Dairy Giants Embrace Plant-Based Alternatives to Meet Growing Demand
Source: The DairyNews
Just Food explores how leading dairy companies are expanding into the rapidly growing market of dairy alternatives. As the demand for plant-based milk, yogurt, cheese, and ice cream surges, these companies are not abandoning their traditional products but rather diversifying their offerings to include innovative, sustainable alternatives. Additionally, interest and investment are rising in animal-free dairy and cell-cultured dairy.
Danone
The French dairy giant Danone entered the dairy-free market by acquiring WhiteWave Foods in 2016 for $12.5 billion. WhiteWave is known for its Alpro and Silk plant-based dairy-alternative ranges. Danone set a target in 2018 to triple its plant-based business to €5 billion in sales by 2025 and has since invested in capital expenditures and product development. In 2019, Danone opened a new facility in Pennsylvania for plant-based products, invested in Hälsa Foods, and leveraged its well-known brands to promote plant-based alternatives. Danone also owns a majority stake in Harmless Harvest, a U.S. company selling coconut-based drinks and dairy-free yogurt. In 2022, Danone took a minority stake in UK oat-milk company Minor Figures and invested in animal-free dairy startup Imagindairy. Danone recently agreed to collaborate with Else Nutrition, a plant-based infant-formula supplier.
Lactalis
Lactalis launched Siggi’s plant-based yogurt line in 2019, using a blend of coconut, macadamia, and pea protein. The company plans to convert a milk production facility in Canada to manufacture plant-based products, including Sensational Soy, Lactantia margarine, and Siggi’s coconut-based yogurt alternatives.
Arla Foods
In 2020, Arla Foods introduced a range of oat-based drinks under the brand Jörd, initially available in Denmark, Sweden, and the UK. These drinks contain up to 50% more oat compared to competing products.
DMK
Germany’s largest dairy group, DMK, launched a division for plant-based alternatives in 2021, offering vegan chocolate milk, rice-based desserts, and a vegan ice cream in collaboration with Katjes Group. DMK also launched its vegan cheese alternative, Velander.
Chobani
Chobani introduced oat-based products in 2019, including Chobani Oat drinks and oat blend cups. These products were Chobani’s first venture outside the yogurt category.
General Mills
General Mills entered the plant-based market with its Oui by Yoplait Dairy Free Coconut Dairy Alternative and an almond-based version of Petits Filous. The company also tested an animal-free cream cheese under the Bold Cultr brand, using precision fermentation techniques.
Saputo
Saputo acquired UK dairy-alternative cheese manufacturer Bute Island Foods in 2021, marking a significant step in expanding its dairy-free product line. Saputo’s Vitalite brand added vegan cheese to its portfolio in 2019.
Unilever
Unilever, the world’s largest ice-cream supplier, offers non-dairy versions of its Breyers, Magnum, Ben & Jerry’s, and Cornetto ice creams. The company is also investing in “cow-free dairy” through precision fermentation.
Nestlé
Nestlé has expanded into plant-based dairy with products like the almond milk under its Nature’s Heart brand and Little Steps Plantygrow Plant-based Growing Up Drink. Nestlé is also trialing animal-free dairy drinks under the Cowabunga brand, developed in collaboration with Perfect Day.
Bel Group
Bel Group, known for Laughing Cow and Babybel, launched a plant-forward business strategy in 2019, including investments in Yofix Probiotics, All In Foods, and Standing Ovation. The company plans to offer dairy-free alternatives for each of its brands.
Müller
Müller invested in Yofix in 2020 and launched its first range of vegan products in 2021.
Kerry Group
Kerry Group’s Pure free-from range, available since 1994, includes dairy-free certified spreads. The company extended the Pure brand into the UK ready meals market in 2016.
Valio
Valio introduced Valio Oddlygood, a non-dairy product range made from Finnish oats, in 2017. In 2021, Valio spun off the Oddlygood business and partnered with Mandatum Asset Management. In 2023, Valio, through Oddlygood, acquired Sweden-based vegan brand Planti from Kavli Holding.
These initiatives reflect the dairy industry's commitment to innovation and sustainability, as they adapt to evolving consumer preferences and environmental concerns.
More
The French dairy giant Danone entered the dairy-free market by acquiring WhiteWave Foods in 2016 for $12.5 billion. WhiteWave is known for its Alpro and Silk plant-based dairy-alternative ranges. Danone set a target in 2018 to triple its plant-based business to €5 billion in sales by 2025 and has since invested in capital expenditures and product development. In 2019, Danone opened a new facility in Pennsylvania for plant-based products, invested in Hälsa Foods, and leveraged its well-known brands to promote plant-based alternatives. Danone also owns a majority stake in Harmless Harvest, a U.S. company selling coconut-based drinks and dairy-free yogurt. In 2022, Danone took a minority stake in UK oat-milk company Minor Figures and invested in animal-free dairy startup Imagindairy. Danone recently agreed to collaborate with Else Nutrition, a plant-based infant-formula supplier.
Lactalis
Lactalis launched Siggi’s plant-based yogurt line in 2019, using a blend of coconut, macadamia, and pea protein. The company plans to convert a milk production facility in Canada to manufacture plant-based products, including Sensational Soy, Lactantia margarine, and Siggi’s coconut-based yogurt alternatives.
Arla Foods
In 2020, Arla Foods introduced a range of oat-based drinks under the brand Jörd, initially available in Denmark, Sweden, and the UK. These drinks contain up to 50% more oat compared to competing products.
DMK
Germany’s largest dairy group, DMK, launched a division for plant-based alternatives in 2021, offering vegan chocolate milk, rice-based desserts, and a vegan ice cream in collaboration with Katjes Group. DMK also launched its vegan cheese alternative, Velander.
Chobani
Chobani introduced oat-based products in 2019, including Chobani Oat drinks and oat blend cups. These products were Chobani’s first venture outside the yogurt category.
General Mills
General Mills entered the plant-based market with its Oui by Yoplait Dairy Free Coconut Dairy Alternative and an almond-based version of Petits Filous. The company also tested an animal-free cream cheese under the Bold Cultr brand, using precision fermentation techniques.
Saputo
Saputo acquired UK dairy-alternative cheese manufacturer Bute Island Foods in 2021, marking a significant step in expanding its dairy-free product line. Saputo’s Vitalite brand added vegan cheese to its portfolio in 2019.
Unilever
Unilever, the world’s largest ice-cream supplier, offers non-dairy versions of its Breyers, Magnum, Ben & Jerry’s, and Cornetto ice creams. The company is also investing in “cow-free dairy” through precision fermentation.
Nestlé
Nestlé has expanded into plant-based dairy with products like the almond milk under its Nature’s Heart brand and Little Steps Plantygrow Plant-based Growing Up Drink. Nestlé is also trialing animal-free dairy drinks under the Cowabunga brand, developed in collaboration with Perfect Day.
Bel Group
Bel Group, known for Laughing Cow and Babybel, launched a plant-forward business strategy in 2019, including investments in Yofix Probiotics, All In Foods, and Standing Ovation. The company plans to offer dairy-free alternatives for each of its brands.
Müller
Müller invested in Yofix in 2020 and launched its first range of vegan products in 2021.
Kerry Group
Kerry Group’s Pure free-from range, available since 1994, includes dairy-free certified spreads. The company extended the Pure brand into the UK ready meals market in 2016.
Valio
Valio introduced Valio Oddlygood, a non-dairy product range made from Finnish oats, in 2017. In 2021, Valio spun off the Oddlygood business and partnered with Mandatum Asset Management. In 2023, Valio, through Oddlygood, acquired Sweden-based vegan brand Planti from Kavli Holding.
These initiatives reflect the dairy industry's commitment to innovation and sustainability, as they adapt to evolving consumer preferences and environmental concerns.
More
