Assam's Plant-Based Milk Market Struggles to Take Root Despite National Boom

While the plant-based milk industry is gaining impetus across India and internationally, Assam's plant-based milk sector remains undersized, exceeded by a growing focus on traditional dairy infrastructure.

Nationwide, plant-based milk replacements such as almond, soy, oat, and coconut milk are seeing a flow in demand, driven by shifting consumer preferences towards healthier and more sustainable options. However, in Assam, these products have limited visibility and market penetration, with most dairy investments still focused on conventional milk production.

“Veganism, flexitarian diets, and ethical eating are on the rise, especially among Gen Z and Millennials. More consumers are moving away from dairy due to lactose intolerance, allergies, or perceived health benefits of plant-based alternatives. If we talk about the pros and cons of endorsing the vegan milk business, then what comes directly to our mind is that crops like oats, soy, and almonds require less land compared to raising livestock for dairy. Similarly, creating plant-based milk requires significantly less water and emits fewer greenhouse gases than dairy farming," said Tania Paul Das, Founder and Consultant of Think Basket Consultech, Guwahati, while speaking to Priyanka Chakrabarty of Business North East (BNE).

She further mentioned there is a rising demand for startups addressing animal cruelty through innovation in dairy alternatives aligned with shifting consumer ethics, and it is evident by the fact that the global vegan milk market is projected to continue double-digit growth over the next decade.

"Investors are increasingly backing sustainable food tech ventures. This opens funding opportunities for agile startups. For example, the husband-wife duo Avradeep Purkayastha and Monalisha Sengupta of Assam started a business in the name of Simhi Food and Beverages Private Limited and were successful in developing five Ayur-scientifically backed vegan milk formulations by using natural colours and flavours that are not only healthy but also a lip-smacking beverage to relish," said Das, who hailed the BIOE3 policy for creating a tremendous impact on the minds of these entrepreneurs to create and thrive in a business that is profitable and fits the trend by using natural resources of Northeast.
 
She also said that as a Startup consultant, she encourages and motivates young minds to take up this type of challenge and ensure farm-to-fork theory and work on innovation. "There’s still room to innovate in taste, texture, nutrition, shelf life, and cost-effectiveness and offer next-gen alternatives beyond typical nut or soy milk," said the founder.

"The whole Foodtech entrepreneurship ecosystem is hopeful that being different from the rest of the Nation, North East India will mark the glory of creating impactful food and beverage brands by aptly utilising the Natural resources and complying with Ayur Aahar,” noted Das.

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Meanwhile, The West Assam Milk Producers' Co-operative Union Ltd. (WAMUL), popular as Purabi Dairy, has recently ramped up operations. Its processing facility in Panjabari, Guwahati, has doubled its capacity from 1.5 lakh litres per day to 3 lakh litres. The expansion also includes enhanced production of fermented milk products and a newly established ice cream plant. WAMUL has also taken over the Dhemaji dairy plant to improve milk supply and market admission in Upper Assam.

These developments underline a strong commitment to traditional dairy in the region. But experts propose Assam may soon have to admit a wider shift. With urban consumers nationwide increasingly choosing plant-based substitutes for health, ethical, and environmental reasons, Assam's untouched plant milk market could represent untapped potential.