by Vegan food such as plant-based meat alternatives, dairy alternatives made from soy, nuts and grains are gaining popularity as they are perceived to be more sustainable and beneficial for heart health compared to animal products. Vegan snacks made from gluten-free flours are also in demand owing to increasing instances of gluten intolerance. Large companies have introduced various vegan food products under different brand names to cater to this growing consumer segment.
The global Indian Vegan Food Market is estimated to be valued at US$ 1497.18 Mn in 2023 and is expected to exhibit a CAGR of 9.1% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
One of the major trends in the Indian vegan food market is the emergence of startup brands exclusively focused on Indian vegan cuisine. These startups are developing traditional Indian food items like paneer, curries and desserts using plant-based ingredients to appeal to the taste preferences of local consumers. Extensive marketing of health benefits associated with vegan diets on social media along with rise of vegan influencers is also driving awareness. Furthermore, vegan food products are increasingly found on the menus of cafes and restaurants as most millennials and young consumers prefer flexitarian or vegan lifestyles. Expanding availability of vegan substitutes for daily dairy items through online and offline retail channels has further boosted the market growth of vegan foods in India.
Porter’s Analysis
Threat of new entrants: The Indian vegan food market has moderate threat of new entrants due to increasing demand for plant-based products and growing health awareness. However, established brands have strong distribution networks and brand recall.
Bargaining power of buyers: Buyers have high bargaining power due to the availability of various product options from established brands. Buyers can easily switch between brands based on price and quality.
Bargaining power of suppliers: Suppliers have moderate bargaining power due to low switching costs and scarcity of quality raw materials. The market is fragmented with many small and private label suppliers.
Threat of new substitutes: The threat of substitutes is moderate as vegetarian options provide close substitutes. However, ingredients in vegan food are not animal-derived.
Competitive rivalry: The market sees intense competition among existing brands. Players compete on pricing, product innovations, and expansion of product portfolio.
Key Takeaways
The Indian Vegan Food Market Size is expected to witness high growth over the forecast period driven by rising health consciousness, animal welfare concerns and expanding demography of millennials and urban populations. Regional analysis shows that western India dominates the market currently due to early adoption and strong distribution channels of prominent brands in Mumbai and Pune. Key players operating in the Indian vegan food market are One Good (formerly Goodmylk), GoodDot, EVO Foods, Ahimsa Food, Wakao Foods, Jus Amazin, So Good, Live Yum, Piper leaf, Soft Spot Food, Vega Lyfe, The Hershey Company, Sun Opta Inc., Living Harvest Food Inc., Pascual Group, Grub market, SunFed, Danone, and Whitewave Foods Company.
Western India is expected to retain its dominant position throughout the forecast period due to widespread awareness campaigns and strong promotion of vegan lifestyle. South India is projected to witness fastest growth on account of increasing vegetarian population, growing health clinics and fitness startups promoting plant-based nutrition.
Key players in the market are focused on expanding their product portfolios to cater to evolving consumer preferences for vegan versions of milk, cheese, eggs, mayonnaise and other popular foods. Strategic partnerships with food chains and restaurants are helping brands strengthen their distribution presence nationwide. Frequent new launches, advertising campaigns coupled with social media promotions have also enabled brands to garner increased consumer mindshare.
Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
