Europe Non-dairy Cheese Market Size & Share Analysis - Growth Trends And Forecast (2025 - 2030)

Segment Analysis

By Type: Cashew Formulations Outpace Soy as Meltability Demands Rise

Soy-based cheese held 40.43% of the market in 2024, anchored by established supply chains and lower raw-material costs than nut-based alternatives, but cashew-based cheese is expanding at 20.27% CAGR through 2030 as manufacturers prioritize neutral flavor profiles and superior fat content that mimics dairy cheese mouthfeel. Almond-based cheese appeals to consumers seeking lower-calorie options, though its slightly sweet flavor limits applications in savory dishes. Others, including coconut-oil-based and oat-based cheeses, capture niche segments where allergen avoidance or regional ingredient preferences dictate formulation choices. Violife's Supreme Cheddarton, which incorporates lentil protein to deliver 9.5 grams of protein per 100 grams, illustrates how legume blends are being used to boost nutritional density and address the perception that plant-based cheeses are protein-deficient.

Cashew's ascendance reflects a broader industry pivot toward premium positioning and functional performance. Dreamfarm's almond-cashew ricotta, launched in Italy in October 2024, targets the EUR 1.8 billion Italian fresh-cheese segment, where texture and moisture content are critical for pasta fillings and spreads. Soy-based cheese remains dominant in Germany and the Netherlands, where early market entrants like Violife and Soyana established brand recognition, but growth is decelerating as consumers associate soy with GMO concerns despite EU regulations requiring non-GMO labeling. Precision-fermented casein, licensed by Leprino Foods from Fooditive Group, represents a potential disruptor that bypasses plant-protein limitations entirely by producing dairy-identical proteins in bioreactors, though regulatory approvals and cost structures remain barriers to widespread commercialization.

Note: Segment shares of all individual segments available upon report purchase

By Form: Shredded Formats Gain as Foodservice Recovers

Slices commanded 33.25% of the market in 2024, driven by sandwich and burger applications where convenience and portion control matter more than melt performance, yet shredded cheese is growing at 20.04% CAGR as pizza chains and pasta restaurants reintroduce plant-based menu options post-pandemic. Blocks appeal to artisanal consumers who grate or slice at home, while cubes serve charcuterie and snacking occasions. Others, including crumbles and spreads, address niche culinary uses such as salad toppings and dips. METRO Germany's decision to stock Formo's Frischain cream cheese in September 2024 signals that foodservice buyers are willing to trial plant-based formats if they perform comparably to dairy in high-heat applications.

The shredded segment's acceleration is tied to technological breakthroughs in melt and stretch. Violife's mozzarella shreds, formulated for pizza, leverage modified starches and coconut oil to replicate the browning and elasticity that consumers expect from dairy mozzarella, a sensory benchmark that earlier plant-based cheeses failed to meet. SimplyV's ParmVegan, launched at Ocado UK in August 2024, targets the grated-cheese segment where umami intensity and granular texture are critical for pasta and salad applications. Slices remain the largest format due to retail dominance and consumer familiarity, but their growth is constrained by limited differentiation opportunities,most brands compete on price rather than sensory innovation. Blocks and cubes serve premium segments where consumers tolerate higher prices for artisanal positioning, but volumes remain small relative to slices and shreds.

By Packaging Type: Cans Capture Sustainability-Conscious Buyers

Tubs held 45.21% of packaging share in 2024, favored for soft cheeses and spreads where resealability and refrigeration are standard, but cans are expanding at 19.66% CAGR as retailers seek shelf-stable formats that reduce cold-chain logistics costs and appeal to sustainability-conscious consumers. Tins serve niche applications like aged cheese analogs that benefit from metal's light-blocking properties, while cans' recyclability and ambient storage align with zero-waste retail initiatives. Lidl Switzerland's adoption of cellulose-based packaging for cheese in 2024 reflects broader retailer pressure on suppliers to adopt compostable or recyclable materials that reduce plastic waste.

Cans' growth is driven by e-commerce and export channels, where ambient stability reduces spoilage risk and shipping costs. Tubs remain dominant in fresh cheese categories like ricotta and cream cheese, where refrigeration is unavoidable, and consumers prioritize convenience over sustainability. Tins' share remains marginal, limited to specialty products like vegan parmesan that mimic dairy's shelf-stable grated formats. The packaging landscape is fragmenting as brands experiment with glass jars, paper-based wraps, and biodegradable films to differentiate on environmental credentials, but cost premiums of 15% to 30% for sustainable packaging constrain adoption to premium SKUs. Retailers like Lidl are using private-label plant-based cheese to pilot sustainable packaging at scale, leveraging volume commitments to negotiate lower material costs with suppliers.

By Distribution Channel: On-Trade Rebounds as Menus Diversify

Off-trade channels accounted for 96.31% of sales in 2024, reflecting plant-based cheese's retail origins and consumer preference for home preparation, yet on-trade is growing at 18.67% CAGR as restaurants, cafes, and hotels reintroduce plant-based options to capture flexitarian diners and reduce exposure to volatile dairy prices. Ocado's nationwide UK listings for I AM NUT OK in May 2025 and SimplyV in August 2024 illustrate how online grocers are expanding plant-based cheese assortments to meet e-commerce demand.

On-trade's resurgence is tied to menu innovation and margin management. Foodservice operators report that plant-based cheese costs 20% to 30% less than premium dairy cheese while commanding similar menu prices, enabling margin expansion on plant-based pizzas and pasta dishes. METRO Germany's distribution of Formo's Frischain to independent restaurants in September 2024 signals that wholesalers are building plant-based assortments to serve operators seeking differentiation in competitive urban markets. Specialist retailers like La Fauxmagerie in the UK curate artisanal plant-based cheese selections that educate consumers on pairing and usage, creating a halo effect that lifts category perception in mainstream supermarkets. 

Geography Analysis

Spain's 19.21% CAGR through 2030 positions it as Europe's fastest-growing plant-based cheese market. The Spanish government's planned Plan de Acción para los Alimentos Plant-Based for 2026 and potential VAT reductions on sustainable foods signal policy tailwinds that could lower retail prices and expand addressable markets. Plant-based cheese volume in Spain grew between 2022 and 2024, outpacing value growth and indicating that price compression is driving trial among price-sensitive consumers. Spain's agri-food innovation ecosystem, comprising over 420 startups concentrated in Madrid, Catalonia, the Basque Country, and Andalusia, attracted EUR 226 million in investment in 2023, funding capacity expansions and R&D that will support long-term supply growth. Vegetal/es, Spain's plant-based food association, reports that each EUR 1 of sector output generates EUR 3.7 in the broader economy and creates 3.9 indirect jobs per direct position, multipliers that are being used to lobby for regulatory clarity and public investment.

Germany retained 25.67% market share in 2024, anchored by household penetration rates for plant-based meat and for plant-based milk, the highest in Europe. Plant-based cheese represents a small share of total cheese sales by volume in Germany, a small absolute share but one that is expanding as private-label products undercut branded alternatives. Veganz's opening of a vegan cheese factory in Germany in May 2024 reflects manufacturer confidence in long-term demand, while Formo's EUR 35 million EIB loan in January 2025 funds precision-fermentation capacity that will supply German and broader European markets. The price gap between plant-based and animal products in Germany narrowed in early 2024, driven by private-label expansion and dairy price inflation, a convergence that is accelerating trial among mainstream consumers.

The United Kingdom, France, and Italy represent mature markets with distinct growth drivers. The UK's Ocado listings for I AM NUT OK and SimplyV in 2025 expanded nationwide availability, while McDonald's continued its McPlant burger offering in the UK despite withdrawing it from the US, signaling sustained foodservice demand. France's plant-based cheese sales reached a significant milestone by volume, the highest rate among dairy alternatives. Italy's plant-based cheese volume grew between 2022 and 2024, driven by ricotta and mozzarella analogs that align with pasta and pizza consumption patterns. New Zealand, though geographically distant, is included in the Europe report scope due to trade agreements and export flows, while Rest of Europe encompasses smaller markets like the Netherlands, Belgium, and Scandinavia where plant-based cheese penetration varies by local dairy consumption patterns and regulatory environments.