MALMO, SWEDEN — Oatly Group AB is expanding its plant-based product lineup with the launch of Oatly Creamy Oat Spread, a cream cheese alternative.

Formulated from Oatly’s proprietary oat base, the dairy-free, gluten-free and non-GMO cream cheese will be available in two flavors: plain and chive and onion. The product will be sold in 8-oz units and is expected to roll out to retailers nationwide in the latter half of 2023.

“For decades, we’ve focused on the power of oats and the magic that happens when you unlock their potential,” said Leah Hoxie, senior vice president of innovation for Oatly North America. “With this new cream cheese, our US R&D team spent over a year focused on bringing to market a truly great-tasting and performing plant-based option that mimics dairy cream cheese in all the best ways possible, minus the dairy.”

The cream cheese marks Oatly’s first product launch since the company began an offensive strategy after resolving the majority of its supply chain issues earlier this year.

“Oatly has always been at the forefront of providing delicious plant-based alternatives and this new product is no different,” said Mike Messersmith, president of Oatly North America. “We’re extremely excited about the launch of our new cream cheese in the US, as it not only expands our mission to bring more plant-based consumption occasions to consumers, but also continues to prove the versatility and opportunity for oat-based products.”