Coconut Milk Market By Form (Liquid Coconut Milk, Powdered Coconut Milk), By Packaging (Cans, Tetra Packs, Pouches, Others), By Application (Food & Beverages, Personal Care, Healthcare, Others), By Distribution Channel (Supermarkets and Hypermarkets, Convenience Stores, Specialty Stores, Online Retail, Others), Global Market Size, Segmental analysis, Regional Overview, Company share analysis, Leading Company Profiles, And Market Forecast, 2025 – 2035

Industry Outlook

The Coconut Milk market accounted for USD 1.85 Billion in 2024 and is expected to reach USD 7.67 Billion by 2035, growing at a CAGR of around 13.8% between 2025 and 2035. Coconut Milk Market comprises the production, distribution, and consumption of coconut milk, a fluid rich in cream-like fresh milk derived from grated coconut flesh. Rich in taste and nutrition it is extensively used as a base for culinary applications, beverage, and dairy alternatives.

Rising demand for plant-based products, lactose-free options, and health-conscious consumers has pushed the market to this level of growth. The key segments include organic and conventional canned, powdered, or refrigerated coconut milk. Traditional use and production drive the Asia-Pacific market and increasing adoption of vegan and exotic cuisines makes North America and Europe attractive.

Report Scope:

Market Dynamics

Growing veganism boosts demand for plant-based coconut milk alternatives

The unpredictable growth in veganism is driven by demand for plant-based alternatives like coconut milk, as consumer knowledge of health, environmental sustainability, and animal welfare continues to rise. Coconut milk is a versatile and nutrient-rich option, loved by vegans and those looking for lactose-free possibilities, especially in food and beverages. Market statistics show the growing popularity of its product, including a report by the Good Food Institute (2024) stating that plant-based food sales in the U.S. increased by 12% per year while the category emerged with non-dairy milk.

Government efforts to promote healthy, sustainable diets by promoting plant-based products to decrease environmental impact further this shift. Such trends also point to the growing importance of this liquid milk as part of the global food industry.

Increasing consumer preference for plant-based and lactose-free alternatives

A major driver for the coconut milk market is the fast-growing consumer preference for plant-based and lactose-free alternatives. With more people realizing their lactose intolerance and dietary sensitivities, more people opt to use coconut milk as a dairy-free option. Moreover, as plant-based diets become more popular, they also aid in this trend as a product of sustainability and health benefits.

Approximately 68 percent of the world's population experiencing lactose malabsorption, according to the National Institutes of Health (NIH), there is a real need for non-dairy options. Overfacing in diet food choices has been driving innovation and broadening the availability of coconut milk in many food products which is nice to describe coconut milk as versatile and in demand.

High costs associated with coconut milk extraction and processing methods

For the coconut milk market, the high costs of coconut milk extraction and processing methods are a major restraint. Producing coconut milk from fresh coconuts requires specialized machinery, and labor-intensive steps, making it more expensive than other milk alternatives. Moreover, the additional cost of producing lies in the need for quality control, preservation of products, and packaging.

When these high costs of production create that high retail price, that also excludes people in the market who may want to buy it, and especially in price-sensitive markets that is just bad. The Increased demand for coconut milk means some producers have problems scaling up production on a large scale efficiently while keeping costs at a minimum, impacting market growth.

Expanding e-commerce platforms enhance accessibility and consumer reach globally

The existential opportunity for the coconut milk market is to expand e-commerce platforms that increase accessibility and reach of consumers worldwide. As online shopping becomes increasingly popular, coconut milk and other plant-based products can be purchased right at the clicks of your fingertips from the comfort of your couch. They help brands have a wider reaching audience as there are areas where coconut milk is not available in physical stores for them to reach out to.

Simultaneously, online marketplaces provide consumer education via reviews, product details, and promotions in the interest of consumer education and demand. With digital platforms set to grow, coconut milk manufacturers use it as an effective digital platform to talk to diversified markets and have a global presence.

Rising use of coconut milk in restaurants and cafes enhances market demand

A great opportunity that the coconut milk market has is the growing usage of coconut milk in restaurants and cafes. The fact that other eateries are responding to the increasing acceptance of plant-based, or lactose-free, products, has also made coconut milk an ingredient in various dishes, including drinks, desserts, and savory meals. Its creamy texture and neutral flavor make coconut milk a very good replacement for dairy products, and popular among vegan, vegetarian, and health-conscious consumers.

Increasing visibility and acceptance of coconut milk in the food service sector through using coconut milk has increased the market demand for coconut milk. This is an effective way for coconut milk suppliers to generate new options and widen their footprint in the food and beverage industry. This growing trend presents a unique opportunity for suppliers to cater to the changing consumer preferences and add to the market that promotes health-friendly and sustainable options. The widening interest in coconut milk in the culinary world shows a bright future for industry growth.

Industry Experts Opinion

“Full-fat dairy and whole milk have a lower ratio, whereas low-fat/skim milk has a higher ratio in causing acne. Plant-based milks (coconut milk, almond milk, oat milk) are generally considered good options for people with acne because they lack hormones that can increase the risk of getting acne.”

• Dr K Kranthi Varma, consultant dermatologist at Renova Hospitals, Hyderabad

“Because coconut milk is a non-dairy milk, using it as a substitution for cow’s milk may help those with lactose intolerance or milk allergies,”

•  Danielle Gaffen, a registered dietitian nutritionist and nutrition consultant, San Diego, California.

Segment Analysis

Based on the Form, the Coconut Milk Market is classified into Liquid Coconut Milk and powdered Coconut Milk. Out of all the continuously growing coconut Milk segments, Liquid Coconut Milk is the largest segment in Coconut Milk Market. Its versatility in any culinary application (beverage, meal, ready-to-eat meals) makes this form widely preferred. It is a staple in the food service and household industries because it is convenient as a ready-to-use product. Moreover, rising demand for plant-based milk alternatives to dairy (such as liquid coconut milk) will continue to drive the increase. It is also frequently used in health-conscious food formulations because it is perceived to have health benefits, including being lactose-free and high in healthy fats. Liquid coconut milk dominates the market as consumer awareness of natural and organic products increases.

Based on the Application, the Coconut Milk Market is classified into Food & Beverages, Personal Care, Healthcare, and Others. Currently, the Food & Beverages segment is the most dominant in the Coconut Milk Market. This part of the market holds a significant share because of the rise of consumer preference for plant-based alternatives, especially vegan diets, and lactose-free diets. While cooking, baking, and smoothies, coconut milk is often preferred because it is richly creamy and dairy-free. More demand is spurring its popularity in traditional and ethnic foods. The Food & Beverages sector leads, as the consumer becomes more aware of its nutritional benefits including high healthy fats and antioxidants. The rapid expansion of this segment mirrors a global movement within reach of healthier and more sustainable food.

Regional Analysis

In Asia Pacific, there is a surge in the Coconut Milk Market this is associated with the region’s long tradition of using coconut milk in traditional cuisines. Coconut milk is an important ingredient in several dishes in Thailand, Indonesia, the Philippines, and India, where its consuming countries are key players. Growing awareness of the health benefits of coconut milk, including its high nutrient content (vitamins, minerals, and antioxidants) is driving its popularity with health-conscious consumers.

The growth of coconut milk products is also stimulated by the steady trend of plant-based diets and rising demand for dairy alternatives. Innovation is also happening in the packaging and product formulations, with organic and sugar-free varieties to cater to changing consumer preferences. Coconut milk has obtained sustained market growth because of the increasing disposable incomes and retail infrastructure across Asia Pacific.

North America's Coconut Milk Market is witnessing a high rate of growth, owing to the rising demand for plant-based, dairy-free alternatives on the part of consumers. Fueled by its rising popularity in food and beverage applications, including smoothies, desserts, and dairy substitutes, its adoption has also been driven by its rising popularity. Market growth is also helped by the increasing awareness of coconut milk for its low-calorie and lactose-free properties.

Along with the trend of vegan and gluten-free diets and the rising lactose intolerance, the demand for coconut milk products has been driven significantly. Organic and flavored varieties of coconut milk are also catching on in North America, as more retailers introduce a wider range of products to meet consumers' different tastes. Their availability on both offline and online channels and these trends are expected to drive the market in the region.

Competitive Landscape

The Coconut Milk Market is characterized by established global brands and regional players. The market is owned and dominated by major companies such as Thai Coconut Public Company, Aroy-D, and Goya Food Inc. and their well-established product lines. The whole trend has seen brands such as So Delicious and Pureharvest pick up the trend of food without dairy, especially among health-conscious and vegan consumers. At the same time, companies like Nature's Charm and Chaokoh are trying to break new ground by introducing eco-friendly packaging and organic certifications geared to the environmentally conscious crowd.

Changes show the trend of moving toward premium products and environmentally friendly sourcing. McCormick & Company and Danone are two companies that have put their eggs into the coconut milk basket, primarily with organic and fair-trade certifications. Other companies like Sambu Group and Cardinal Agri Products are also investing in sustainable production that goes along the way with the need for ethical consumer products. To secure their market share in an industry where demand for dairy-free, plant-based beverages remains strong, brands are latching on to these developments, driving increased competition.

Coconut Milk Market, Company Shares Analysis, 2024

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Recent Developments:

• In December 2023, the coconut milk beverage UHT 180ml was launched by Vietcoco International Co., Ltd., a company based in Vietnam. The substance was created to improve resistance and promote health.
• In November 2023, M!LK, a coconut-based barista-style milk, was introduced by the British firm The Coconut Collab.

Report Coverage:

By Form

• Liquid Coconut Milk
• Powdered Coconut Milk

By Packaging

• Cans
• Tetra Packs
• Pouches
• Others

By Application

• Food & Beverages
• Personal Care
• Healthcare
• Others

By Distribution Channel

• Supermarkets and Hypermarkets
• Convenience Stores
• Specialty Stores
• Online Retail

• Others

By Region

North America

• U.S.
• Canada

Europe

• U.K.
• France
• Germany
• Italy
• Spain
• Rest of Europe

Asia Pacific

• China
• Japan
• India
• Australia
• South Korea
• Singapore
• Rest of Asia Pacific

Latin America

• Brazil
• Argentina
• Mexico
• Rest of Latin America

Middle East & Africa

• GCC Countries
• South Africa
• Rest of the Middle East & Africa

List of Companies:

• Thai Coconut Public Company
• Aroy-D
• Celebes Coconut Corp
• Chaokoh
• So Delicious
• Goya Food Inc
• Cocomi Bio Organic
• Nature's Charm
• Pureharvest
• McCormick & Company Inc.
• Danone SA
• Sambu Group
• Adamjee Lukmanjee & Sons (Pvt.) Ltd.
• Cardinal Agri Products Inc.
• Kara

Frequently Asked Questions (FAQs)