Plant-based alternatives are slowly edging their way onto the plates of Australia’s meat and dairy-loving consumers, with a growing slice of the population
. While the country’s meat industry continues to make a substantial contribution to the economy annually, with Australia ranking among the
and recording high domestic meat consumption levels, a growing interest in ethical, sustainable, and health-orientated eating is supporting
.
Is plant-based going mainstream in Australia?
Australia’s plant-based food options have vastly expanded beyond tofu and soy milk to diverse alternatives, such as vegan burgers, sausages, and cheese, that mimic the taste and texture of animal products in a bid to win over the average meat-eating consumer. While
per-capita consumption of meat and
cow’s milk in Australia has been dropping in recent years, meat alternatives and milk substitute intake have been gradually on the rise, exhibiting their potential to disrupt Australia’s meat and animal product industry.
From cafés, restaurants, and fast-food outlets adding more vegan versions to their menus to supermarkets expanding their alternative protein and dairy ranges, plant-based food is becoming increasingly accessible across Australia. Melbourne-born fast-food chain Lord of the Fries even offers a 100% plant-based menu. Nonetheless, taste, texture, and price continue to stifle the consumer uptake rate, with
plant-based foods remaining comparatively more expensive than most of their animal-product counterparts.
Are alternative milks disrupting Australia’s dairy industry?
Only two percent of
Australian households reported exclusively purchasing plant-based milk in a 2023 survey, with over one-third buying both dairy and non-dairy alternatives. Soy and almond milk are the go-to options for many of Australia’s plant-based milk drinkers, with oat milk also gaining momentum in the country’s alternative milk market due to its neutral flavor and lower carbon footprint. However,
dairy products continue to dominate sales compared to their non-dairy equivalents, with just over seven percent of retail milk sales in Australia attributable to the milk alternatives segment in 2023.
Will Australia become an alternative proteins market leader?
Australia is becoming a promising hotspot for plant-based meat manufacturing, witnessing
a surge in alternative protein market investment and government initiatives to support industry innovation and the expansion of domestic plant protein manufacturing infrastructure.
Australia’s plant-based meat sales have almost doubled since 2019, reaching over 270 million Australian dollars in 2023, driven by strong growth in the food service segment. By 2033,
consumer expenditure in the country’s plant-based meat sector has the potential to grow to around 1.65 billion Australian dollars. Nevertheless, the success of Australia's alternative proteins landscape remains highly dependent on the continuous development of processing capacities to support its domestic and export markets, the innovations of its alternative proteins companies including v2food and Harvest B, and the market’s ability to align with consumer expectations.
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