A new report by European bank ING finds that the plant-based alternatives market in the EU and the UK will be worth €7.5 billion by 2025, compared to €4.4 billion in 2019 – an increase of over 70% in just six years. It reports that the UK is the most developed market, with retail sales of nearly €1 billion, followed by France and Germany.
The study states that at present, plant-based alternatives have”three important weak spots” when compared to their conventional meat and dairy counterparts: cost, ‘user experience’ (taste, texture, and composition), and limited availability.
However: “The current level of investment and innovation in the food industry and the supply chain indicate that all three barriers will be lowered substantially over the next five years. As a result, we expect the market for meat and dairy alternatives to be able to maintain an annual growth rate of around 10% towards 2025. This means retail sales of meat alternatives could increase to 2.5 billion EUR and retail sales of dairy alternatives to 5 billion EUR in 2025.”
Although the charts in the report do not predict any significant disruption for decades, it does say, that “according to our calculations, the market share for meat alternatives is set to increase to 1.3% and for dairy alternatives to 4.1%.”