Coconut Milk And Cream Market Analysis

Coconut milk and cream are popular among vegans, vegetarians, and those who have dairy allergies or intolerances. They are also popular in drinks and sauces, as they are naturally sweet and smooth. Coconut cream is made by cooking sweetened coconut cream. Basically, four parts of shredded coconut are simmered in one part water, until the mixture thickens. Once it has thickened, it's used in desserts, pastries, and mixed drinks.

Market Statistics:

The global Coconut Milk and Cream market was valued at US$ 2,662.17 Mn in 2021 and is forecast to reach a value of US$ 7,010.00 Mn by 2030 at a CAGR of 12.35% between 2022 and 2030.

Asia-Pacific held dominant position in the global Coconut Milk and Cream market in 2021, accounting for 55.5% share in terms of volume, followed by North America and Europe, respectively.

Figure 1. Global Coconut Milk and Cream Market Value Share (%), By Region, 2021

Recent Developments:

1. In March 2021, Danone announced the launch of Alpro, its second dairy-free brand in China after Vega, to tap the emerging plant-based food market. The brand offers plant-based yogurt, desserts, drinks, and cream.
2. In May 2021, Axelum joined with local e-commerce like Shopee and Lazada and another online coconut store; these stores feature products like coconut milk powder, coconut cream and milk, and coconut cooking oil.

Coconut Milk and Cream Market Report Coverage

Report Coverage	Details
Base Year:	2021	Market Size in 2021:	US$ 2,662.17 Mn
Historical Data for:	2017 to 2020	Forecast Period:	2022 to 2030
Forecast Period 2022 to 2030 CAGR:	12.35%	2030 Value Projection:	US$ 7,010.00 Mn
Geographies covered:	North America: U.S. and Canada Latin America: Brazil, Argentina, Mexico, and Rest of Latin America Europe: Germany, U.K., Spain, France, Italy, Russia, and Rest of Europe Asia Pacific: China, India, Japan, Australia, South Korea, ASEAN, and Rest of Asia Pacific Middle East: GCC Countries, Israel, and Rest of Middle East Africa: South Africa, North Africa, and Central Africa
Segments covered:	By Category: Organic, Conventional By Application: Processed Food, Retail/Packaged Coconut Milk and Coconut Cream, Foodservice
Companies covered:	McCormick & Company Inc., Danone SA, Sambu Group, Adamjee Lukmanjee & Sons (Pvt.) Ltd, Cardinal Agri Products Inc., Petrow Food Group, Axelum Resources Corp., Kapar Coconut Industries Sdn Bhd, Primex Group of Companies, Only Earth, Stancodex Sdn Bhd, Greenville Agro Corporation, Celebes Coconut Corporation, M&S Food Industries, Goya Foods Inc., and Roxas Sigma Agriventures Inc
Growth Drivers:	Growing demand for plant-based protein Increasing incidence of lactose intolerance among population
Restraints & Challenges:	Availability of substitute such as Soy milk Presence of coconut cream alternatives Allergies caused due to consumption of coconut

Market Drivers:

Shifting consumer preferences from animal-based protein to plant-based protein food is primarily fuelling growth of the coconut milk and cream market. So growing number of vegetarians is augmenting the market growth. For this food companies are introducing a diverse range of coconut milk and creamers by varying their fat content and flavour and even launching easy-to-carry package formats to boost convenience.

Increasing incidence of lactose intolerance among population is also creating demand for plant-based protein. According to the National Institute of Diabetes and Digestive and Kidney Diseases, about 68% of the world's population has lactose malabsorption. However, lactose intolerance rates vary widely depending on ethnicity, with as few as 5% of Northern Europeans and as many as 90% of East Asians having lactose intolerance, as stated by the Canadian Society of Intestinal Research.

Figure 2. Global Coconut Milk and Cream Market Value Share (%), By Category, 2021

Market Restraints:

Availability of alternative such as soy milk is a direct alternative to coconut milk is hindering market growth. It is also plant-based and has a slightly lower fat content than coconut milk. In most recipes, one can swap it in a 1:1 ratio.

Presence of coconut cream alternatives is again restricting market growth. Heavy cream from cow’s milk is produced by scraping fat from fresh milk and is mainly common in high-fat foods such as creamy soups, sauces, and ice cream. It is much higher in fat than coconut cream and can replace it in equal quantities in most recipes.

Market Opportunities:

Advent of organically sourced coconuts is expected to provide significant growth opportunities for the market players over the forecast period. According to the Research Institute of Organic Agriculture (FiBL) and IFOAM, out of the total agriculture practice across the world, globally, permanent crops account for 7% of organic land, amounting to over 4.7 million hectares in 2018. Under this area, organic coconuts are also considered an important crop that accounted for 0.4 million hectares of 8% of the total organically cultivated land in the world.

Key players are introducing low-fat coconut milk and cream products in order to meet growing demand for low-calorie food products among health conscious consumers. Low-fat conventional dairy has witnessed significant popularity as it provided an attractive option for low- fat diet concerned consumers. Similarly, low-fat coconut milk and cream products are experiencing high demand among the food manufacturers who are involved in producing low in fats and calories.

Market Trends/Key Takeaways:

Increasing consumption of bakery products due to globalization is a major emerging trend in the market. The coconut milk is widely used in the preparation of bakery, confectionery, dairy products, frozen desserts, and other applications.

Growing consumer spending on healthy food products due to increasing disposable income is again fostering market growth. Additionally, growing health and wellness trend is also boosting market growth.

Competitive Landscape:

McCormick & Company Inc., Danone SA, Sambu Group, Adamjee Lukmanjee & Sons (Pvt.) Ltd, Cardinal Agri Products Inc., Petrow Food Group, Axelum Resources Corp., Kapar Coconut Industries Sdn Bhd, Primex Group of Companies, Only Earth, Stancodex Sdn Bhd, Greenville Agro Corporation, Celebes Coconut Corporation, M&S Food Industries, Goya Foods Inc., and Roxas Sigma Agriventures Inc.