Australia Gluten-Free Foods & Beverages Market Growth, Share & Trends by 2034

Market Overview

The Australia Gluten Free Foods Beverages Market Size has witnessed exponential growth globally, with Australia following the trend. With an increasing number of people being diagnosed with celiac disease, gluten intolerance, or choosing a gluten-free lifestyle, the Australia gluten-free foods beverages market is on a clear upward trajectory. The market size was valued at USD 350.59 million in 2024 and is projected to grow at a compound annual growth rate (CAGR) of 7% between 2025 and 2034, reaching a value of USD 648.77 million by 2034.

The gluten-free foods and beverages market in Australia is witnessing significant growth, driven by an increasing consumer awareness regarding the benefits of gluten-free diets. Gluten is a protein found in wheat, barley, and rye, and while it is harmless to most people, it can cause adverse health effects in individuals with celiac disease or gluten sensitivity. As the number of such individuals rises, the demand for gluten-free products has surged. Moreover, a large portion of the population is opting for gluten-free alternatives as part of a healthy lifestyle, even without medical necessity.

Key Benefits of Gluten-Free Foods and Beverages

Health Benefits: One of the primary reasons people opt for gluten-free products is the health benefits they offer. For individuals suffering from celiac disease, a strict gluten-free diet is crucial for avoiding adverse health reactions such as digestive problems, fatigue, and skin conditions. Even for those with gluten sensitivity, consuming gluten-free foods can help alleviate symptoms like bloating, headaches, and joint pain.
Weight Management: Many gluten-free foods are lower in calories and fat, making them a popular choice for individuals seeking to manage their weight. In addition, gluten-free foods tend to be more natural and less processed compared to their gluten-containing counterparts, which also supports a healthy diet.
Better Digestion: Gluten-free diets are often rich in fiber, which supports better digestion. With more people focusing on gut health, gluten-free foods can be a natural alternative that offers digestive relief.
Nutrient-Dense Options: Many gluten-free food brands are focusing on creating nutrient-dense products, including gluten-free grains like quinoa, rice, buckwheat, and oats. These products provide essential vitamins and minerals for a balanced diet.

Market Segmentation

The Australia gluten-free foods and beverages market can be segmented by product type, distribution channel, and region.

1. By Product Type:

Gluten-Free Snacks: Including items like chips, popcorn, nuts, and gluten-free cookies.
Gluten-Free Bakery Products: Bread, cakes, muffins, and other baked goods.
Gluten-Free Beverages: This segment includes fruit juices, dairy-free beverages, and specialty drinks like gluten-free beer.
Gluten-Free Pasta: Made from rice, corn, or gluten-free flour alternatives.
Gluten-Free Ready-to-Eat Meals: Pre-packaged meals made without gluten ingredients.
Others: Includes condiments, sauces, and baking ingredients.

2. By Distribution Channel:

Supermarkets Hypermarkets: These are the primary distribution channels for gluten-free foods and beverages in Australia, offering both local and international brands.
Online Retailers: E-commerce platforms have seen a significant increase in the sale of gluten-free products, offering convenience to consumers.
Specialty Stores: Health food stores and gluten-free specialty stores are also important distribution channels catering to the increasing demand for gluten-free options.
Convenience Stores: Smaller stores, including health-focused convenience outlets, contribute to sales growth, particularly for gluten-free snacks and beverages.

3. By Region:

New South Wales (NSW)
Victoria (VIC)
Queensland (QLD)
Western Australia (WA)
South Australia (SA)
Tasmania (TAS)
Australian Capital Territory (ACT)

Key Industry Developments

Several developments have taken place within the Australia gluten-free foods and beverages market that are shaping its growth. Some of these include:

Introduction of Innovative Products: Companies are constantly innovating new products to cater to the growing demand for gluten-free alternatives. For example, gluten-free plant-based protein snacks are gaining traction due to rising interest in plant-based diets.
Increased Retail Presence: Major supermarket chains in Australia, such as Woolworths, Coles, and IGA, are increasingly offering gluten-free products. This is making gluten-free food options more accessible to consumers.
Focus on Sustainability: Consumers in Australia are not only concerned with food quality but also with sustainability. Several gluten-free brands are now focusing on environmentally friendly packaging, organic ingredients, and sustainable sourcing practices.

Driving Factors of the Market

Rising Awareness of Gluten-Related Health Issues: With the growing number of diagnoses related to gluten intolerance, celiac disease, and gluten sensitivity, more consumers are opting for gluten-free products.
Health-Conscious Consumers: The shift toward healthier eating habits, fueled by an increasing focus on weight management and better digestion, has encouraged consumers to incorporate gluten-free foods into their diets.
Increased Availability of Gluten-Free Products: The availability of gluten-free options in mainstream supermarkets and through online channels has made it easier for consumers to access these products, driving market growth.
Expanding Product Variety: As the gluten-free food market continues to grow, the variety of gluten-free options has expanded, with a wide range of products now available to cater to all tastes and preferences.

COVID-19 Impact

The COVID-19 pandemic significantly affected the global food and beverage market, including the Australia gluten-free foods and beverages market. Initially, the pandemic led to supply chain disruptions, making it difficult for companies to maintain consistent product availability. However, the market also witnessed a surge in demand for healthier and more convenient food options, including gluten-free products.

Online retail sales grew during the pandemic, as consumers turned to e-commerce platforms to purchase gluten-free products. Moreover, the increased focus on immune health and better nutrition further boosted demand for gluten-free foods, which are perceived as healthier options.

Restraining Factors

While the gluten-free foods and beverages market in Australia is experiencing growth, there are several factors that could potentially restrain its expansion:

High Prices: Gluten-free products are often more expensive than their gluten-containing counterparts. The higher production costs associated with manufacturing gluten-free foods are passed on to consumers, which can make these products less accessible to price-sensitive individuals.
Limited Awareness in Rural Areas: While urban centers have witnessed increased awareness and demand for gluten-free products, rural areas may have limited access to such options. Distribution channels in remote regions may be less robust.
Cross-Contamination Risks: Even though many products are labeled gluten-free, there is a risk of cross-contamination during manufacturing or packaging, which could be a concern for individuals with severe gluten intolerance or celiac disease.

Major Key Players in the Market

Simply Good Foods USA, Inc.
Genius Foods
Two Bays Brewing Co.
Choices Gluten Wheat Free Pty Limited
Casalare Pty Ltd.
Yaffa's Kitchen Pty Ltd.
Deeks Health Foods
Not a Trace Pty Ltd.
Others

Opportunities in the Market

Rising Interest in Plant-Based Diets: The rise of plant-based diets presents a lucrative opportunity for companies to develop gluten-free products that are also vegan, dairy-free, or other dietary requirements.
Increasing Health Awareness: As consumers continue to place emphasis on their health, there will be growing opportunities to develop innovative gluten-free foods that cater to evolving health trends.
Expansion of Online Retail: The growth of e-commerce in Australia presents a significant opportunity for gluten-free brands to reach a wider audience and expand their customer base.

Challenges

Competition from Other Diet Trends: Gluten-free is just one of many dietary trends in the market today, such as keto, paleo, and low-carb diets. Companies must navigate these competing trends and develop distinct value propositions to stand out.
Ensuring Product Quality and Safety: Gluten-free food production involves stringent processes to ensure that cross-contamination does not occur. Maintaining the integrity of gluten-free products is a significant challenge for manufacturers.