Germany Non-Dairy Milk Market SIZE & SHARE ANALYSIS - GROWTH TRENDS & FORECASTS UP TO 2030

Germany Non-Dairy Milk Market Analysis

The Germany Non-Dairy Milk Market size is estimated at 1.57 billion USD in 2025, and is expected to reach 2.78 billion USD by 2030, growing at a CAGR of 12.14% during the forecast period (2025-2030).

The German non-dairy milk market is experiencing significant transformation driven by evolving consumer preferences and lifestyle changes. The market has witnessed substantial growth in the vegan population, with approximately 2.6 million Germans identifying as vegans in 2022, representing 3.2% of the total population. This shift in consumer behavior has led to increased demand for milk alternatives across various retail channels. The industry has responded by expanding product offerings and improving accessibility through diverse distribution networks, particularly in urban areas where consumer awareness and health consciousness are notably higher.

The retail landscape is characterized by a clear dominance of off-trade channels, which accounted for 94.3% of total sales in 2022, while on-trade channels represented 5.73%. This distribution pattern reflects consumer preference for purchasing plant milk products through traditional retail outlets and specialty stores. Retailers are increasingly focusing on product placement strategies and expanding their plant-based sections to accommodate the growing demand. The market has seen particular success in specialty stores, which offer extensive product knowledge and personalized customer service, contributing to increased consumer confidence in dairy alternatives.

The industry is witnessing a significant shift toward clean label products and sustainable packaging solutions, aligned with the European Commission's Green Deal Industry Plan, which targets 25% of agricultural land under organic farming by 2030. In January 2023, the European Union adopted a new Common Agricultural Policy (CAP) for 2023-2027, specifically addressing hemp cultivation regulations and supporting sustainable agricultural practices. These regulatory developments have encouraged manufacturers to invest in organic and environmentally conscious production methods, leading to increased product innovation and diversification in the market.

The digital transformation of retail channels has become a crucial factor in market growth, with approximately 95% of German households having access to broadband internet and 61.5% of the population using smartphones for online purchases. The e-commerce segment has shown particular promise, with 40% of orders being placed through mobile devices, indicating a strong shift toward digital purchasing patterns. Online retailers have responded by implementing sophisticated delivery systems and user-friendly platforms, offering consumers convenient access to a wide range of vegan milk alternatives while providing detailed product information and competitive pricing options.

Germany Non-Dairy Milk Market Trends

The increasing popularity of plant-based milk products owing to health benefits is driving the consumption

• In 2022, the German per capita consumption of milk alternatives observed a growth of 1.35% compared to 2021. Domestic consumption of plant-based milk increased as a result of the COVID-19 pandemic in 2020 and was substantially sustained till 2022. About one-third of the German population does not drink milk at all but uses milk alternatives.
• The plant-based milk category is already developed in Germany owing to increased consumption. There are over 50 labels that offer plant-based milk options to German consumers. The demand for plant-based milk is still growing; consumption almost doubled between 2018 (22%) and 2020 (42%). Compared to other plant-based products such as cheese and meat, plant-based milk alternatives lead the plant-based food market. Many consumers are already well familiar with milk alternatives like soy and coconut milk. In Germany, 93% of consumers already consume plant-based milk alternatives, which is a higher consumption rate than in any of the other plant-based product categories.
• Oat milk leads the plant-based milk category, with the highest per capita consumption among other plant-based milk products in the region. Per capita consumption of oat milk increased by 1.62% in 2022 and is anticipated to increase by 35.6% during 2023-2025. Plant milk is being increasingly mentioned in more national nutrition guidelines, which is another strong reason influencing people to consume plant milk. So far, 23 countries worldwide, including Germany, have integrated plant milk into their national nutrition guidelines as an alternative to cow’s milk. The easy accessibility of these products via German offline and online supermarkets like Rewe, Bringmeister, Globus, and Amazon Fresh, including mainstream and local brands such as Allos, Vitaquell, and Sojade, is anticipated to drive consumption in the regions.

OTHER KEY INDUSTRY TRENDS COVERED IN THE REPORT

Segment Analysis: Product Type

Oat Milk Segment in Germany Non-Dairy Milk Market

Oat milk has emerged as the dominant segment in Germany's non-dairy milk market, commanding approximately 38% market share in 2024. The segment's leadership position is primarily driven by its widespread acceptance as a preferred alternative to cow's milk, particularly in coffee and tea-based beverages. Major coffee chains operating in Germany have responded to this trend by incorporating oat milk options in their menus through strategic partnerships with leading manufacturers. The segment's growth is further supported by the availability of various brands across different retail channels, with key players like Alpro, Provamel, Oatly, Silk, and Alnatura maintaining a strong presence in major supermarkets and convenience stores throughout Germany. The segment's success is also attributed to its versatility in different applications and the increasing consumer preference for plant-based dairy alternatives that offer both nutritional benefits and environmental sustainability.

Hemp Milk Segment in Germany Non-Dairy Milk Market

Hemp milk is positioned as the fastest-growing segment in Germany's non-dairy milk market, projected to grow at approximately 19% during 2024-2029. This remarkable growth trajectory is supported by expanding industrial hemp farming in Germany, which ensures a steady availability of raw materials such as hemp seeds and extracts. The segment's growth is further bolstered by supportive regulatory frameworks, including the European Union's Common Agricultural Policy (CAP) for 2023-2027, which recognizes direct payments for hemp cultivation. The increasing consumer interest in hemp-based food products, coupled with the segment's strong presence across various distribution channels, particularly convenience stores, is driving its rapid expansion. The growth is also supported by the rising penetration of hemp milk products through online retail channels, with major e-commerce platforms offering various hemp milk brands and products to cater to the growing consumer demand.

Remaining Segments in Germany Non-Dairy Milk Market

The German non-dairy milk market features several other significant segments including soy milk, almond milk, coconut milk, hazelnut milk, and cashew milk, each catering to specific consumer preferences and needs. Soy milk maintains its position as a traditional plant-based alternative, valued for its protein content and versatility in various applications. Almond milk continues to attract consumers seeking low-calorie options with a subtle nutty flavor profile. Coconut milk offers unique taste characteristics and is particularly popular in cooking and baking applications. Hazelnut milk and cashew milk segments, while smaller in market share, contribute to the market's diversity by offering premium, specialty options for consumers seeking unique flavor profiles and nutritional benefits. These segments collectively enhance the market's product diversity and cater to varying consumer preferences, dietary requirements, and usage occasions.

Segment Analysis: Distribution Channel

Off-Trade Segment in Germany Non-Dairy Milk Market

The off-trade distribution channel dominates the German non-dairy milk market, accounting for approximately 94% of the total market share in 2024. This significant market position is primarily driven by the extensive network of convenience stores, supermarkets, hypermarkets, and online retail channels across Germany. The segment's dominance is reinforced by consumers' preference for purchasing plant-based milk products through these channels due to the greater convenience and variety they offer. Off-trade retailers provide plant-based milk at varied price points, from economy to premium ranges, enabling consumers to choose products that align with their budget preferences. The segment's growth is further supported by the increasing penetration of key brands across convenience stores and the rising adoption of online grocery shopping platforms. Modern retail formats within the off-trade segment are enhancing the shopping experience through digital integration, including mobile apps for pre-ordering, digital signage for product information, and cashless payment options. The segment is projected to maintain its market leadership through 2029, driven by continued expansion of retail networks and technological advancements in distribution channels.

On-Trade Segment in Germany Non-Dairy Milk Market

The on-trade segment, while smaller in market share, plays a crucial role in introducing consumers to plant-based milk alternatives through foodservice establishments. This channel primarily operates through restaurants, cafes, and other food service outlets that incorporate plant-based milk options in their beverage menus. The segment is characterized by its focus on premium positioning and specialized serving formats, particularly in coffee shops and specialty beverage outlets. Major coffee chains and restaurants are expanding their plant-based milk offerings to cater to the evolving preferences of German consumers, particularly in urban areas. The on-trade channel is also witnessing increased innovation in menu offerings, with establishments creating signature beverages using various plant-based milk alternatives. The segment's growth is supported by the rising trend of out-of-home consumption and the increasing number of foodservice establishments offering plant-based options to meet the growing demand for milk substitutes.

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