Cheese Analogue Market

Global Cheese Analogue Market Snapshot

The global cheese analogue market is estimated at USD 2.2 Billion in 2022 and is forecast to surpass USD 4.2 Billion by 2032, growing at a CAGR of 6.4% from 2022 to 2032.

Report Attributes	Details
Base Year Value (2021A)	USD 2.1 Billion
Estimated Year Value (2022E)	USD 2.2 Billion
Projected Year Value (2032F)	USD 4.2 Billion
Global Growth Rate (2022-2032)	CAGR 6.4%
Europe Market Share in 2021	~26%
Europe Growth Rate (2022-2032)	CAGR ~6.7%
Collective Value Share (Germany, China, India) 2022: Top 3 Countries	~39%
Top 5 Companies Market Share in 2021	~19%
Key Companies Profiled	Groupe Lactalis Daiya Foods Inc. Miyoko’s Kitchen, Inc. Lyrical Foods, Inc. Whitehall Specialties Inc. Bute Island Foods Inc. Blendhub Corporation Group Ingredion Inc. Ornua Ingredients MCT Dairies, Inc A.I.F. Ingredients Other Market Players

The global cheese analogue market is likely to create an absolute dollar opportunity of USD 2.0 Billion by the end of 2032. The global cheese analogue market holds 2% of the global cheese market.

2017-2021 Global Cheese Analogue Market Outlook in Comparison to 2022-2032 Growth Forecast

The demand for cheese analogue has grown significantly in the recent past owing to change in consumers’ food habits. The urban population who crave for dishes and cuisines with cheese are the key demand boosters for cheese analogue globally. Pizza is one of the foods whose demand has grown worldwide, which has also augmented the cheese analogue market in this sub-sector. Europe is the largest cheese analogue market, though the demand in South Asia and East Asia has been increasing at a pace higher than global average.

Fact.MR projects the cheese analogue market is expected to witness exhibiting growth at 6.4% CAGR during 2022 and 2032 in comparison to a CAGR of 4.5% with which it grew from 2017 and 2021.

Resemblance in Appearance with Natural Cheese makes Cheese Analogue Highly Acceptable

Cheese analogues are a type of processed cheese that is manufactured with dairy, partial dairy as well as non-dairy ingredients. Cheese analogues are primarily used in prepared dishes such as pizza, burgers, sandwiches and other similar prepared dishes. Cheese analogues are also used in the catering industry. The growing foodservice sector globally thus have been the key growth driver for cheese analogues. The U.S. and U.K. are two of the largest cheese analogue markets. Thus, it is estimated to enhance sales of cheese analogue by 1.8X over the forecast period of 2022-2032.

Demand-Supply Gap of Natural Cheese is Pivotal to the Growth of the Market

While the cheese demand grows, the pressure on cheese manufacturers has been increasing to scale up their capacity. Still, it has been noted that with the growth in demand is increasing at a faster pace as compared to the increase in production. This necessitates the demand for cheese analogues to fill the non-satiated areas. In the countries with lower milk production, cheese analogue is a boon. Therefore, the demand-supply gap is likely to support market growth by 1.5X of current levels in coming years.

Veganism Trend Emerges as a Silent Driver for Cheese Analogue Demand

Vegan population has surged significantly in the recent past owing to several reasons including the growing number of people with lactose intolerance, people’s conscience for animal welfare and trend of veganism represented by the sportspeople and movie stars. This factor is likely to augment the demand for cheese analogue by 1/8th of current levels over the years.

Lower Cost Driving the Demand for Cheese Analogue

The demand of cheese analogue has also been increasing due to its significantly lower price as compared to natural cheese. The cost-foreplay occurs at the level of manufacturing, wherein milk is being replaced by lower priced substitutes such as casein, maltodextrin, starch, and vegetable fat. The lower price of cheese analogue also makes them affordable to the low-income groups. This has also augmented the demand for cheese analogue in the emerging countries as well as larger proportion of their population have low bargaining power. The fast paced urbanization growth globally is anticipated to drive the demand for cheese analogue by 1.2X over the forecast years.

Opportunity for Cheese Analogue Market in New Products

Since cheese analogues are processed form of cheese, the market is estimated to witness growth by 1/4th as their shelf-life can be increased so that it can be used across a variety of existing as well as new and experimental cuisines. At domestic level, where a food ingredient is expected to be stored for periodical use, cheese analogue serves the purpose.

Region-wise Insights

Which region accounts for more enhanced demand for Cheese Analogue Market?

Europe cheese analogue market accounts for the largest market share of 25.7%. The region is projected to register a CAGR of 6.7% during the forecast years. The growth is attributed to the consumers opting for convenience and ready-to-eat meals sufficing their nutritional intake and daily energy intake. Manufacturers too are increasing their production capabilities to launch innovative products like lasagna, ready-to-eat pasta, pizza etc. thereby supporting market growth in the region.

What is the market scenario in East Asia and South Asia & Oceania Cheese Analogue Market?

The Asia Pacific region comprising of South Asia & Oceania and East Asia cheese analogue market holds 20.1% and 21.2% of the overall cheese analogue market, and holds 41.3% market share together. The East Asia and South Asia & Oceania cheese analogue market is projected to grow at a CAGR of 6.9% and 7.3% during the forecast period of 2022-2032.

The growing popularity of cheese analogue among consumers because of escalating urbanization and lowered production costs. Moreover, the escalating popularity of plant-based products in the region are supporting market growth.

Category-wise Insights

Which product type holds dominant market share and is likely to show higher growth in Cheese Analogue Market over the assessment period?

The cheese analogue under product type is segmented into non-dairy cheese analogues, dairy cheese analogues, and partial dairy cheese analogues. Amongst them, non-dairy cheese analogue segment dominates the market by holding 41.3% of the overall cheese analogue market share and this segment is projected to register 6.9% CAGR over the assessment period of 2022-2032.

The booming plant-based food demand across the globe is attributed to the growth in the segment. The simple production methods, easy availability of raw materials, and the cost-effective manufacturing process is likely to boost the growth of this segment.

The next leading segment are dairy cheese analogues and partial dairy cheese analogues which holds 35.6% and 23.1% of the overall market share and are projected to grow at a CAGR of 6.5% and 6.1% during the forecast years.

Which application segment is estimated to support market growth in the Cheese Analogue Market during the forecast period?

Under the application segment, the cheese analogue market is segmented into bakery products, cereal-based food, dairy products, sauces & dressings, processed meat. Amongst them, bakery products segment holds 27.8% market share of the cheese analogue market and it is projected to grow at a CAGR of 7.3% over the assessment period.

This is attributed to the cheese substitutes being used in baked products as toppings and fillings which helps in enhancing the textural and sensory properties. They are also used in burgers and sandwiches, to make frost, and as spreads in crackers and bagels.

The next leading segment are cereal-based food and processed meat which holds 23.2% and 19.7% of the market share and are projected to grow at a CAGR of 6.9% and 6.5% over the assessment period.

Competitive Landscape: Top Companies in Cheese Analogue Market

The global cheese analogue market is highly fragmented and competitive owing to the existence of many domestic and regional players. Various marketing strategies are adopted by key players such as mergers and acquisitions, expansions, collaborations and partnerships.

Also, new product development as a strategic approach is adopted by the leading companies to upscale their market presence among consumers. These strategies have resulted in the manufacturing of cheese analogue.

Fact.MR has provided detailed information about price points of key manufacturers in cheese analogue market positioned across regions, sales growth, production capacity, and speculative technological expansion in the recently published report.

For instance:

1. Bel Brands USA, Inc. in 2020 launched plant based garlic and herbs version of cheese spread flavor under the brand name of Boursin. It was launched in United States in collaboration with Follow Your Heart
2. Willicroft in 2020 launched a plant-based analogue products, thereby expanding its geographical presence in United Kingdom

Global Cheese Analogue Market by Category

• By Product Type, Global Cheese Analogue Market is segmented as:

  • Non-dairy Cheese Analogues
  • Dairy Cheese Analogues
  • Partial Dairy Cheese Analogues

• By Application, Global Cheese Analogue Market is segmented as:

  • Bakery Products
  • Cereal-based Food
  • Sauces & Dressings
  • Processed Meat
  • Fish & Poultry
  • Dairy Products

• By Region, Global Cheese Analogue Market is segmented as:

  • North America
  • Latin America
  • Europe
  • East Asia
  • South Asia & Oceania
  • MEA