Gluten-Free Oats Market By Product Type (Rolled Oats, Steel-Cut Oats, Instant Oats), By Flavor (Flavored, Unflavored), By Sales Channel (Supermarkets/Hypermarkets, Departmental Stores, Online, Others), By Region, By Competition Forecast & Opportunities, 2021-2031F

Forecast Period	2027-2031
Market Size (2025)	USD 294.71 Million
CAGR (2026-2031)	7.43%
Fastest Growing Segment	Online
Largest Market	North America
Market Size (2031)	USD 453.05 Million

Market Overview

The Global Gluten-Free Oats Market will grow from USD 294.71 Million in 2025 to USD 453.05 Million by 2031 at a 7.43% CAGR. Gluten-free oats are defined as oat grains cultivated and processed under stringent purity protocols to prevent cross-contamination with gluten-containing cereals such as wheat, barley, and rye. The global market is primarily propelled by the rising prevalence of celiac disease and gluten intolerance which necessitates strict dietary adherence for affected consumers. Furthermore, this expansion is supported by a growing demographic of health-conscious individuals voluntarily adopting free-from diets because they perceive them as beneficial for digestive wellness. These drivers act as foundational pillars for the industry and ensure sustained demand beyond temporary consumption fads.

Despite favorable conditions, the sector faces a significant impediment regarding the elevated retail pricing of certified products which often deters budget-conscious buyers. The rigorous supply chain management required to maintain gluten-free integrity adds substantial production costs that are ultimately passed down to the consumer. According to Coeliac UK, in 2024, gluten-free cereals were found to be 2.1 times more expensive than their gluten-containing counterparts. This price disparity remains a formidable challenge for market expansion as it potentially limits accessibility for a wider consumer base and restricts volume growth in price-sensitive regions.

Key Market Drivers

The surge in popularity of oat-based dairy alternatives acts as the primary catalyst for the global gluten-free oats market, shifting the grain into a premium ingredient category. As consumers prioritize allergen-safe plant milks, manufacturers are securing strict gluten-free supply chains to prevent cross-contamination and justify higher price points. This demand is evidenced by industry leaders; according to Oatly, October 2025, in the 'Third Quarter 2025 Financial Results', the company reported a revenue increase of 7.1% to $222.8 million compared to the prior year. To support such industrial requirements, agricultural output has adapted to ensure sufficient purity-protocol grain. According to the USDA Foreign Agricultural Service, September 2025, in the 'Canada In-Season Update', Canadian oat production for the 2025/26 marketing year was estimated at 3.5 million metric tons, a 5% increase from the previous year, ensuring stable raw material availability for processors.

Strategic product innovation in the gluten-free bakery sector further propels market expansion by moving consumption beyond traditional porridge bowls. Brands are aggressively launching gluten-free cookies, granola bars, and breads, utilizing oats to cater to health-conscious snacking trends. This diversification is directly driving retail performance; according to the Plant Based Foods Association, May 2025, in the '2024 Plant-Based Foods State of the Marketplace' report, sales of plant-based baked goods grew by 13% to reach $111 million. This trend confirms that value-added, convenience-oriented products allow manufacturers to mitigate price sensitivity issues, as consumers demonstrate a willingness to pay premiums for certified clean-label options that align with their dietary needs.

Download Free Sample Report

Key Market Challenges

The elevated retail pricing of certified products stands as a substantial barrier hampering the scalable growth of the Global Gluten-Free Oats Market. While health trends drive interest, the prohibitive cost structure restricts the product's transition from a niche medical necessity to a mass-market staple. The rigorous financial demands of maintaining a pure supply chain—including dedicated farming equipment, segregated processing facilities, and frequent laboratory testing—result in fixed production costs that manufacturers must pass on to buyers. This economic reality alienates a large segment of price-sensitive consumers who might otherwise adopt the diet for general wellness but cannot justify the premium expenditure, thereby stalling volume growth in broader demographics.

This cost disparity is statistically severe and actively deters potential market entrants. According to Celiac Canada, in 2024, gluten-free food products were reported to be 150% to 500% more expensive than their standard gluten-containing equivalents. Such a drastic markup limits the market’s total addressable audience, as budget-conscious households are often forced to forgo these specialized oat products in favor of more affordable conventional grains. Consequently, the industry struggles to maximize its revenue potential, as the high price point effectively caps consumption rates among casual adopters and lower-income groups.

Key Market Trends

The adoption of regenerative agriculture practices in oat cultivation has emerged as a critical trend, driven by the need to mitigate the environmental impact of intensive farming while securing a resilient supply of gluten-free grain. Major food conglomerates are moving beyond simple purity protocols to mandate farming techniques that enhance soil health, sequester carbon, and improve water biodiversity, directly appealing to the growing segment of eco-conscious consumers. This shift effectively differentiates brands in a crowded marketplace by aligning product safety with planetary stewardship. The scale of this industrial transition is significant; according to General Mills, April 2024, in the '2024 Global Responsibility Report', the company reported that it has engaged more than 500,000 acres in its regenerative agriculture programs, a strategic initiative that secures the long-term sustainability of its priority ingredients including oats.

Concurrently, the market is witnessing a proliferation of private label gluten-free oat offerings, a trend that directly counters the challenge of prohibitive pricing for branded specialty foods. Retailers are aggressively expanding their proprietary "own-brand" lines, leveraging their ability to optimize supply chains and offer certified gluten-free oat products at a lower price point than legacy manufacturers. This development democratizes access to safe grains for budget-sensitive households and forces national brands to innovate to maintain market share. The magnitude of this shift toward retailer-controlled value is reshaping the broader grocery landscape; according to the Private Label Manufacturers Association, April 2024, in the '2024 Private Label Report', annual store brand sales reached a record $236.3 billion, signaling a massive consumer migration toward private label options that is actively redefining competitiveness in the gluten-free sector.

Segmental Insights

The Online segment currently demonstrates the most rapid expansion within the Global Gluten-Free Oats Market. This growth is largely attributed to the convenience of digital platforms, which offer consumers access to a wider variety of specialized products often unavailable in traditional retail outlets. Shoppers increasingly rely on these channels to verify critical safety labels, such as those from the Gluten-Free Certification Organization, ensuring compliance with strict dietary requirements. Additionally, the ability to review detailed product formulations and source information directly from manufacturers fosters trust, further accelerating the shift toward internet-based purchasing for essential health-focused foods.

Regional Insights

North America maintains a leading position in the global gluten-free oats market, driven by rising consumer awareness of celiac disease and gluten intolerance. The region experiences high demand for health-conscious and free-from food alternatives, supporting steady industry growth. Additionally, stringent safety standards set by the U.S. Food and Drug Administration regarding gluten-free labeling provide necessary quality assurance, encouraging widespread adoption among safety-conscious buyers. The extensive availability of these products through established retail channels further solidifies North America’s status as the primary revenue generator in this sector.

Recent Developments

• In October 2024, Glebe Farm Foods entered into a strategic collaboration with the nut butter brand Pip & Nut to supply British-grown gluten-free oats for a new product range. Under this partnership, the company provided its 100% pure oats for use in Pip & Nut’s "Peanut Butter Stuffed Oat Bars," marking a significant entry into the on-the-go snacking category. The collaboration highlighted the importance of a secure, local supply chain, as the oats were grown, milled, and processed within a short radius to minimize carbon emissions. This deal demonstrated the versatility of the company's gluten-free ingredients beyond traditional beverage applications.
• In September 2024, Bay State Milling Company solidified its supply chain capabilities by acquiring full ownership of a dedicated gluten-free oat processing facility in Belgrade, Montana. This facility, which had previously operated under a partnership, was integral to the production of the company’s "SowNaked" brand of high-protein, hulless oats. The acquisition allowed the company to strictly control its "Purity Protocol" supply chain, ensuring that the oats met rigorous gluten-free standards of less than five parts per million. This investment was positioned to support the increasing industry demand for safe, traceable, and nutrient-dense gluten-free oat ingredients.
• In March 2024, Natura expanded its presence in the Canadian market by introducing a new line of organic and gluten-free oat beverages. The company launched three distinct flavors—Original, Vanilla, and Chocolate—made from 100% Canadian-grown organic oats. These beverages were distinguished by their certification from the Canadian Celiac Association, ensuring safety for consumers with gluten intolerances. The production process involved cooking whole oats without using concentrates or isolates, aiming to provide a minimally processed alternative to dairy. This strategic move addressed the growing consumer demand for verified gluten-free plant-based options in the retail sector.
• In January 2024, Oatly Group AB announced the nationwide launch of two new beverage innovations in the United States, marking a significant expansion of its gluten-free product portfolio. The company introduced "Unsweetened Oatmilk" and "Super Basic Oatmilk," both of which were manufactured to be free from the nine major allergens and were Certified Gluten Free. These new offerings were designed to cater to consumers seeking cleaner ingredient labels and lower sugar options without compromising on texture. The launch utilized the company’s proprietary oat base to deliver specific nutritional profiles, reinforcing its position in the competitive plant-based beverage market.

Key Market Players

• Bob's Red Mill
• Nature's Path
• Quaker Oats
• Freedom Foods Group
• Bakery On Main
• Purely Elizabeth
• General Mills
• Glutenfreeda Foods
• Thrive Market
• Trader Joe's

By Product Type	By Flavor	By Sales Channel	By Region
Rolled Oats Steel-Cut Oats Instant Oats	Flavored Unflavored	Supermarkets/Hypermarkets Departmental Stores Online Others	North America Europe Asia Pacific South America Middle East & Africa

Report Scope:

In this report, the Global Gluten-Free Oats Market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:

• Gluten-Free Oats Market, By Product Type:

• Rolled Oats
• Steel-Cut Oats
• Instant Oats

• Gluten-Free Oats Market, By Flavor:

• Flavored
• Unflavored

• Gluten-Free Oats Market, By Sales Channel:

• Supermarkets/Hypermarkets
• Departmental Stores
• Online
• Others

• Gluten-Free Oats Market, By Region:

• North America
• United States
• Canada
• Mexico
• Europe
• France
• United Kingdom
• Italy
• Germany
• Spain
• Asia Pacific
• China
• India
• Japan
• Australia
• South Korea
• South America
• Brazil
• Argentina
• Colombia
• Middle East & Africa
• South Africa
• Saudi Arabia
• UAE