The global dairy ingredient market was worth around USD 63281.50 million in 2021 and is estimated to grow to about USD 95502.25 million by 2028, with a compound annual growth rate (CAGR) of approximately 7.1 percent over the forecast period.
The global dairy ingredient market was worth around USD 63281.50 million in 2021 and is estimated to grow to about USD 95502.25 million by 2028, with a compound annual growth rate (CAGR) of approximately 7.1 percent over the forecast period. The report analyzes the Dairy Ingredient market’s drivers, restraints/challenges, and the effect they have on the demands during the projection period. In addition, the report explores emerging opportunities in the Dairy Ingredient market.
Dairy Ingredient Market: Overview
The dairy ingredients market is anticipated to see good growth over the forecast period owing to the rise in consumption of dairy ingredients and this is expected to be a major trend driving market potential over the forecast period. Increasing focus on health and fitness is also expected to boost the Dairy Ingredient market growth over the forecast period.
Rising population, increasing consumption of Dairy Ingredient, and increasing demand for Dairy Ingredient in multiple food sectors are other factors that will influence the Dairy Ingredient market potential in the long run. However, the increasing popularity of veganism and the presence of plant based alternatives are expected to have a major restraining effect on the Dairy Ingredient market potential through the forecast period.
In 2020, the Dairy Ingredient market was adversely impacted. As coronavirus infections across the world increased rapidly and lockdowns were imposed to control them, business and trade activity saw a major decline and this resulted in losses for Dairy Ingredient companies.
Lapses in logistics shortage of raw materials, restricted manufacturing activity, and closure of sales and distribution channels were some prime aspects that led to the downfall of the global Dairy Ingredient market growth. A major drop in sales was also recorded due to heavy restrictions on imports and export to prevent the spread of the virus
The Dairy Ingredient market is expected to an increase in demand in the post-pandemic era as restrictions are lifted and the world returns to a normal operational procedure. An increase in demand will be observed over the forecast period by the growing population.
Dairy Ingredient Market: Growth Drivers
Increasing Health Awareness
The global population has become more aware of their health than ever before in wake of the rising prevalence of chronic diseases and increasing popularity of preventive healthcare on a global scale and this is expected to drive the Dairy Ingredient market growth as dairy ingredients comprise some of the most common nutrition required for a healthy and balanced diet across the world. High demand for protein based foods will be a major trend that will further bolster the Dairy Ingredient market potential over the forecast period.
Dairy Ingredient Market: Restraints
The emergence of Alternatives and veganism
Dairy Ingredients are mostly animal derived but the vegetarian population has announced a war against these products and asking for cruelty free products that are purely plat derived and this is expected to hamper the Dairy Ingredient market potential through 2028. The increasing popularity of veganism is also expected to have a major hindering effect on the Dairy Ingredient market. Rising research and development for plant based protein and increasing availability of plant based products will also result in drop of sales for Dairy Ingredient through 2028.
|Historic Years||2016 - 2020|
|Forecast Years||2021 - 2028|
|Segments Covered||By Product Type, By Application, and By End Use|
|Forecast Units||Value (USD Billion), and Volume (Units)|
|Quantitative Units||Revenue in USD million/billion and CAGR from 2021 to 2028|
|Regions Covered||North America, Europe, Asia Pacific, Latin America, and Middle East & Africa, and Rest of World|
|Countries Covered||U.S., Canada, Mexico, U.K., Germany, France, Italy, Spain, China, India, Japan, South Korea, Brazil, Argentina, GCC Countries, and South Africa, among others|
|Number of Companies Covered||10 companies with scope for including additional 15 companies upon request|
|Report Coverage||Market growth drivers, restraints, opportunities, Porter’s five forces analysis, PEST analysis, value chain analysis, regulatory landscape, market attractiveness analysis by segments and region, company market share analysis, and COVID-19 impact analysis.|
|Customization Scope||Avail customized purchase options to meet your exact research needs.|
Global Dairy Ingredient Market: Segmentation
The global Dairy Ingredient market is segregated based on type, source, application, and region.
By Application, the Dairy Ingredient market is segmented into Pediatric, Sports Nutrition, Medical Nutrition, Functional Food, Bakery, Confectionery, Dairy, Animal Feed, and Others. The bakery and confectionery segment is projected to hold a dominant outlook over the forecast period as the use of dairy ingredients in this application increases. Increasing use of skimmed milk and dried milk in this application is expected to propel the Dairy Ingredient market growth over the forecast period.
The market for Dairy Ingredient in the Asia Pacific region is projected to exhibit growth at the fastest CAGR through 2028. The increasing consumption of dairy products by the rising population in nations of China, India, and Indonesia is expected to be a major factor propelling the Dairy Ingredient market growth in this region. Increasing health awareness and the rising availability of Dairy Ingredient are also expected to shape the market potential in this region. The increasing popularity of fitness trends and rising demand for protein and protein based foods are also expected to be prominent trends driving the Dairy Ingredient market growth in this region.
Europe and North America are also expected to see high demand for Dairy Ingredient and the Dairy Ingredient manufacturers are projected to have lucrative opportunities in these regions over the forecast period. However, rising veganism in these regions is expected to restrain the market from growing at its full potential.
Some of the main competitors dominating the global Dairy Ingredient market include – Nestle S.A., Fonterra Cooperative Group, Royal FrieslandCampina N.V., Arla Foods, Lactalis Group, Dairy Farmers of America Inc., Agropur Cooperative, Schreiber Foods Inc., Savencia S.A., Glanbia PLC., Gujarat Cooperative Milk Marketing Federation Ltd. (AMUL), Meiji Holdings Co., Ltd., Mengniu Dairy Co., Ltd., Megmilk Snow Brand Co., Ltd., Yili China, Saputo Inc., Kraft Heinz Company, Agropur Inc, Morinaga Milk Co., Ltd.
Global Dairy Ingredient market is segmented as follows:
Milk is an important food product and has various nutrients, which includes proteins, minerals, glucids, and materials. Milk has a wide application in the food & beverages industry. Dairy ingredients are made up from milk and are used in making of a variety of food products like ice-creams, desserts, chocolate, clinical nutrition, ready-to-eat, soups, pork meat, sports food, and bakery snacks. Moreover, a variety of milk ingredients are available in the market such as milk powder that is prepared by an evaporation process. This dry powder can be conserved for a longer duration than milk. Milk powder doesn’t require any refrigeration owing to its physical characteristics such as low moisture. Milk ingredients are also used in the dairy, bakery & confectionery, sports & clinical nutrition, and convenience foods.
The market for global dairy ingredients is primarily driven by the rising health & wellness concerns among people and raising awareness of nutraceutical food products are one of the key factors for the market growth. Furthermore, the demand for dairy ingredients is increasing due to its wide application in the food & beverage industry. In addition, increasing sports activities and high demand for milk protein isolates & its concentrates are also a major driving factor boosting the global dairy ingredient market growth during the forecast period. However, the presence of alternatives like plant proteins and rising intolerance of lactose & milk allergies among the population is a growth barrier of the market.
The global dairy ingredient market is divided on the basis of type, source, and application. Based on the type, the market is segmented into milk powder, lactose & its derivatives, milk protein isolates, whey ingredients, milk protein concentrates, milk protein hydrolysates, casein & caseinates, and others. Among which, milk powder segment accounted for the largest market share and is expected to attain the largest market share in terms of value during the forecast period. This growth is attributed to its increased shelf life owing to the less moisture content in milk powder. By source, the market is categorized into milk and whey. Among which, milk is projected to attain significant market share over the forecast period.
Based on application, the market is divided into convenience foods, sports & clinical nutrition, bakery & confectionery sources, infant milk formula, and dairy sources. Among which, sports & clinical nutrition segment is expected to attain the largest market share during the forecast period. Growing importance of healthy lifestyle and weight management among people is a key driving factor for the market growth.
By geography, the global dairy ingredient market finds its market scope in Europe, North America, Latin America, Asia Pacific, and the Middle East & Africa. The Asia Pacific is the fastest growing region in the market owing to the facts such as rising disposable income of the population in emerging markets including China, India, Bangladesh, Thailand, Malaysia, and Indonesia.
The report also includes detailed profiles of key players such as Dairy Ingredients Inc., Fonterra Cooperative Group Limited, Friesland Campina, Dairy Farmers of America, Aurivo Dairy Ingredients, Glanbia Plc, and Arla Foods. The detailed description of players includes parameters such as company overview, financial overview, business strategies, and recent developments of the company.
Increasing consumption of Dairy Ingredient and rising focus on health and fitness are some major trends that guide Dairy Ingredient market growth.
According to the Market Research report, the global Dairy Ingredient market was worth about US$ 63281.50 million in 2021 and is predicted to grow to around US$ 95502.25 million by 2028, with a compound annual growth rate (CAGR) of around 7.1 percent.
The market for Dairy Ingredient in the Asia Pacific region is projected to exhibit growth at the fastest CAGR through 2028. The increasing consumption of dairy products by the rising population a major trend.
Some of the main competitors dominating the global Dairy Ingredient market include -- Nestle S.A., Fonterra Cooperative Group, Royal FrieslandCampina N.V., Arla Foods, Lactalis Group, Dairy Farmers of America Inc., Agropur Cooperative, Schreiber Foods Inc., Savencia S.A., Glanbia PLC., Gujarat Cooperative Milk Marketing Federation Ltd. (AMUL), Meiji Holdings Co., Ltd., Mengniu Dairy Co., Ltd., Megmilk Snow Brand Co., Ltd., Yili China, Saputo Inc., Kraft Heinz Company, Agropur Inc, Morinaga Milk Co., Ltd.