Coconut Milk Market

Coconut Milk Market Outlook (2024 to 2034)

Valuation of the global coconut milk market size is estimated at US$ 1.96 billion in 2024. Worldwide revenue from the sales of coconut milk is projected to reach US$ 4.34 billion by the end of 2034, increasing at a CAGR of 8.3% over the next decade (2024 to 2034).

Coconut milk comes in a variety of flavors and types. Additionally, manufacturers are focusing on offering organic and non-GMO options with enhanced flavors. Coconut milk is very low in calories, fats, and carbohydrates, while being rich in antioxidants and other beneficial properties. Coconut milk helps to maintain blood pressure, renal function, and cardiovascular health. It also helps manage diabetes. Coconut milk is becoming increasingly popular as a healthy beverage due to its nutritional properties, which include electrolytes and nutrients.

Key Market Growth Drivers

• Two main factors driving the global market for coconut milk are changing customer preferences and rising health concerns.
• Key players in the food and beverage industry are investing heavily in research and development to use coconut milk to improve the quality, flavor, and nutritional content of their products.
• Products containing coconut milk have several health benefits. As more people are becoming aware of its health benefits, demand for coconut milk is increasing, particularly in the United States, Germany, the United Kingdom, and France.
• Producers are focusing on significant developments that meet the needs of a large customer base. Since coconut milk is regarded as a healthier alternative to carbonated beverages, demand for these products is expected to rise rapidly, thus expanding the coconut milk market size.
• Coconut milk has traditionally been used to cook both non-vegetarian and vegetarian dishes. Coconut milk is also used in vegan ice cream, frozen desserts, sweets, pastries, and other products. It is also used as a thickener in a variety of other dishes, particularly in upscale hotel chains that serve Asian cuisine, thus contributing to coconut milk market growth.
• Coconut milk is a healthier alternative to dairy milk, it is lactose-free, making it appropriate for lactose-intolerant people. It also contains medium-chain triglycerides (MCTs), which are thought to have health benefits such as promoting weight loss and providing energy.

Report Attribute	Detail
Coconut Milk Market Size (2024E)	US$ 1.96 Billion
Forecasted Market Value (2034F)	US$ 4.34 Billion
Global Market Growth Rate (2024 to 2034)	8.3% CAGR
East Asia Market Growth (2024E)	8.6% CAGR
North America Market Share (2024E)	23.7%
Sales of Organic Coconut Milk (2024E)	US$ 1.49 Billion
Key Companies Profiled	Sanitarium; Nestlé; SunOpta, Inc.; Pacific Foods of Oregon, LLC; Pureharvest; Danone SA; Vitasoy International Holdings Limited; Ecomil; Earth’s Own Food Company Inc.; Edward & Sons; Chef’s Choice Food Manufacturer Company Limited; GraceKennedy Group; McCormick & Company; Goya Foods; Califia Farms.

Why Has Popularity of Coconut Milk Increased Across the Globe?

“High Demand for Coconut Milk among Health Conscious People”

New products made from plant-based ingredients are expected to challenge the notion that coconut milk contains artificial ingredients. Furthermore, lactose-free protein increases muscle mass and strength; thus, the introduction of lactose-free and organic coconut milk is expected to fuel demand among the health-conscious population, creating opportunities for future coconut milk market growth.

Organizations such as Vita Coco and WhiteWave Food have conducted research and development to improve the properties of coconut milk. Vita Coco has introduced a calcium and mineral-enriched product. Furthermore, this is expected to provide lucrative opportunities for manufacturers to provide a better variety of coconut milk.

What are the Key Challenges Faced by Producers of Coconut Milk?

“Stagnant Coconut Production and Long Yield Cycle of Coconut Trees”

In recent years, demand for coconut milk has skyrocketed driven by rising food and beverage consumption. Despite the exponential demand, there was no increase in coconut production. In contrast, Asia, which produces more than three-quarters of the world's coconuts, has seen a slight decrease in output. Since a coconut tree's peak yield occurs only between the ages of 10 and 30 years, the climate conditions required for coconut tree plantations, and coconut farmers' small land holdings, producers have historically not increased production capacity in response to price increases. Coconut tree production is unlikely to increase shortly due to the difficulty of scaling up production.

Plant-based substitutes such as rice milk, almond milk, soy milk, and many others are widely available in markets around the world. These products are potential alternatives to coconut milk because they have been on the market for longer and have gained customer acceptance and trust.

Country-wise Insights

North America is expected to hold 23.7% of the global coconut milk market share in 2024. North America is one of the most popular regions for consuming coconut milk due to an increasing population suffering from obesity and lactose intolerance. Many consumers in this region are switching to coconut milk because of its several health benefits, which is driving market growth. Also, an increase in the adoption of healthy lifestyles is contributing to market growth.

In the European market, the global rise of the food and beverage industry is presenting a lucrative growth opportunity for the milk market. The primary growth drivers in this region are increased consumer awareness of the various benefits of coconut milk and a preference for consuming it. Availability of product varieties based on consumer preferences and selection is one of the significant coconut milk market trends. The rising popularity of healthy functional drinks and the focus on reducing sugar intake are the primary drivers for the uptake of coconut milk in Europe.

Why is Consumption of Coconut Milk Rising Swiftly in the United States?

“Increasing Adoption of Veganism and Vegetarianism”

Attribute	United States
Market Value (2024E)	US$ 205.5 Million
Growth Rate (2024 to 2034)	8.7% CAGR
Projected Value (2034F)	US$ 475.4 Million

The United States is poised to hold a significant market share of 44.3% in North America in 2024. The growing diversity of the United States population has resulted in increased availability and accessibility of ethnic foods and ingredients, such as coconut milk, in mainstream supermarkets. This accessibility is encouraging more people to experiment with coconut milk in their cooking.

With the rise of veganism, vegetarianism, and plant-based diets, coconut milk is an adaptable ingredient in dairy-free and vegan dishes in the country. It can be used to cook, bake, make smoothies, and substitute milk in a variety of recipes. Coconut milk is a common ingredient in many Asian and Caribbean cuisines. As these cuisines gained popularity in the United States, so did the use of coconut milk in dishes such as curries, soups, and desserts.

What is the Sales Outlook for Coconut Milk in Japan?

“Rising Prevalence of Lactose Intolerance and Allergies Driving Demand for Dairy Alternatives”

Attribute	Japan
Market Value (2024E)	US$ 124.7 Million
Growth Rate (2024 to 2034)	8.8% CAGR
Projected Value (2034F)	US$ 290.5 Million

In Japan, coconut milk is regarded as a healthier alternative to dairy milk and is valued for its nutritional benefits, including medium-chain triglycerides (MCTs). There is an increasing need for dairy alternatives in the country due to lactose intolerance and allergies, as well as dietary preferences such as veganism and vegetarianism. Coconut milk is a suitable substitute for traditional dairy milk in cooking, baking, and beverages. More consumers are becoming adventurous in their culinary choices, exploring international cuisines. Coconut milk is widely used in Southeast Asian and South Asian cuisines.

Category-wise Insights

By nature, the market is categorized into organic and conventional, of which the former is estimated to hold a market share of 76.4% in 2024. The market is divided into four distribution channels supermarkets/hypermarkets, convenience stores, grocery stores, and online retail, with mass merchandisers accounting for the majority of the share. Supermarkets and hypermarkets are constantly evolving, and they have begun to focus on buyers' preferences to deliver the products they desire.

Consumers have the freedom to choose from a wide range of products in different brands and price ranges. The presence of distinct product aisles dedicated to various types of plant-based milk aids in capturing consumers' attention. Convenience stores are the second-most popular distribution channel because they cater to a large portion of the population looking for on-the-go products ranging from beverages to meals.

Why is Popularity of Organic Coconut Milk So High?

“Key Role of Organic Coconut Milk in Improving Blood Circulation”

Attribute	Organic Coconut Milk
Segment Value (2024E)	US$ 1.49 Billion
Growth Rate (2024 to 2034)	8.2% CAGR
Projected Value (2034F)	US$ 3.3 Billion

Organic coconut milk is estimated to capture a market share of 76.4% in 2024. Growing demand for organic coconut milk is primarily due to people's increased awareness of the benefits of eating organic food. In comparison to conventional coconut milk, organic foods contain no chemical fungicides, herbicides, or insecticides.

Increase in the demand for organic and natural products in Western countries has been identified as one of the market's primary growth drivers. Organic coconut milk has seen significant demand in this segment as consumer preferences and health awareness have increased. It improves blood circulation and reduces high blood pressure, which lowers the risk of heart attacks and other cardiovascular problems. It has antiviral and antibacterial properties that can help boost your immune system and combat viral infections such as the flu.

Which Flavor of Coconut Milk is Most Widely Preferred?

“Sweetened Coconut Milk Used to Enhance Flavor of Desserts”

Attribute	Sweetened Coconut Milk
Segment Value (2024E)	US$ 1.36 Billion
Growth Rate (2024 to 2034)	8.2% CAGR
Projected Value (2034F)	US$ 3 Billion

Sweetened coconut milk is poised to hold a market share of 69.5% in 2024. Sweetened coconut milk has a naturally rich and sweet flavor that comes from coconut meat and added sugar. This sweetness improves the flavor of recipes, making it a favorite ingredient in desserts, smoothies, and sweet sauces.

It is a versatile ingredient that can be used in both sweet and savory recipes. It adds creaminess and a tropical coconut flavor to desserts such as puddings, ice cream, cakes, and tropical fruit salads. It can be used in savory dishes such as curries, soups, sauces, and marinades to add depth and richness.

Competitive Analysis

Key players in the coconut milk market are focusing on expanding their production capacities further by incorporating cutting-edge technologies. Furthermore, rising demand for organic and clean-label food products is boosting sales of organic coconut milk products.

• Pacific Foods of Oregon, Inc. provides vegan and gluten-free plant-based milk products. With the rise in the vegan population worldwide, the company is dedicated to making vegan-friendly milk products. It mainly offers nut-based milk, which is seen as a healthier option than traditional dairy milk.
• In October 2022, Goya Foods announced it would expand its manufacturing and distribution facility in Brookshire, Texas. The expansion includes new, advanced food processing equipment, doubling the company's production capacity to meet growing consumer demand.

Fact.MR provides detailed information about the price points of leading producers of coconut milk positioned across the world, sales growth, production capacity, and speculative technological expansion, in this new market report.

Segmentation of Coconut Milk Market Research

• By Nature :

  • Organic
  • Conventional

• By Product Type :

  • Full Fat
  • Low Fat
  • Cream
  • Powder

• By Flavor :

  • Sweetened
  • Unsweetened

• By End Use :

  • Food & Beverages
  • Foodservice
  • Retail/Household
  • Others

• By Distribution Channel :

  • Business to Business
  • Business to Consumer
    • Hypermarkets/Supermarkets
    • Specialty Stores
    • Online Retail
    • Other Retail Channels

• By Region :

  • North America
  • Western Europe
  • Eastern Europe
  • Latin America
  • East Asia
  • South Asia & Pacific
  • Middle East & Africa