Market Scope

Europe leads the global oat milk market, fueled by a strong consumer preference for plant-based dairy alternatives and a growing emphasis on sustainability. Oat milk's creamy texture, nutritional profile, and eco-friendly production process have propelled its popularity in countries like Sweden, the UK, and Germany. Major brands such as Oatly, Alpro, and Rude Health dominate the European market, offering a wide range of oat milk products to meet diverse consumer needs. With increasing adoption in cafes, supermarkets, and households, the European oat milk market is poised for continued growth and innovation in the coming years.

The oat milk market industry is projected to grow from USD 4.8 billion in 2022 to USD 7.8 billion by 2030, exhibiting a compound annual growth rate (CAGR) of 7.20% during the forecast period (2022 - 2030). 

Primary Boosters and Barriers

Oat milk is extremely eco-friendly, generates relatively lower greenhouse gases and uses reduced amount of water compared to other dairy alternatives like almond. Taste-wise, oat milk appeals to a larger number of consumers, since it is somewhat as consistent as dairy milk, and therefore, is vastly preferred in home cooking as well as coffee shops. The upsurge in the consumption rate of plant-based milk, especially via popular coffee retail chains like Dunkin Donuts and Starbucks, has been favorable for the oat milk market. Moreover, to foster sales, leading vendors are focusing on attractive and aesthetic packaging with bright and catchy colors. The Oat Milk market trend is experiencing exponential growth driven by increasing consumer demand for dairy alternatives.

Sufficient intake of calcium brings down the risk of osteoporosis while facilitating nerve and muscle function and improving cardiovascular health. These are the key health benefits provided by oat milk and are responsible for the huge demand in the global market. Accelerated cases of lactose intolerance have also benefitted the global industry to a large extent.

Well-established retailers like Walmart and Target have been taking note of the escalating preference for organic oat milk among consumers. The high demand can be accredited to the improving living standards, government-backed initiatives, and the surging purchasing capacity of the consumers in China, Brazil and India. 

Segmental Review 

Product type, category and distribution channel are the top segments highlighted in the MRFR report.

Product types studied in the MRFR market study are flavored and plain. Flavored type of oat milk has taken the top spot in the global market and could also procure the highest growth rate in the years to come. This type of oat milk has additional flavors that appeal to the varying tastes of the consumers and help foster the sales.

Category-wise, the major segments can be organic as well as conventional. Considering the rapidly surging demand for organic oat milk, the segment can escalate at the fastest rate in the following years. The demand for organic oat milk is substantially high since it contains significant amounts of fiber as well as beta-glucans and helps bring down bad cholesterol level in the body.

Distribution channels selling oat milk are either store-based or non-store-based products. Convenience stores, supermarkets & hypermarkets, and more are the major store-based channels and hold the leading position in the global market. With the provision of a one-stop experience for shoppers, store-based outlets have garnered high traction worldwide.

Regional Insight

Asia Pacific/APAC, North America, Europe, as well as RoW/rest of the world are the prominent markets for oat milk.

Europe has maintained its winning streak since 2019 and can keep making the highest profits in the global market, thanks to the high awareness among people about oat milk’s health benefits. Germany has been identified as the most lucrative market in Europe and the share is projected to burgeon rapidly in the years to come owing to frequent launches of new flavors by the reputed companies. More and more consumers are opting for plant-based milk, given the health, ethical and environmental factors, which also enhances the market size for oat milk in the region. The fact that oat milk is not soy-based or nut-based and is gluten-free, works in its favor as people that are allergic to these are turning out to be key consumers.

Prominent Vendors

Oat Milk Market Players Rise Brewing (US), Elmhurst (US), Thrive Market. (US), Califia Farms (US), Chobani (US), PepsiCo (US), Oatly (Sweden), Pacific Foods (US), Danone (US), Happy Planet Foods (US), are some of the major firms in the global market for oat milk.

Asia Pacific has seized a massive share in the global market, with the highest demand for oat milk witnessed in Japan, China, and numerous South-East Asian economies. Growth in health awareness and the rising number of fitness freaks in the region offer attractive opportunities to the top firms in the region. In demand eCommerce channels, growing presence of organized distribution channels and the expanding urban populace also drive the sales of oat milk in the region. Several consumers in the region are growing concerned regarding the presence of antibiotics as well as growth hormones in dairy milk, which also prompt them to opt for plant-based milk like oat milk.

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