Australia Non-Dairy Milk Market Size

Australia Non-Dairy Milk Market Analysis

The Australia Non-Dairy Milk Market size is estimated at 366.2 million USD in 2024, and is expected to reach 580.4 million USD by 2029, growing at a CAGR of 9.65% during the forecast period (2024-2029).

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366.2 Million

Market Size in 2024 (USD)

580.4 Million

Market Size in 2029 (USD)

4.89 %

CAGR (2017-2023)

9.65 %

CAGR (2024-2029)

Largest Market by Product Type

46.67 %

value share, Soy Milk, 2023

The changing societal attitudes towards animal welfare and the environment among consumers is increasing the emphasis on soy milk as a go-to ingredient replacing animal-derived milk.

Largest Market by Distribution Channel

85.50 %

value share, Off-Trade, 2023

The growth of segment in the country is largely driven with the existence of an inviting place for customers to shop, as they are constantly drawn to make large purchases.

Fastest-growing Market by Product Type

13.02 %

Projected CAGR, Coconut Milk, 2024-2029

Owing to its health benefits and usage as an ingredient in a variety of processed food products such as cookies, cakes, and ice cream, coconut milk is gaining momentum.

Fastest-growing Market by Distribution Channel

10 %

Projected CAGR, Off-Trade, 2024-2029

The rising preference to buy essential groceries online during the pandemic drove the off-trade channel. The growth is also assisted by better consumer reach through digital marketing

Leading Market Player

23.79 %

market share, Sanitarium Health and Wellbeing Company, 2022

The exhaustive product portfolio of the company with wider distribution network is largely making Sanitarium Health And Wellbeing Company one of the leading market players in the segment, during the study period.

Enhanced customer personalization options provided by caffes coupled with plant milk diversities offered by supermarkets fuel the market growth

Australia Non-Dairy Milk Industry Segmentation

Almond Milk, Cashew Milk, Coconut Milk, Hazelnut Milk, Oat Milk, Soy Milk are covered as segments by Product Type. Off-Trade, On-Trade are covered as segments by Distribution Channel.

• The off-trade channel plays a major role in the sales of plant-based milk in the region. Plant-based milk accounted for the majority of share in off-trade channels among dairy alternative products. In 2022, plant-based milk accounted for more than 85% of the value share in Australia. Among the off-trade channels, the supermarkets and hypermarkets channel is the largest distribution channel in the Australian plant-based milk market. The proximity factor of these channels, especially in large and developed cities, provides them with an added advantage of influencing the consumer’s decision to purchase among the large variety of products available in the market. In 2022, the supermarkets and hypermarkets channel accounted for 73% of the value share.
• Plant-based milk has captured half of cafe drink sales in Australia. Major chains like Starbucks, Blue Tokai Coffee, Costa Coffee, and Third Wave Coffee Roaster continue to enhance personalization and expand plant-based menu options. These cafes are launching non-dairy-based hot and cold beverages in pairings, such as lattes with plant-based milk, espresso, and iced coffee. The plant-milk sales through the on-trade channel are anticipated to grow by 12.7% by 2025 compared to 2023 in Australia.
• The online channel is expected to be the fastest-growing distribution channel in the off-trade segment. Convenience is the primary motivation for shoppers who have transitioned to shopping for more groceries online. It is projected to register a Y-o-Y growth value of 27.5% during the period 2023-2025. The demand for e-commerce retailing is increasing due to the rising volume of mobile users. In 2022, Australia’s internet penetration rate stood at 91.0 % of the total population.