China Embracing Global Plant-Based Nutrition Movement: Whole Foods, Organic and Plant-Based Trending Hard

One of the more interesting elements shaping R&D and consumption patterns in China's food sector is the phenomena of innovation lag and late adoption. Over the past several years, in tandem with China's consumption upgrade, we can see the systematic late adoption of consumption patterns which are already tried and tested in other markets. In China, global food sector growth trends like whole foods, plant based, sports nutrition, evidence-based nutrition etc. are only just taking root. While a history of success in other markets does not guarantee success in China, given the huge increase in interest and demand for these health-related foodstuffs there is ample room for sound investment.

At the end of 2018, many research companies released their reports predicting food consumption trends in China over the coming years. One common denominator is predictions pointing to the rise of the plant-based nutrition and whole food movements in China. Nielsen said in their market insight ^[1], it's already a consensus that Chinese people are becoming more aware of healthy living.

If we give a broad overview of the food industry in past years, we can find the total market value of healthy food like soybean milk and Yogurt climbed quickly from 2015 to 2017 while categories like candy, chocolate, and chewing gum have decreased gradually. (Source: 2018 China Shopper Report ^[2], Kantar Worldpanel and Bain & Company)
Large multinationals like Pepsi, Nestlé and Kraft Foods are keenly aware of new consumer demands and are attempting to harness these forces through high-level advocacy and lobbying, and grassroots campaigning to promote healthy eating and stoke the fires of demand for healthy food products. In China this is best exemplified by these multinationals involvement in China's "low sodium action plan". Mengniu, Coca Cola, Danone, and Starbucks have all looked to the Chinese plant-based beverage market for revenue. In 2018, Coca Cola launched fiber-filled sprite, Coca Cola Plus (zero sugar and zero calories) and Chun Yue fiber water in China.