Coconut Milk Market Size Report, Share, Analysis, Trends, Growth, 2032

Coconut Milk Industry Prospective:

The global coconut milk market size was worth around USD 3.49 billion in 2023 and is predicted to grow to around USD 15.89 billion by 2032 with a compound annual growth rate (CAGR) of roughly 16.40% between 2024 and 2032.

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Coconut Milk Market: Overview

Coconut milk is extracted from mature coconuts, especially from the grated pulp of the fruit. It is a milky-white and opaque liquid with high acceptance in some parts of the world. The rich taste of coconut milk along with its opacity are derived from the high oil content in the liquid. Coconut milk is a rich source of saturated fat. It is used in food cuisines in several parts of the world namely South Asia, Southeast Asia, East Africa, and Oceania. Furthermore, it also has applications in other parts of the world such as Latin America and the Caribbean along with West Africa. The sub-classification of coconut milk is based on the overall fat content. For instance, coconut cream has the highest fat content while coconut milk has around 20% fat content. On the other hand, skimmed coconut milk has the least amount of fat. Coconut milk is known to have several properties including improving digestion, enhancing the metabolism, fighting against bacteria, protecting against viral infection, and protecting against cancer. However, coconut milk is also known to have side effects, especially in patients requiring special medical attention. For instance, it is known to cause weight gain.

Key Insights:

• As per the analysis shared by our research analyst, the global coconut milk market is estimated to grow annually at a CAGR of around 16.40% over the forecast period (2024-2032)
• In terms of revenue, the global coconut milk market size was valued at around USD 3.49 billion in 2023 and is projected to reach USD 15.89 billion, by 2032.
• The coconut milk market is projected to grow at a significant rate due to the rising demand for dairy substitutes
• Based on the product type, the full-fat coconut milk segment is growing at a high rate and will continue to dominate the global market as per industry projection
• Based on the end-user, the retail/household segment is anticipated to command the largest market share
• Based on region, Asia-Pacific is projected to dominate the global market during the forecast period

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Coconut Milk Market: Growth Drivers

Rising demand for dairy substitutes will drive the market growth rate for coconut milk

The global coconut milk market is expected to grow due to the rising demand for dairy alternatives across the globe. Dairy items that are most commonly consumed in the world are produced from milk extracted from dairy animals such as cows, buffaloes, and goats. However, in recent times, an increasing number of end-consumers are steadily shifting consumption habits from common dairy to other alternatives such as coconut milk. Dairy items such as cheese, yogurt, butter, or milk are known to have several side effects. For instance, lactose intolerance is a common medical condition among a large part of the population. People with this condition cannot completely digest the sugar present in the milk. They may thus suffer from other conditions such as bloating after eating, gas, and diarrhea. As per the National Institutes of Health (NIH), over 68% of the world population has lactose malabsorption. The growing awareness about such conditions induced by dairy products is driving the demand for safer alternatives such as coconut milk. Studies indicate that coconut milk has several health benefits. It is known to lower cholesterol levels and promote weight loss. As per official recommendations, coconut milk should be consumed in moderation such as 1 cup every day.

Food globalization to impact the market growth trend during the projection period

Food globalization refers to the growing trend of food cultures reaching beyond traditional boundaries. The trend helps to make cultural food recipes popular among the global masses. It also helps in the origin of new recipes and cuisines as food ingredients move to new places. In addition to this, the rising rate of international tourism has brought the global food culture under one roof. This can be witnessed in the form of the increasing launch of specialty and nice food service centers across the globe. The global coconut milk market is projected to thus benefit from the surge in food globalization rate.

Coconut Milk Market: Restraints

High cost of coconut milk and the availability of cheaper alternatives will limit the market’s growth trend

The global industry for coconut milk is expected to be restricted due to the high cost of coconut milk as compared to other easily available alternatives. The higher cost is a reflection of changing prices and the availability of raw materials required for producing coconut milk. In addition to this, certain alternatives such as almond milk, rice milk, and soy milk are more easily available and offer a similar range of applications. They act as a barrier to higher adoption of coconut milk and may limit the coconut milk industry’s expansion rate.

Coconut Milk Market: Opportunities

Product expansion and diversification may generate extensive market opportunities

The global coconut milk market is expected to generate more growth opportunities by investing in production expansion and diversification strategies. The market players can tap into the unlimited potential of coconut milk by developing products with versatile characteristics such as taste, texture, overall nutritional value, and flavors. For instance, in August 2023, Axelum, a leading producer of coconut products, announced the launch of coconut milk powder. The product is named Fiesta Coconut Milk Powder and offers extensive applications including acting as a substitute for dairy and a taste-enhancing ingredient for culinary items. As per company claims, the product is heavily influenced by global health & wellness trends. In November 2023, London-based The Coconut Collab launched a new product in its offerings. The addition of M!LK™ has managed to strengthen the company's hold in the coconut milk sector. M!LK does not change the overall taste profile of coffee or tea and offers excellent froth properties. In addition to this, the market players are consistently investing in expanding production volume with the launch of new manufacturing facilities. The personal care & wellness segment is a critical revenue generator for coconut milk. The rising demand for moisturizers, face wash, and other personal care items made using coconut milk has been growing steadily. This trend is a result of increased consumer groups, a rise in consumer awareness, and greater availability of items through offline and online sales channels.

Coconut Milk Market: Challenges

Known side-effects of coconut milk may challenge the market expansion

The global industry for coconut milk is expected to be challenged by known side effects of the products. For instance, the sudden inclusion of coconut milk in the diet is known to cause constipation. Moreover, other known side effects of overconsumption of dairy substitutes are diarrhea and the formation of gas. It contains high levels of fats and calories which means that uncontrolled consumption may also lead to unwanted weight gain.

Coconut Milk Market: Segmentation

The global coconut milk market is segmented based on product type, nature, end-user, flavor, and region.

Based on the product type, the global market segments are coconut milk cream, full-fat coconut milk, coconut milk powder, and low-fat coconut milk. In 2023, the highest growth was observed in the full-fat coconut milk segment due to the higher application of the product in diet regimes worldwide. Coconut milk with full fat is widely used in the production of thick edibles such as curries and desserts. 100 grams of coconut milk typically contains around 24 grams of total fat. Coconut milk cream has also extensive usage. The growing rate of food globalization will impact the segmental demand.

Based on nature, the global coconut milk industry is divided into conventional coconut milk and organic coconut milk.

Based on the end-user, the global market divisions are retail/household, food service, food & beverages, and others. In 2023, the retail/household segment generated the highest returns driven by the excessive use of coconut milk in household settings. The sale revenue from small and large-scale retail chains is higher for coconut milk due to easy availability. The food service segment is expected to deliver exceptional results during the projection period. In 2023, the global food service sector was valued at more than USD 2.7 trillion.

Based on flavor, the coconut milk industry divisions are unsweetened coconut milk and sweetened coconut milk.

Coconut Milk Market: Report Scope

Coconut Milk Market: Regional Analysis

Asia-Pacific to generate the highest revenue during the projection period

The global coconut milk market is projected to witness the highest growth in Asia-Pacific during the projection period. Coconut milk is widely consumed in certain Asian countries, especially Southeast Asia. The region covers countries such as the Philippines, Indonesia, and Thailand. For instance, Thai cuisines are especially known for the extensive use of good quality coconut milk in soups and curries. In addition to this, the easy availability of raw materials required for producing coconut milk in abundant qualities also helps the regional market prosper. Indonesia is the world’s leading supplier of coconuts. Its production volume stands at over 17 million metric tonnes. The growing number of coconut milk producers and sellers across Asia-Pacific will be influential in driving the market growth rate. In June 2024, Vietnam-based leading producer of the plant-based milk Vietcoco Coconut Milk made remarkable strides at the Vietnam Dairy 2024 event. Europe is projected to deliver exceptional results driven by the growing adoption of coconut milk. The region is especially influenced by the high demand for organic coconut milk. In January 2023, Cocos Organic announced the launch of new organic products in the form of ‘Yog Tubes’ and Light Organic Natural Yoghurt.

Coconut Milk Market: Competitive Analysis

The global coconut milk market is led by players like:

• GraceKennedy Limited
• Danone SA
• Theppadungporn Coconut Co. Ltd.
• Pureharvest
• Celebes Coconut Corporation
• Earth's Own Food Company Inc.
• Vita Coco
• Pacific Foods of Oregon LLC
• Goya Foods Inc.
• Kara Coconut
• McCormick & Company Inc.
• Sambu Group
• Thai Agri Foods Public Co. Ltd.
• M&S Food Industries
• Nestlé S.A.

The global coconut milk market is segmented as follows:

By Product Type

• Coconut Milk Cream
• Full Fat Coconut Milk
• Coconut Milk Powder
• Low Fat Coconut Milk

By Nature

• Conventional Coconut Milk
• Organic Coconut Milk

By End-User

• Retail/Household
• Foodservice
• Food & Beverages

By Flavor

• Unsweetened Coconut Milk
• Sweetened Coconut Milk

By Region

• North America
  • The U.S.
  • Canada
• Europe
  • France 
  • The UK
  • Spain
  • Germany
  • Italy
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Southeast Asia
  • Rest of Asia Pacific
• Latin America
  • Brazil
  • Mexico
  • Rest of Latin America
• Middle East & Africa
  • GCC
  • South Africa
  • Rest of Middle East & Africa