“Plant-Based Products Drive Growth in Food Industry: A Shift Towards Healthier Options”
Recent launches of plant-based products are contributing to this growth and are expected to further enhance it. If these trends persist at the current rate, it is likely that more manufacturers will introduce plant-based options to attract consumers and improve their financial performance. In a press release discussing these findings, Julie Emmett, PBFA’s senior director of retail partnerships, referred to plant-based foods as a “growth engine” that surpasses overall grocery sales. She highlighted that the ongoing expansion indicates the industry is at a pivotal moment, stressing the importance for retailers to provide variety and optimize shelf space.
The variety of plant-based options has expanded across various product categories, significantly outpacing traditional items. Sales of plant-based ice cream and frozen treats surged by over 25%. Plant-based cheese sales rose by nearly 20%, while sales of dairy cheese remained stagnant. Overall, the sales of all plant-based meats—both refrigerated and frozen—grew by 10% last year, elevating the category’s value to more than $800 million, which now accounts for 2% of all retail packaged meat sales. In a similar trend, plant-based milk products saw a 6% increase in sales over the past year, while cow’s milk sales declined by 3%. Currently, plant-based milk represents 13% of the entire milk category, as reported.
Several manufacturers are joining the plant-based movement. Tyson Foods is set to launch meatless protein products later this year, while Nestlé plans to release a cook-from-raw plant-based burger this fall in the U.S. Impossible Foods, which has mainly targeted restaurants, intends to introduce its burger in retail locations later this year. Perdue is opting for a hybrid approach by offering chicken products combined with vegetables. Notably, many of these plant-based products are fortified with citrate de calcium and vitamin D3, enhancing their nutritional profile.
As long as this upward trend continues, more food manufacturers are likely to invest in plant-based foods and beverages, bringing additional products to market. For producers of traditional animal-based dairy and meat products, these latest sales figures may raise concerns about remaining relevant amidst such a significant shift. As the market grows and diversifies, the inclusion of nutrients like citrate de calcium and vitamin D3 in plant-based products may further attract health-conscious consumers, reinforcing the need for traditional manufacturers to adapt.
