Spain’s plant-based sector is the fourth-largest in Europe, behind Germany, the UK, and Italy, and anticipates a 10% growth by 2025.
The demand for sustainable products fueled the sector’s growth by 9.4% in 2023, reaching nearly €600 million in sales. Over a third of Spaniards consumed plant-based products in 2023, with 46% of households incorporating plant-based beverages into their diets.
These are among various figures from a newly released report by the Spanish Association of Plant-Based F&B Producers Vegetales, and International Financial Analysts (AFI), analyzing the impact of the plant-based market on Spain’s economy and society.
A recent report by the Universidad Pontificia Comillas, the Spanish Vegetarian Union, and communication firm The Vegan Agency also highlights the significant growth in turnover of the country’s plant-based market, reflecting sustained consumer interest and the consolidation of new business models.
A “multiplier effect” on the economy
The association says the economic impact of the plant-based sector extends beyond sales. The industry, comprising about 60 companies, generated a Gross Value Added (GVA) of 355 million euros in 2023, demonstrating its significant economic impact.
According to the report, its “multiplier effect is noteworthy,” with each euro of added value in the plant-based sector creating an additional 3.7 euros in the broader economy, while each direct job leads to 3.9 additional jobs. For example, Vegetales’ trade companies created over 6,500 direct, indirect, and induced jobs in 2023, marking a 9.4% increase from the previous year, reinforcing their role in economic and local development.
The report highlights the plant-based sector’s crucial role in tackling global food challenges, particularly with Spain’s projected population growth to over 55 million by 2050. Plant-based products use significantly less water and land while reducing CO2 emissions by up to 2.1 tons per person annually, notes the report.
At the same time, Spain supports a dynamic agri-food tech ecosystem with 420 startups, which attracted €226 million in investments in 2023, positioning the country among Europe’s most advanced food technology ecosystems, driving innovation and fueling the economy.
The paper also highlights the sector’s alignment with the Spanish government initiatives and European Commission policies on promoting a fair transition to more sustainable food systems. Initiatives such as reducing VAT on sustainable products and the Action Plan for Plant-Based Foods, scheduled for 2026 (stay tuned), will propel the adoption of sustainable and healthier diets, say the authors.
Clear regulations and frameworks
Lastly, the plant-based sector association calls for clear and specific regulations and frameworks that minimize regulatory risks while driving expansion and technological innovation to cater to the growing demand for sustainability and nutritional quality in products. “The plant-based sector needs its own legal framework that defines its products, establishes specific characteristics, and sets clear quality standards,” the organisation says.
Vegetales includes well-known brands such as Alpro, Biogran, Cubiq Foods, Foody’s, Frías, Garden Gourmet, Iparlat, Liquats, Oatly, Sojasun, Soria Natural, and Vivesoy. These companies work within the association to support the growth of a sustainable food system through plant-based innovations.
“These figures reaffirm that the plant-based category is fully integrated into society, with a clear contribution to the country’s economy, as it represents a response to the growing consumer demand for more sustainable and healthier food options,” Natalia Berenguer, president of Vegetales, shared at the association’s III Annual Summit, where the report was presented to the public.
