A new GFI analysis has studied plant-based food sales in six European countries — Germany, France, Italy, the Netherlands, Spain, and the UK.
Based on Circana data, the analysis shows that plant-based sales across these countries reached €5.4 billion in 2023, up 5.5% from 2022. Additionally, volume sales were up 3.5%. Total value sales increased in five of the six countries studied.
While inflation appears to have affected the sector in some countries, sales were up in categories that have made progress towards price parity. In many cases, private-label products were a key growth driver.
Plant-based milk and drinks currently lead the sector, comprising 41% of total plant-based sales value in 2023. Plant-based meat follows at 36.8%, while cream and cheese are seeing the most rapid growth.
Here are some of the highlights from each country studied.
Germany
Germany had the largest retail market for plant-based food, worth €2.2 billion in 2023. Between 2022 and 2023, value sales rose by 8%, unit sales were up 9%, and volume sales increased by 11%. In the early months of 2024, the market continued to grow.
Plant-based meat was the largest category, worth €922 million in 2023 with steady sales volume. 37% of German households bought plant-based meat at least once in 2023, up from 34% in 2021. Of these households, over two-thirds bought it multiple times.
The second-largest category was plant-based milk and drinks, worth €805 million in 2023. The category continues to see steady growth, and was also purchased by 37% of households last year. Three-quarters purchased it multiple times.
Furthermore, private-label plant-based milks were cheaper than private-label dairy milk, costing an average of just €1.12 per litre last year. Plant-based cream was the fastest-growing category, with volume sales up 37%.
France
Demand for plant-based foods remains steady in France, with the retail market valued at €648 million in 2023. Between 2022 and 2023, sales volume increased by 2%, while sales value was up 11%. However, the latter is mostly due to inflation.
The plant-based meat category was worth €221 million last year and continues to see steady growth, with sales volume up 3.4%. Plant-based milk and drink sales were not far behind at €211 million, with sales volume increasing by 2.6%.
Plant-based cheese was the fastest-growing category, reaching €10 million in 2023 with sales volume up 24% and sales value up 34%.
Italy
Demand for plant-based food has remained steady in Italy, though sales value increased by 8% to €641 million (partly due to inflation). Plant-based milk and drinks were the largest category at €315 million in 2023, with sales volume roughly the same as in 2022.
Plant-based meat sales were worth €199 million in 2023, increasing by 13% in value and 8% in volume between 2022 and 2023. Plant-based cheese was the fastest-growing category, with sales volume increasing by a third and sales value rising by 40% to €15 million.
Netherlands
Unit and volume sales of plant-based foods declined in the Netherlands between 2022 and 2023, possibly due to rising food prices. However, it appears that sales are holding steady so far in 2024, with plant-based meat sales up slightly. The plant-based retail market was worth €309 million in 2023, up 1.1% from the previous year.
Plant-based meat remained the largest category at €144 million in 2023, despite a decline in sales volume from the previous year. Encouragingly, plant-based milk and drinks had a market share of 8% by volume of all plant- and animal-based milk drinks.
Like Germany, plant-based cream was the fastest-growing category, up 5% between 2022 and 2023 with a market value of €5.4 million.
Spain
Plant-based sales increased significantly in Spain, reaching €451 million in 2023. Value sales were up 7.5%, while volume sales rose 6.4%.
Plant-based milk and drinks were the largest category at €308 million, with sales volume up 8% and value up 9%. 40% of households bought plant-based milk, most of them more than once. This was up from 37% in 2021.
Plant-based cheese saw astonishing growth, with a 34% rise in volume and a 48% increase in sales value. Meanwhile, a fifth of households bought plant-based meat, a fraction that has remained relatively steady since 2021.
The UK
In the UK, plant-based sales are down, likely due to inflation and the cost of living crisis. Sales volume decreased by 9%, while sales value was down 3%. However, the decline slowed in some categories in early 2024.
Plant-based milk and drinks were worth £404 million last year, bought by over a third of households. A third also bought plant-based meat.
Plant-based cream was the fastest-growing category, with volume sales up 10% and value sales up 23% to £10 million. Branded cream alternatives are now reportedly cheaper per litre than branded dairy cream.
“Europe’s plant-based sector has continued to make headway despite a difficult few years for the wider food industry,” said Helen Breewood, research and resource manager at GFI Europe. “Plant-based meat and dairy are becoming mainstream options in many European countries, emerging plant-based categories are growing, and some products are beginning to compete with their animal-based counterparts on price.
“Our analysis finds that lower prices and higher quality can power the growth of these more sustainable options, so policymakers and manufacturers should continue to invest in innovation and infrastructure to develop tastier, more affordable products capable of building a diversified, resilient, and healthy European food system.”
