Category

Rice Milk Market Size, Share, Opportunities And Trends By Source (Organic, Conventional), By Form (Powder Rice Milk, Fluid Rice Milk), By Application (Beverages, Bakery & Confectionery, Others), And Geography - Forecasts From 2019 To 2024

Published: Mar 2020 | Report Code:  KSI061612363 | Pages:  115

The rice milk market is projected to witness a compound annual growth rate (CAGR) of 17.17% during the forecast period to reach a total market size of US$2,619.954 million by 2024, increasing from US$1,012.838 million in 2018. Rice milk is grain milk made by processing rice and is recommended for people who are lactose intolerant and vegan. Rice milk market is particularly targeted towards the lactose-free population. It is one of the best alternatives of dairy milk and contains most carbohydrates compared to almond and soy milk which is considered as one of the key drivers for the growth of the market during the forecast period. In addition, increasing dairy alternative food demand and raising awareness of the benefits of rice milk are expected to drive the global rice milk market. However, the availability of competitive products like almond and coconut milk and low market penetration of the product may result in restraint for the rice milk market in the coming years. The North American region holds a significant market share owing to the presence of a high percentage of lactose intolerant population in the region coupled with the emerging trend of the preferences for vegan food.

Market Drivers

  • Growing vegan and lactose-free population
  • Expanding non-dairy milk industry

Market Restraints

  • High cost involved
  • Lack of product awareness
  • Availability of substitutes

Owing to the profusion of gastronomic pursuits around the world that has resulted in food and beverages innovation, the rice milk market is poised to witness an exponential growth. Further, increasing health concerns has resulted in marked shift in dietary patterns among the global consumers. They are moving away from milk derived from animals and are increasingly orienting themselves towards plant-based milk product, which encompasses rice milk among others. Additionally, the consumers of APAC region are more lactose intolerant than in other parts. This too has necessitated the adoption of rice milk, whether in powder or liquid form, consumed directly or indirectly, as a healthy alternative to the dairy based products.

rice milk market share by geography 2025

Another factor that would lead to an uptick in the rice milk market is the growing environmental concern pertaining to bovine milk production.  The estimated global variation pertaining to 1 liter of milk production with regards to green-house-gas (GHG) emissions is between 2 to 4 kgs carbon dioxide equivalents (CO2eq). With regards to the terrestrial acidification, 1 liter of milk production amounts to more than 30 grams of sulfur dioxide equivalents (g SO2eq) and leads to eutrophication to the tune of 20 grams of phosphate (g SO2eq). Besides the health concerns, consumers today are aware of the environmental impact of dairy production and are proactively adopting plant-based alternatives to milk like rice milk. Apart from actively communicating the environmental credentials, players in the market are increasingly partaking in the plant-based foods sector.

Moreover, the abundance of raw materials in the APAC region is estimated to further propel the growth of the market. Further, due to the emerging preference of functional beverages, a greater number of players are emerging as well as diversifying into plant-based milk category. This would lead to a significant growth of the rice milk market. The established and ever-expanding distribution networks is projected further catalyze the growth of the rice milk market.

The rice milk market faces competition from a growing number of substitutes since plant-based alternatives has become a staple in every household across several markets and is not restricted to the diets of vegans, only. Besides, rice milk there appears to be a profusion of other plan-based products. For example, the market share of almond milk in the US had been 64%. In UK, sales of almond milk were to the tune of US$106.9 million, the highest among all categories of the plant-based products. Further, with regards to presence across all other markets, oat milk surpasses all other plant-based milks. In UK, oat milk sales shot up by 66,7% between 2016 and 2017. Moreover, consumers’ aspiration for variety, novelty and the willingness to experiment are a few key reasons that are propelling the emergence of plant-based drinks other than rice milk. In 2019, Chobani, the widely recognized American yogurt brand announced that it would start selling oat-based drinks. Other players in the oat milk segment are Danone’s Silk, Oatly and Planet Oat. As a response to the growth of 11.5%, Sainsbury’s doubled its range of non-dairy milk across 300 stores in UK. Further, the plant-based market is not saturated which paves the way for more alternatives to rice milk. In view of above Elmhurst switched to producing a variety of plant-based milks from almond, cashew, hazelnut, oat and walnut after being 92 years in dairy. Califia Farms known for its range of plant-based milks that are inclusive of but are not limited to that of coconut and almond milk raised $50 million round of capital in the year of 2018 led by Ambrosia Investments. Another Californian coconut milk-based brand called REBBL raised US$20 million in funding.

Type

Products

Cereal based

Corn milk, Oat milk, Rice milk, Spelt milk

Legume based

Peanut milk, Lupin milk, Cowpea milk.

Nut based

Almond milk, Coconut milk, Hazelnut milk, Pistachio milk, Walnut milk

Seed based

Flax milk, Hemp milk, Sesame milk, Sunflower milk.

Pseudo-cereal based

Amaranth milk, Quinoa milk, Teff milk.

Available Rice Milk Substitutes

The growing preferences of vegan diet is a significant contributing factor towards meteoric adoption of non-dairy milk alternatives. For rice milk this poses a significant opportunity even beyond the forecast periods. One such alternative is that of rice milk. Presently consumers are proactively moving away from the bovine milk towards rice milk mainly due to milk protein allergy, lactose intolerance, cultural influences etc. One out of two European and American consumers prefer to consume plant-based milk independently or alongside cow’s milk, whereas in LATAM and in APAC regions its two-thirds of the total consumers who shares the aforesaid preference. This has enabled beverage processors and marketers to capitalize on the growing consumer preference for rice milk and increase their portfolio of lactose-free milk brands. Further, countries where consumers are mostly lactose-tolerant is turning towards rice milk, as well. 

In light of the above, in 2017, Danone (Euronext: BN) acquired American WhiteWave Foods for a deal, worth US$12.5 billion, which among others, generated 38% of its sales from plant-based foods and beverages according to certain forward-looking statement published by Danone. Further, the Dairy Farmers of America (DFA) in 2019 reported net sales of US$13.6 billion for 2018, compared to US$14.7 billion in 2017, which is a decrease in 7.5%.

rice milk market segmentation

On the basis of source, the rice milk market has been segmented into organic and inorganic. On the basis of form, the segment has been divided into powdered rice milk and liquid rice milk. All the two forms are projected to witness a significant growth during the forecast period due to the its increasing demand in the food and beverage sector. On the basis of application, the market has been divided into food and bakery & confectionery, beverages, snacks and others.

The major players profiled in the Rice milk market are Danone (Alpro), Vitasoy Australia Products Pty Ltd, Fine Japan Co. Ltd, The Bridge bio, Pacific Foods and SunOpta, Campbell, The Hain Celestial Group, Inc, and Pureharvest Pty Ltd among others.

Segmentation

The Rice milk market has been analyzed through the following segments:

By Source

Organic

Conventional

By Form

Powder rice milk

Fluid rice milk

By Application

Beverages

Bakery & Confectionery

Others

By Geography

North America

USA

Canada

Mexico

South America

Brazil

Argentina

Others

Europe

Germany

France

United Kingdom

Spain

Others

Middle East and Africa

Saudi Arabia

Others

Asia Pacific

China

Japan

South Korea

India

Others


Frequently Asked Questions (FAQs)

Q1. What will be the rice milk market size by 2024?
A1. Rice Milk market is projected to reach a total market size of US$2,619.954 million by 2024.
 
Q2. What is the size of rice milk market?
A2. The rice milk market was valued at US$1,012.838 million in 2018.
 
Q3. What are the growth prospects for rice milk market?
A3. The rice milk market is projected to witness a CAGR of 17.17% during the forecast period.
 
Q4. Who are the major players in the rice milk market?
A4. The key industry players profiled in the Rice milk market are Danone (Alpro), Vitasoy Australia Products Pty Ltd, Fine Japan Co. Ltd, The Bridge bio, Pacific Foods and SunOpta, Campbell, The Hain Celestial Group, Inc, and Pureharvest Pty Ltd among others.
 
Q5. What is the base year considered in the rice milk market?
A5.  2018 has been taken as the base year in the rice milk market.

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