How wellness upstarts spoiled milk’s healthy reputation – and built a billion-dollar industry from juicing oats and nuts.
By Oliver Franklin-Wallis
In the spring of 2018, New York was gripped by a sudden, very particular and, for some, calamitous food shortage. Gaps appeared on grocery shelves. Coffee shops put out signs, turning customers away. Twitter and Instagram brimmed with outrage. The truly desperate searched from Williamsburg to Harlem, but it seemed undeniable: New York was out of oat milk.
It wasn’t just New York, in fact. The entire US was suffering from a shortage of Oatly, a Swedish plant milk whose rapid rise from obscure digestive health brand to the dairy alternative of choice had caught even Oatly by surprise. Since its US launch in 2016, Oatly had gone from supplying a handful of upscale New York coffee shops to more than 3,000 cafes and grocery stores nationwide. The company had ramped up production by 1,250%, but when I spoke to CEO Toni Petersson in late summer, they were still struggling to meet demand. “How do we supply when the growth is this crazy?” Petersson said.
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