Global Coconut Foods Market - 2024 - 2031

Report Overview

Global Coconut Foods Market reached US$ 20.24 billion in 2023 and is expected to reach US$ 37.7 billion by 2031, growing with a CAGR of 8.1% during the forecast period 2024-2031.

Increasing consumer preference for natural and organic products is a major trend, as people seek out foods with perceived health benefits such as improved digestion, heart health and weight management. There is a growing emphasis on sustainability and ethical sourcing practices in coconut farming, addressing environmental concerns and enhancing supply chain transparency.

Coconut is naturally free from common allergens such as soy, nuts and dairy milk. As awareness of food allergies and intolerances grows, coconut-based products provide a safe alternative for individuals who need or prefer to avoid these allergens. Additionally, the broader trend towards health consciousness and a preference for minimally processed, natural foods boost the appeal of coconut products.

North America dominates the global market. Lactose malabsorption affects about 36% of people in U.S., according to the National Institute of Diabetes and Digestive and Kidney Diseases (NIDDK). As many individuals with lactose intolerance seek dairy-free alternatives, coconut products like coconut milk, yogurt and ice cream have seen increased demand.

Market Dynamics

Increasing Vegan Population

The increasing adoption of vegan and plant-based diets is a significant driver for the growth of the global coconut foods market. According to the World Animal Foundation, approximately 88 million people were vegans worldwide in 2022, highlighting the substantial and growing market for coconut-based alternatives. As more individuals transition to veganism, there is a heightened demand for plant-based alternatives to traditional dairy products.

Coconut-based foods, such as coconut milk, coconut yogurt and coconut-based cheeses, have emerged as popular choices, providing diverse and nutritious options that align with vegan dietary preferences. The products are valued for their versatility and nutritional benefits. They offer healthy fats and essential nutrients and are often fortified with vitamins and minerals, making them a vital source of nutrition for those on plant-based diets.

New and Innovative Product Development

Various developments taking place in the market in terms of formulations and product innovations attract consumers and meet evolving preferences in the market in terms of their taste and health preferences, driving the market growth. For instance, in April 2024, The Vita Coco Company introduced Vita Coco Treats, a new coconut milk beverage blending creamy coconut with the sweetness of strawberries.

Manufacturers are tapping health and environmentally-concerned consumers with innovative product launches. For instance, in July 2024, The Coconut Collab launched Protein Yog, a plant-based coconut yogurt with 10 grams of protein per serving. This dairy-free option is low in sugar and high in protein from soy and almond, featuring all nine essential amino acids. Fermented with live cultures for gut health, Protein Yog is made from ethically farmed coconuts and is designed with a zero-waste approach.

High Costs of Coconut Foods

High costs are a major challenge in the global coconut foods market, affecting raw material prices, production and logistics. Fluctuations in coconut prices, expensive processing equipment and rising transportation costs can squeeze profit margins. High costs can lead to higher prices for consumers, which may impact demand, especially in price-sensitive markets.

Market Segment Analysis

The global coconut foods market is segmented based on type, distribution channel and region.

Increasing Demand for Dairy-Free Milk

The global coconut foods market is segmented based on type into coconut milk, water, sugar, oil and others. The coconut milk segment owns the largest market share, with a high demand for non-dairy options among consumers. According to the NIH, in developed countries, cow's milk allergy affects approximately 2 to 3% of infants. With the increasing prevalence of such allergies, consumers are looking out for dairy-free milk, raising the segment demand.

The new product introductions are further, expanding the segment's reach. For instance, in January 2023, Cocos Organic introduced UK's first Organic Coconut Milk Yog Tubes. The independent, family-run brand specializes in dairy-free, gut-friendly coconut products, with the Yog Tubes being dairy, gluten, nut and refined sugar-free and aimed at children over six months old.

Market Geographical Share

Rising Vegan Population in North America

North America dominates the global market. Coconut products, including coconut milk, coconut oil and coconut-based yogurt, align well with the preferences of this plant-based consumer base. As more people seek alternatives to animal-based products for health, ethical or environmental reasons, coconut foods are increasingly popular due to their versatility and perceived health benefits.

The growing popularity of powdered forms as an economical alternative to coconut milk with a longer shelf life is driving demand in the bakery, confectionery and other areas. Harmless Harvest, a producer of organic coconut-based food and beverage products, expanded into Canada in February 2022, offering its well-known Organic Coconut Water to Costco's Western Canada Region.

Market Competitive Landscape

The major global players in the market include Cargill, Incorporated, The Hain Celestial Group, PT Coco Sugar Indonesia, The Vita CoCo Company, Inc., Renuka Agri Foods Plc, McCormick & Company, Inc., Goya Foods, Inc., Britannia Industries, The Coconut Company and Celebes Coconut Corporation.

Russia-Ukraine War Impact Analysis

The war has interrupted critical transportation routes in Europe and Asia, causing delays and higher prices for moving goods, especially coconut products. Ports in the Black Sea and neighboring areas have suffered operating issues, causing ripple effects on global trade routes. The war has resulted in a spike in gasoline prices because to sanctions and supply constraints on Russian oil and gas, considerably increasing transportation expenses.

It has influenced the entire cost of coconut food products, which rely largely on international shipping. The dispute has forced numerous countries to seek other suppliers for a variety of food products, including coconut-based items. As European markets face volatility, coconut-exporting countries such as the Philippines, Indonesia and Sri Lanka have begun exploring alternative markets to offset risks.

By Type

Coconut Water

Coconut Milk

Coconut Oil

Coconut Frozen desserts

Coconut Yogurt

Coconut Chocolate/Biscuits

Coconut Cream

Desiccated Coconut

Coconut Butter

Coconut Sugar

Others

By Distribution Channel

Supermarkets/Hypermarkets

Convenience Stores

Specialty Stores

Online Retail

By Region

North America

U.S.

Canada

Mexico

Europe

Germany

UK

France

Italy

Russia

Rest of Europe

South America

Brazil

Argentina

Rest of South America

Asia-Pacific

China

India

Japan

Australia

Rest of Asia-Pacific

Middle East and Africa

Key Developments

In July 2024, Yu, an omni-channel consumer foods brand, expanded its product range into the hydration segment with the introduction of three new beverages including 100% Natural Coconut Water and 100% Natural Fruit Juices in two flavors, Tropical Punch and Berry Blast.

In March 2024, South Canara Coconut Farmers' Producer Company Ltd. revealed its plans to introduce a range of new products, including coconut milkshakes, sprout desserts and ice cream, all under the brand name Shreephal.

In May 2021, the Singapore-based brand Only Earth introduced its coconut milk to the Indian market.

Why Purchase the Report?

To visualize the global coconut foods market segmentation based on type, distribution channel and region, as well as understand key commercial assets and players.

Identify commercial opportunities by analyzing trends and co-development.

Excel data sheet with numerous data points of the coconut foods market-level with all segments.

PDF report consists of a comprehensive analysis after exhaustive qualitative interviews and an in-depth study.

Product mapping available as excel consisting of key products of all the major players.

The global coconut foods market report would provide approximately 54 tables, 51 figures and 235 pages.

Target Audience 2024

Manufacturers/ Buyers

Industry Investors/Investment Bankers

Research Professionals

Emerging Companies