-Based Food Market Assessment, Opportunities, and Forecast, 2018–2032F”, is a comprehensive report by Markets and Data, providing in-depth analysis and qualitative and quantitative assessment of the current state of the United States plant-based food market, industry dynamics, and challenges. The report includes market size, segmental shares, growth trends, opportunities, and forecast between 2025 and 2032. Additionally, the report profiles the leading players in the industry, mentioning their respective market share, business models, competitive intelligence, etc.
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