Dairy Industry Being Adversely Affected By American Obsession With Plant-Based Alternatives


According to Dairy Farmers of America (DFA), milk sales have declined by $1.1 billion in 2018 while the demand for plant-based milk keeps growing.

DFA attributes a price drop of $1.45 in milk sales to the consumer shift towards plant-based options.

Plant-based milk alternatives like almond milk, coconut milk, hemp milk, and soy milk are covering more space on grocery store shelves reflecting the growth in consumer demand to embrace new flavors and to the vegan diet.

According to the Plant-Based Foods Association, plant milk options have experienced a growth of 9% in 2018 leading to $1.6 billion in sales. It’s a relatively small portion of the whole dairy industry but still shows a promising and significant future of people embracing veganism.

The demand for vegan milk alternatives was obviously so strong in 2018 that it led to the decline of the animal milk industry by $1.1 billion.

This has also created immense opportunity for plant-based entrepreneurs resulting in a number of startups selling non-dairy kinds of milk, including some made from fermented yeast.

Meanwhile, the dairy industry has shown disapproval with this surge sale in plant-based milk and decline in the animal milk industry. Trade shows are fighting to convince the Food and Drug Administration to introduce a ban on non-dairy milk companies to use the word ‘milk’ on their labels.

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