Market Size of tofu Industry
| Icons | Lable | Value |
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Study Period | 2017 - 2029 |
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Market Size (2024) | USD 1.66 Billion |
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Market Size (2029) | USD 2.95 Billion |
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Largest Share by Distribution Channel | Off-Trade |
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CAGR (2024 - 2029) | 12.16 % |
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Largest Share by Region | Europe |
Major Players |
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*Disclaimer: Major Players sorted in no particular order |
Tofu Market Analysis
The Tofu Market size is estimated at 1.66 billion USD in 2024, and is expected to reach 2.95 billion USD by 2029, growing at a CAGR of 12.16% during the forecast period (2024-2029).
1.66 Billion
Market Size in 2024 (USD)
2.95 Billion
Market Size in 2029 (USD)
8.38 %
CAGR (2017-2023)
12.16 %
CAGR (2024-2029)
Largest Segment by Region
35.31 %
value share, Europe, 2023
Due to a large majority of the population being allergic to soy, the introduction of soy-free tofu derived from chickpeas and yellow peas is trending in the European market.
Largest Segment by Distribution Channel
71.39 %
value share, Off-Trade, 2023
Consumers purchasing from supermarkets and hypermarkets is increasing with the wide offerings in the store and the expansion of shelf space for meat substitutes like tofu.
Fastest-growing Segment by Region
13.14 %
Projected CAGR, Asia-Pacific, 2024-2029
Tofu is a common ingredient in ethnic and regional dishes from East and Southeast Asia, with subtle regional variations in methods of production, texture, flavor, and usage.
Fastest-growing Segment by Distribution Channel
12.60 %
Projected CAGR, On-Trade, 2024-2029
The sales growth is due to a hike in the global vegan population leading to the launch of several vegan restaurants or the addition of a vegan menu to traditional restaurants.
Leading Market Player
8.25 %
market share, House Foods Group Inc., 2022
The several variants of tofu being offered by the company and its broad distribution networks are responsible for its market growth, making it a larger market player.
The rising trend of veganism is expected to boost the sales of tofu
- The off-trade distribution channel accounted for the major share of the global tofu market in 2022. Due to the lower price of tofu, people prefer it as a more economically feasible option over meat alternatives, which has been driving its sales. The demand for plant-based protein products has increased over the last five years. With the concerns about health and animal welfare, many people have had to move to soy-based products to meet their protein requirements. There has been an increase in investments in supermarkets and convenience stores. For instance, 7-Eleven, one of the major tofu consumers with more than 16,000 stores across five Southeast Asian markets in 2022, is strengthening sales across the region, while Walmart has also invested a huge amount in Canada to open more stores and smoothen its delivery systems.
- The on-trade segment is anticipated to be the fastest-growing distribution channel during the forecast period, recording a CAGR of 10.32% by value. The sign-ups for the Veganuary campaign in 2022, where people eat vegan for the month of January, were over 629,000. People signed up from 228 countries and territories, and in 2021, there were 582,000 participants. This rise in the vegan trend had implications for food service operators to provide vegan dishes based on tofu. Moreover, vegan restaurants have also emerged across all regions.
- The online channel segment is projected to be the fastest-growing distribution channel for the sales of tofu globally. Consumers started shopping online due to the ease offered by digital payments, contactless delivery, and the availability of a wide range of products on one single platform at huge discounted prices. Moreover, the internet penetration rate was around 64.4% globally in 2022.
Understand The Key Trends Shaping This Market
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Regional soybean production and consumption demand are the primary drivers of the market
- The region with the highest consumption of tofu in 2022 was Europe. The European tofu market registered a CAGR of 7.20% by value over 2017-22, owing to rising flexitarian and vegan populations and various government initiatives to encourage the consumption of meat substitutes. The European Commission set forth its strategies for assisting the European Union in becoming carbon neutral by 2050. The Commission has committed to investing USD 99.2 billion in the green transition between 2021 and 2027 as part of the European Green Deal. The plan aims for financial investments in plant-based and substitute proteins.
- Asia-Pacific is the fastest-growing region globally and is projected to register a value CAGR of 13.17% during the forecast period. The Asian market for tofu is anticipated to grow swiftly due to rising consumer and investor demand. China is observed to be the dominant country market in the region owing to its huge soybean production capacity, which is a major ingredient for manufacturing tofu. The Chinese government has expressed its aim to increase soybean production by 40%, to 23 million tonnes, over the period of 2022-26, thereby requiring significant reduction of imports and strengthening of food security in the country.
- North America is another promising region for the global tofu market and is observed to be the second-largest tofu consumer globally. In 2020, the Canadian government invested USD 73.2 million in plant-based proteins like tofu. The funding was allocated to Merit Functional Foods, a business specializing in transforming peas and canola from domestic sources into high-quality plant-based proteins like tofu and tempeh.
