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Written by Adam Smith » Updated on: July 02nd, 2025
Market Overview:
The oat milk market is experiencing rapid growth, driven by rising demand for plant-based alternatives, sustainability and eco-friendly production, and innovation in product offerings. According to IMARC Group's latest research publication, "Oat Milk Market Size, Share, Trends, and Forecast by Source, Product, Packaging Type, Application, Distribution Channel, and Region, 2025-2033", the global oat milk market size was valued at USD 717.8 Million in 2024. Looking forward, IMARC Group estimates the market to reach USD 1,845.6 Million by 2033, exhibiting a CAGR of 11.1% from 2025-2033.
This detailed analysis primarily encompasses industry size, business trends, market share, key growth factors, and regional forecasts. The report offers a comprehensive overview and integrates research findings, market assessments, and data from different sources. It also includes pivotal market dynamics like drivers and challenges, while also highlighting growth opportunities, financial insights, technological improvements, emerging trends, and innovations. Besides this, the report provides regional market evaluation, along with a competitive landscape analysis.
Download a sample PDF of this report: https://www.imarcgroup.com/oat-milk-market/requestsample
Our report includes:
Growth Factors in the Oat Milk Market
Consumers increasingly choose plant-based diets for health, ethical, and environmental reasons. Oat milk, made from oats and water, appeals to those avoiding dairy due to lactose intolerance or vegan lifestyles. Its creamy texture and mild flavor make it a popular choice for coffee, smoothies, and baking. For example, Starbucks added oat milk to its menu in 2021, boosting its visibility. Health-conscious shoppers also favor oat milk for its fiber content and lower fat compared to some dairy options. This shift in consumer preferences drives brands like Oatly to expand production and distribution globally, meeting growing demand.
Oat milk production uses less water and land than dairy or almond milk, appealing to environmentally conscious consumers. Oats grow in diverse climates, reducing the need for intensive farming. For instance, Oatly emphasizes sustainable sourcing, using oats from farms with eco-friendly practices. Consumers value brands that prioritize green packaging, like recyclable cartons. This focus on sustainability attracts younger buyers who prioritize climate-friendly products. As awareness of environmental issues grows, oat milk’s smaller carbon footprint compared to dairy strengthens its market position, encouraging companies to invest in efficient production methods to meet demand.
Brands are expanding oat milk varieties to attract diverse consumers. Flavored options like vanilla or chocolate oat milk appeal to younger audiences, while barista blends cater to coffee shops. For example, Califia Farms launched a barista blend that froths well for lattes, gaining traction in cafes. Companies also fortify oat milk with vitamins, calcium, or protein to compete with dairy’s nutritional profile. Limited-edition flavors and collaborations, like Oatly’s seasonal launches, keep consumers engaged. This constant innovation broadens oat milk’s appeal, driving sales as brands adapt to changing tastes and dietary needs.
Key Trends in the Oat Milk Market
Oat milk is gaining popularity in restaurants, cafes, and hotels as a dairy alternative. Coffee chains like Costa Coffee now offer oat milk as a standard option, reflecting consumer demand for plant-based choices. This trend extends to fast-casual dining, where oat milk appears in smoothies, desserts, and sauces. For example, Dunkin’ introduced oat milk-based drinks in 2020, expanding its menu for vegan customers. Hotels also stock oat milk in breakfast buffets, catering to guests with dietary restrictions. This widespread adoption in foodservice boosts brand visibility and normalizes oat milk as a mainstream choice.
Supermarkets and retailers are launching their own oat milk brands to capture market share. Private labels like Whole Foods’ 365 brand offer affordable oat milk, competing with established names like Oatly. These products often match the quality of premium brands but cost less, appealing to budget-conscious shoppers. For instance, Aldi’s private label oat milk gained popularity for its price and taste, driving sales in Europe. Retailers benefit from higher margins, while consumers enjoy accessible options. This trend pushes major brands to innovate further to maintain their edge in a crowded market.
Oat milk aligns with the growing focus on health-conscious eating. Its natural fiber and low cholesterol content attract consumers seeking heart-healthy options. Brands highlight these benefits in marketing, emphasizing oat milk’s role in balanced diets. For example, Silk’s oat milk campaign promotes its use in smoothies for a nutritious breakfast. Fortified versions with added nutrients like B12 or calcium appeal to those replacing dairy. As consumers prioritize wellness, oat milk’s versatility in recipes, from oatmeal to baked goods, strengthens its appeal. This trend drives demand as people seek products that support healthy lifestyles.
Leading Companies Operating in the Oat Milk Industry:
Oat Milk Market Report Segmentation:
By Source:
Conventional oat milk leads (74.0% share) due to affordability, wide availability, and strong supply chain integration, while organic variants grow steadily.
By Product:
Plain oat milk dominates (58.3% share) for its versatility, clean-label appeal, and suitability for cooking, beverages, and dietary preferences.
By Packaging Type:
Cartons hold the largest share (53.2%) owing to convenience, sustainability, and effective preservation, aligning with eco-conscious consumer trends.
By Application:
Beverages lead (68.2% share) as oat milk’s creamy texture and neutral taste make it a preferred dairy alternative in coffee and drinks.
By Distribution Channel
Supermarkets & hypermarkets capture 40.4% share due to product variety, accessibility, and promotional strategies driving consumer purchases.
Regional Insights:
Europe dominates (52.8% share) with strong plant-based adoption, sustainability focus, and supportive policies, led by Germany, UK, and Sweden.
Research Methodology:
The report employs a comprehensive research methodology, combining primary and secondary data sources to validate findings. It includes market assessments, surveys, expert opinions, and data triangulation techniques to ensure accuracy and reliability.
Note: If you require specific details, data, or insights that are not currently included in the scope of this report, we are happy to accommodate your request. As part of our customization service, we will gather and provide the additional information you need, tailored to your specific requirements. Please let us know your exact needs, and we will ensure the report is updated accordingly to meet your expectations.
About Us:
IMARC Group is a global management consulting firm that helps the world’s most ambitious changemakers to create a lasting impact. The company provide a comprehensive suite of market entry and expansion services. IMARC offerings include thorough market assessment, feasibility studies, company incorporation assistance, factory setup support, regulatory approvals and licensing navigation, branding, marketing and sales strategies, competitive landscape and benchmarking analyses, pricing and cost research, and procurement research.
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IMARC Group
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