Plant-Based Fats Market Size, Share, Growth, Trends, and Global Industry Analysis: By Source (Soy, Canola, Sunflower, Palm, Olive, Coconut, Cashew, Almond, Oat, Avacado, and Others), By Product Type (Yogurt, Butter, Cheese, Spreads, and Creamers), By Distribution Channel (Supermarkets and Hypermarkets, Convenience Stores, and Online Channel) and Region Forecast 2020-2031

The global plant-based fats market size was valued at US$ 7,033.3 million in 2024 and is projected to witness a CAGR of 10.1% over the forecast period (2025-2031) and is estimated to be valued at US$ 13,382.2 million in 2031. The market is increasing with growing demand from consumers for plant-based eating, environmental considerations, and expanding food and beverages business. Customers are looking for environmentally sound solutions and encouraging companies to innovate sustainable fat replacers. Technology advancements are enhancing the taste and functionality of plant-based fats, especially for meat and dairy alternatives.

In addition, new-generation entrepreneurs are fostering competition and innovation in future generations of plant-based fat products.  As sustainability is a top priority, the sector will see increased investment and innovation, changing the food industry and promoting ecologically conscious consumer behaviour’s globally.

Key Takeaways

• Almond-based fats dominate the plant-based fats market, holding the highest share 24.0% of US$ 1,041.2 million by 2024, due to their nutritional benefits and versatility in dairy alternatives. Coconut-based fats, with a market share of US$ 975.8 million, emerge as the second-largest segment, largely driven by their widespread use in plant-based dairy and confectionery products.
• Yogurt-based fats hold the second-largest share at 25.0% of US$ 1,756.4 million, reflecting strong consumer interest in probiotic-rich, dairy-free yogurt alternatives. Additionally, yogurt-based fats are the fastest-growing product type, projected to grow at a CAGR of 10.5%
• Supermarkets and hypermarkets dominate the distribution channel segment, capturing the highest market share with 54.7% of US$ 3,847.8 million, as consumers continue to prefer in-store purchases for food products. However, the online channel is the fastest-growing segment, projected to expand at a remarkable CAGR of 13.8%, driven by the increasing popularity of e-commerce and direct-to-consumer sales.

Facts and Figures

• In Europe, 2.6 million people identified as vegan in 2023, accounting for 3.2% of the total population. Meanwhile, in India, 64% of consumers reported consuming plant-based alternatives, with adoption rates highest among individuals aged 25 to 34.
• The United Nations Food and Agriculture Organization (FAO) discovers that animal husbandry releases 14.5% of global greenhouse gas (GHG) emissions, a critical contributor to climate change. Additionally, animal agriculture is also a primary cause of deforestation and water pollution, adding to the demand for sustainable plant-based alternatives to fats such as palm oil, shea butter, and coconut oil.

Key Developments

• In September 2024, Flora introduced a limited-edition plant-based smoked garlic butter. This product is suitable for various culinary applications, such as enhancing pasta dishes and sautéed mushrooms, offering consumers a flavorful dairy-free alternative.
• In October 2024, Avril's subsidiary, Oleon, acquired A.Azevedo Óleos, a Brazilian oleochemical company specializing in castor oil and its derivatives. This acquisition marked Oleon's entry into the South American market, aligning with its strategy to enhance its global presence in sustainable oleochemicals.
• In October 2023: Bunge signed an agreement with CJ CheilJedang and STIC CJ Global Investment to acquire CJ Latam Participações Ltda. and CJ Selecta S.A., including an oilseed processing facility in Brazil. The acquisition is expected to close by mid-2024, pending regulatory approvals and customary closing conditions.
• In April 2021, In Singapore, ADM launched a plant-based innovation center at the Biopolis biotech hub. The ADM Technical Innovation Center in Singapore has gained a substantial addition with the establishment of the plant-based innovation lab. Key functional and sensory components of plant-based applications will be tested in the lab, enabling quick solution formulation.

Plant-Based Fats Market Segmentation

Based on the source:

• Soy
• Canola
• Sunflower
• Palm
• Olive
• Coconut
• Cashew
• Almond
• Oat
• Avacado
• Others

Almond-based fats have the highest share with 24.0% in the plant-based fats market, driven by their high nutritional value, heart-health benefits, and increasing demand for dairy alternatives. As of 2024, the almond-based fats market is estimated to be valued at US$ 1,687.5 million

Based on the product type:

• Yogurt
• Butter
• Cheese
• Spreads
• Creamers

In 2024, the plant-based yogurt market is estimated to be valued at US$ 1,756.4 million, with a projected CAGR of 10.5% from 2025 to 2030, making it one of the fastest-growing dairy alternatives globally.

Based on the distribution channel:

• Supermarkets and Hypermarkets
• Convenience Stores
• Online Channel

The online channel accounted for US$ 853.8 Million with the lowest share of 12.1% in the Plant-based Fats Market in 2024. The online channel is emerging as the fastest-growing distribution segment for plant-based fats, driven by rising e-commerce adoption, changing consumer preferences, and the increasing demand for doorstep delivery convenience.