Coconut Milk Market Forecasts to 2030 - Global Analysis By Product (Regular Coconut Milk, Low-Fat Coconut Milk, Flavoured Coconut Milk, Coconut Cream and Other Products), Form, Packaging, Distribution Channel, Application, End User and By Geography

According to Stratistics MRC, the Global Coconut Milk Market is accounted for $1.68 billion in 2024 and is expected to reach $3.53 billion by 2030 growing at a CAGR of 10.5% during the forecast period. Coconut milk is a creamy, dairy-free liquid extracted from the grated pulp of mature coconuts. Known for its rich, mildly sweet flavor, it's made by blending coconut flesh with water and straining to achieve a smooth consistency. This versatile milk is a staple in Southeast Asian, Caribbean, and Indian cuisines, enhancing curries, soups, desserts, and beverages.

According to the Plant-Based Foods Association data published in 2022, plant-based milk sales in the U.S. increased by 9% in 2022 compared to the previous year and accounted for 15% of the retail milk sales.

Market Dynamics:

Driver:

Rise in plant-based diets

Coconut milk offers a creamy texture and rich flavor, making it a popular substitute for traditional dairy products in cooking, baking, and beverages. Its lactose-free nature appeals to those with lactose intolerance, while its medium-chain triglycerides (MCTs) attract health-conscious individuals. This shift towards veganism and vegetarianism drives demand for versatile ingredients like coconut milk, leading manufacturers to innovate and expand their product lines, ultimately fostering a vibrant market landscape that meets evolving consumer preferences.

Restraint:

Potential allergies and sensitivities

While coconut is classified as a fruit, its chemical composition may trigger reactions in sensitive individuals, leading to symptoms like hives, digestive issues, or anaphylaxis. This concern hampers market growth as allergic consumers may avoid coconut milk, limiting its target audience. Additionally, manufacturers face challenges in educating consumers about potential allergies, leading to hesitation in trying coconut-based products, thus affecting overall demand and market expansion.

Opportunity:

Increased consumer interest in sustainable and ethical choices

As consumers become more aware of environmental issues, they seek out brands that prioritize sustainable sourcing and production methods, such as responsibly harvested coconuts and minimal packaging. This trend encourages coconut milk producers to adopt environmentally friendly practices, thereby appealing to a growing segment of eco-conscious consumers. Additionally, certifications like Fair Trade and organic labeling further enhance brand credibility, fostering consumer loyalty and expanding market reach in an increasingly competitive landscape.

Threat:

Supply chain challenges

Supply chain challenges in the coconut milk arise from factors such as seasonal coconut harvests, geographic limitations in production, and reliance on specific regions, like Southeast Asia, for sourcing. Disruptions from natural disasters, pandemics, or transportation issues can lead to shortages and increased prices. Additionally, inconsistent quality and variations in processing methods can affect product availability. These challenges hamper market growth by limiting the steady supply of coconut milk.

Covid-19 Impact

The covid-19 pandemic significantly impacted the coconut milk market, initially disrupting supply chains and production due to lockdowns and restrictions. However, as consumers shifted towards healthier, plant-based alternatives and increased home cooking, demand for coconut milk surged. E-commerce emerged as a vital sales channel, allowing brands to reach consumers despite retail challenges. Post-pandemic, the coconut milk market continues to thrive as consumers prioritize wellness and convenience in their food choices.

The low-fat coconut milk segment is expected to be the largest during the forecast period

The low-fat coconut milk segment is predicted to secure the largest market share throughout the forecast period. Low-fat coconut milk is a lighter version of traditional coconut milk, offering a creamy texture with reduced fat content. It is made by diluting coconut milk with water or using specific extraction methods to decrease fat levels while retaining the characteristic flavor. It provides a guilt-free option for those seeking to enjoy the benefits of coconut milk without the extra calories and saturated fat.

The dairy alternatives segment is expected to have the highest CAGR during the forecast period

The dairy alternatives segment is anticipated to witness the highest CAGR during the forecast period. Coconut milk serves as a popular dairy alternative, particularly for those seeking lactose-free options. Its creamy texture and subtle sweetness make it ideal for various applications, including beverages, cooking, and baking. It is also a favoured ingredient in vegan and vegetarian recipes, enhancing flavor in soups, curries, and sauces. Additionally, the rising demand for plant-based diets fuels its popularity, positioning coconut milk as a versatile choice in the dairy alternatives market.

Region with largest share:

Asia Pacific is expected to register the largest market share during the forecast period driven by rising demand for plant-based and lactose-free alternatives. Traditionally used in Southeast Asian cuisines, coconut milk is increasingly popular for its flavor, nutritional benefits, and compatibility with various diets, including vegan and keto. Countries like Thailand, Indonesia, and the Philippines, major coconut producers, lead the market, contributing significantly to exports. The expanding food and beverage, cosmetic, and health sectors further boost demand.

Region with highest CAGR:

Europe is projected to witness the highest CAGR over the forecast period fuelled by the growing trend towards plant-based diets and health-conscious consumer preferences. Countries like the UK, Germany, and France lead in demand, supported by the rise of veganism and the integration of coconut milk in various recipes and beverages. Additionally, the market benefits from innovative product offerings and sustainable sourcing practices, appealing to environmentally conscious consumers.

Key players in the market

Some of the key players profiled in the Coconut Milk Market include Nestle S.A., Califia Farms, Dabur India Limited, Vita Coco, McCormick & Company, Sambu Group, Cocos Organic, The Hain Celestial Group, Pacific Foods of Oregon LLC, Chaokoh, Harmless Harvest, Aroy-D, Marks & Spencer, GraceKennedy Group, and Goya Foods Inc.

Key Developments:

In October 2024, Califia Farms introduced a coconut and almond milk blend to the U.S. market. This new product aims to offer a creamy, dairy-free milk alternative suitable for coffee, smoothies, and cooking, designed for those seeking a versatile, plant-based option. This blend offers a versatile option for those who prioritize health-conscious and environmentally friendly choices without compromising on taste or functionality.

In October 2024, Danone North America expanded its So Delicious Dairy Free line with the launch of a French Vanilla Coconut Milk Creamer. This addition caters to the rising demand for dairy-free creamers, offering a rich and smooth flavor profile for those avoiding dairy. The product joins the market alongside the Silk Mocha Almond Creamer, creates a selection of plant-based creamers to meet diverse consumer tastes.

Products Covered:

• Regular Coconut Milk
• Low-Fat Coconut Milk
• Flavoured Coconut Milk
• Coconut Cream
• Other Products

Forms Covered:

• Liquid
• Powder

Packagings Covered:

• Tetra Packs
• Cans
• Bottles
• Pouches
• Other Packagings

Distribution Channels Covered:

• Supermarkets/Hypermarkets
• Specialty Stores
• Online Retail
• Convenience Stores
• Other Distribution Channels

Applications Covered:

• Cooking & Baking
• Dairy Alternatives
• Health & Wellness Products
• Snacks & Desserts
• Animal Feed
• Other Applications

End Users Covered:

• Households
• Food Service Industry
• Industrial
• Other End Users

Regions Covered:

• North America
  • US
  • Canada
  • Mexico
• Europe
  • Germany
  • UK
  • Italy
  • France
  • Spain
  • Rest of Europe
• Asia Pacific
  • Japan
  • China
  • India
  • Australia
  • New Zealand
  • South Korea
  • Rest of Asia Pacific
• South America
  • Argentina
  • Brazil
  • Chile
  • Rest of South America
• Middle East & Africa
  • Saudi Arabia
  • UAE
  • Qatar
  • South Africa
  • Rest of Middle East & Africa

What our report offers:

• Market share assessments for the regional and country-level segments
• Strategic recommendations for the new entrants
• Covers Market data for the years 2022, 2023, 2024, 2026, and 2030
• Market Trends (Drivers, Constraints, Opportunities, Threats, Challenges, Investment Opportunities, and recommendations)
• Strategic recommendations in key business segments based on the market estimations
• Competitive landscaping mapping the key common trends
• Company profiling with detailed strategies, financials, and recent developments
• Supply chain trends mapping the latest technological advancements

Free Customization Offerings:

All the customers of this report will be entitled to receive one of the following free customization options:

• Company Profiling
  • Comprehensive profiling of additional market players (up to 3)
  • SWOT Analysis of key players (up to 3)
• Regional Segmentation
  • Market estimations, Forecasts and CAGR of any prominent country as per the client's interest (Note: Depends on feasibility check)
• Competitive Benchmarking
  • Benchmarking of key players based on product portfolio, geographical presence, and strategic alliances