Rise of Plant-Based Foods: Trends, Challenges, and Opportunities

The plant-based food movement is more than just a trend. It is now seen as a transformation of the food industry, and that is here to stay. Rajat K Baisya explores the evolution of plant-based foods in India, highlighting the growth of soy products, emerging technologies, market trends, and the shift toward sustainable, health-focused diets.

Soybean was the first plant-based protein food introduced in India’s market in the seventies. At that time, Vitasoy, a soya milk, was already selling in places like Hong Kong, surpassing even Coca-Cola. In India, however, the soy milk market growth in India 2025 looks promising, although it was not doing well initially as a substitute for cow and buffalo milk, even though milk was always in short supply. India is now the world’s largest milk producer, but regional disparity in terms of fluid milk supply is still prevalent. Soya milk is now widely available in the Indian market, and many local brands are thriving on local opportunities, creating small pockets of niches.

No one could make this product big enough to talk about, and the reasons are many. Around that time, soya-based products such as soya chunks and nuggets were introduced in the market. Since then, these have been selling in the market as a commodity manufactured by soya processors for edible oil and soya meals. Extruded soya nuggets and chunks were the only meat analogues sold in the market. Two leading brands, Nutrela and Ruchi, which Patanjali now owns, are well-known brands. Whereas soya sauces, flavorings, and seasonings have been flourishing, and some of them have emerged as global brands.

But the situation has been changing. In other markets around the world, soy milk and other plant-based milks are a big category competing with dairy milk, the consumption of which is declining. The dairy category is now thriving on multiple product variants, rather than fluid milk. It arises from the fact that there is a general mental apathy towards animal food due to negative health perceptions. Consumers are becoming more health-conscious, and plant foods are healthier than foods originating from the animal kingdom.

Plant-Based Burgers and Kebabs in Indian Fast Food

Some of these plant-based food products introduced in the market are so good that it is difficult to differentiate them from their animal counterparts. ITC Agro has already introduced products in India in the category of burgers and kebabs, and is doing well. Technologies have developed to the level where these plant-origin products taste as good as those from animal origin. Yeast extract and flavorings have helped to get the product formulations closer to animal burgers, kebabs, sausages, and salami. With the rise of plant-based burgers and kebabs in Indian fast food chains, consumers are now able to enjoy healthier and sustainable versions of their favorite dishes.

Plant Protein Processing Techniques

Plant-based food processing encompasses a variety of techniques used to transform plant-derived or plant-based ingredients into food products, mimicking the texture, taste, and nutritional profile of animal-based products. These methods include protein extraction and processing, texturization, fermentation, and 3D printing, among others. The goal or the objective of these new generation technologies is to create appealing and sustainable food options that meet consumer demand for plant-based food alternatives.

These are new-generation technologies in contrast to the technologies that are known and are widely used in food processing for ages, which include pasteurization, fermentation, canning, freezing, baking, and dehydration.

Food processing technologies are required to make food products more palatable, while keeping their nutritional value, and allow for the creation of a wide range of food items from basic ingredients, supporting both food diversity and accessibility in the market. New generation technologies utilise plant-based raw materials to produce plant-based food products, competing with animal products.

Demand for Plant-Based Foods is Growing

The demand for plant-based food products is also growing at an accelerated and impressive rate. In fact, according to various market reports, the plant-based processed food product market is expected to reach US$74.2 billion by 2027. The growing demand for plant-based food options, including meat substitutes, dairy-free products, and snacks drives this growth. Major food brands such as Nestlé, Unilever, and Beyond Meat have launched plant-based food products to meet this growing demand.

People who follow an active lifestyle can also benefit from emerging plant protein powders from peas and hemp, which are becoming more accessible in India.

As we can see, fast food chains and restaurants are also jumping on this bandwagon. More restaurant chains and eating establishments are adding plant-based options to their menus. For example, McDonald’s recently launched a plant-based burger in some countries. Similarly, pizza chains now offer plant-based cheese and meatless toppings, making it easier for customers to choose plant-based options when eating out.

The availability of plant-based food products in grocery stores has also increased significantly. Supermarkets are now stocking a wide range of plant-based foods, from plant-based milk to meat alternatives such as tofu, tempeh, and seitan, a plant-based meat alternative, often called ‘wheat meat’, made primarily from wheat gluten. These products have become more affordable and accessible, making it easier for people to adopt a plant-based diet.

Innovations in Plant-Based Foods

The plant-based food industry is constantly evolving as new innovations are happening all the time. The development of plant-based meat alternatives has seen impressive growth. Companies like Impossible Foods and Beyond Meat have created products that closely resemble traditional meat in taste, texture, and appearance. These innovations have made it easier for people to adopt a plant-based diet without feeling like they are missing out on their favourite foods.

Apart from plant-based meat, dairy alternatives have also improved significantly. Plant-based milks like almond, oat, and soy milk have existed for years, but now, there are also plant-based yogurts, cheeses, and ice creams that are just as good, if not better, than their dairy counterparts. These products are not only for vegetarians, but also for people with lactose intolerance and for those who would like to reduce their dairy consumption.

In addition, there has been a rise in plant-based protein powders and snacks. People who follow an active lifestyle or want to increase their protein intake can now find protein bars, shakes, and even chips made from plant-based ingredients like peas, hemp, and brown rice.

Claims of Benefits of Plant-Based Foods

There are many benefits to switching to a plant-based diet, and it’s not just about personal health. Plant-based foods tend to be lower in saturated fat and cholesterol, which can help reduce the risk of heart disease. Plant-based diets are also rich in other micronutrients, making them a great option for people who are concerned about their overall health.

Plant-based foods also have a positive impact on the environment because they generally use fewer resources and produce fewer greenhouse gases than animal-based foods. So, adopting a plant-based diet is seen as helpful to combat climate change and promote sustainability.

How is the Food Industry Responding?

As the demand for plant-based foods grows, the food industry is quickly adapting. Grocery stores are expanding their plant-based sections, and new brands are emerging to offer innovative products. Many large food companies are also acquiring plant-based startups to take advantage of this lucrative market. For example, Tyson Foods, one of the world’s largest meat producers, invested in Beyond Meat, indicating a growing acceptance of plant-based products.

The rise of plant-based foods has also sparked interest in the development of lab-grown meat, sometimes called ‘cultured or ‘cell-based’ meat.

Challenges of Plant-Based Food Adoption in India

Despite the rapid growth of plant-based foods, there are still many challenges to be overcome. One of the biggest challenges is the price. Plant-based products can often be more expensive than their animal-based counterparts, which can make them less accessible, particularly to low-income group consumers.

Another challenge is overcoming taste and texture issues. In India, this issue, along with the comparison to animal meat, poses a real challenge to marketers. The ongoing challenges of plant-based food adoption in India underscore the need for affordability, improved taste, and targeted awareness campaigns to mainstream plant-based diets.

While plant-based food products have improved considerably, technologies have helped to create meat analogues closer to animal meat. But some people still find them lacking compared to the real thing. In India, this issue, along with the comparison to animal meat, poses a real challenge to marketers. However, with advancements in technology and improvements in formulation, these issues are getting sorted out, making plant-based alternatives even more appealing and preferred. Food ingredients manufacturers like Angel Yeastare working very closely with food processors to develop plant-based food products and meat analogues that closely resemble animal meat. I have had an opportunity to work with them.

Conclusion

The plant-based food movement is more than just a trend. It is now seen as a transformation of the food industry, and that is here to stay. The shift is being driven by health, environmental and ethical concerns. Associations like the prevention of cruelty against animals are also supporting this initiative, thereby globally accelerating the growth by becoming an agent of this newfound trend in transformation. As such, the market for plant-based foods is growing rapidly. As new innovations emerge and more brands enter the field, plant-based options are becoming more accessible and diverse. Whether for health reasons, environmental concerns, or ethical beliefs, people are increasingly choosing plant-based foods, and the food industry is adapting to this growing demand. As the market continues to evolve, it will be exciting to see how plant-based foods shape the future of our food system.

Replacing 50% of meat and milk products with plant-based alternatives by 2050 can reduce agriculture and land use-related greenhouse gas (GHG) emissions by 31% and halt the degradation of forest and natural land, according to new research.

Recently, many new food processing technologies have appeared, such as high-pressure processing, ultrasound, pulsed electric fields, cold plasma, microwave heating, and sous vide ( a French cooking technique where food is vacuum sealed in a pouch and cooked in a precisely controlled water bath at a relatively low and consistent temperature), etc. These new-generation technologies, applicable to the food processing industry, are likely to make a revolutionary impact on food habits and the introduction of many new products from plant origin. I can clearly see that transformation as a great opportunity in India, what I see happening in developed countries all over the world.

Rise of Plant-Based Foods: FAQs

1. What are plant-based food processing technologies in India?2. How fast is the soy milk market growing in India by 2025?3. Are plant-based burgers and kebabs available in Indian fast food chains?4. What are the benefits of plant protein powders from peas and hemp?5. What are the challenges of plant-based food adoption in India?6. How do plant-based foods help the environment?

The author is the chairman of Strategic Consulting Group and served as Professor and Head of the Department of Management Studies, IIT Delhi. He is also the president of Project & Technology Management Foundation and can be reached at rkbaisya@ hotmail.com

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