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Vegan Cheese Market Size Worth $7.10 Billion By 2030

The global vegan cheese market was valued at USD 2.43 billion in 2021 and is expected to expand at a compound annual growth rate (CAGR) of 12.6% from 2022 to 2030. This growth is largely driven by the increasing acceptance of veganism, particularly among millennials, who are leading the charge in shifting dietary preferences. The rising awareness regarding animal cruelty and the environmental impact of the dairy industry has motivated many consumers to switch to plant-based alternatives.

The COVID-19 pandemic has further fueled market growth by sparking an unprecedented interest in home cooking, with many consumers turning to vegan food products as a healthier and more ethical choice. For example, in the U.S., the plant-based food trade grew significantly, reaching USD 7.0 billion in 2020, up from USD 5.0 billion in 2019. This growing trend of plant-based eating is expected to continue, keeping the market outlook positive.

Key factors driving the demand for vegan cheese include shifting consumer food preferences and evolving trends within the food and beverage industry. The rise in cases of lactose intolerance and food-related allergies has changed how consumers approach dairy consumption. According to the Food Intolerance Network, approximately 70% of the global population experienced lactose intolerance in 2019, further highlighting the demand for lactose-free, vegan alternatives.

Additionally, the shift towards veganism and a vegetarian diet among millennials is particularly evident in the Hotel/Restaurant/Café (HoReCa) sector, where there has been an increase in vegan restaurants, notably in regions like Saudi Arabia, where such establishments are emerging to promote a healthier lifestyle.

The growing awareness about the environmental and ethical concerns associated with animal-based products—such as carbon footprint and animal cruelty—has led consumers to increasingly opt for plant-based products like vegan cheese. In line with this, vegans tend to avoid not only meat but also all animal-derived products, including cheese, milk, cream, yogurt, and even honey. This growing shift is expected to contribute significantly to the continued expansion of the vegan cheese market.

Detailed Segmentation:

Product Insights

Vegan mozzarella cheese held the largest revenue share of over 30.0% in 2021.
Its popularity stems from its widespread use in pizzas, pasta, and Italian dishes, aligning with global food trends.
It is expected to maintain its lead through 2030 due to its versatility and consumer familiarity.

Source Insights

Cashew-based vegan cheese accounted for the largest revenue share of over 35.0% in 2021.
This dominance is attributed to cashew’s creamy texture, mild flavor, and nutritional profile which closely mimic dairy cheese properties.
Cashew remains a preferred base for both commercial and artisanal vegan cheese producers.

End-use Insights

The B2C (Business-to-Consumer) segment led the market in 2021 with a revenue share of more than 50.0%.
Key drivers:
- Rising disposable income
- Growing consumer willingness to try premium and plant-based alternatives
- Increasing retail availability of vegan cheese in supermarkets, online platforms, and specialty stores

Regional Insights

Europe accounted for the largest regional revenue share of more than 35.0% in 2021.
Factors contributing to this include:
- Strong vegan and flexitarian movements
- Stringent animal welfare regulations
- High consumer awareness about sustainability and health
- A mature plant-based product market supported by government and NGO initiatives

Key Companies & Market Share Insights

January 2022, Aldi U.K. launched vegan cheese sold under the chain’s Plant Menu brand. It is made from coconut oil and is free of gluten and soy.

Some prominent players in the global vegan cheese market include: