Dairy Ingredient Market: Global Industry Analysis and Forecast (2024-2030) by Type, Application, and Region

Dairy Ingredient Market Definition:

Dairy ingredients are mostly taken from milk, and whey is used to manufacture a wide range of goods. These components provide food with nutritional and health benefits, as well as flavour and other features. Traditional heat treatment procedures, as well as membrane separation techniques, are used to make dairy products, as well as to chill and taste them. Dairy components are included in a variety of dishes. They have a distinct taste, a pleasing texture, and a high nutritional value. Dairy Ingredient Market report is come up with the PESTLE analysis, PORTER's five force analysis and segment analysis on the basis of type, application and region.

Dairy goods, sometimes known as milk products, are foods manufactured from milk. The cow, water buffalo, nanny goat, sheep, and camel are the most prevalent dairy animals. Dairy goods include yoghurt, cheese, and butter, which are common grocery store foods in the Western world.

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Dairy Ingredient Market Dynamics:

The market for dairy ingredients is growing due to the rising population and nutritionally conscious customers:

The Population Reference Bureau (PRB) predicts that the world human population will increase by 75 million people per year or 1.1% per year. With this, the global population is predicted to reach 9.9 billion in 2050, up 33% from the estimated 7.4 billion in 2017 however, the number of elderly people is expected to double by 2050. The demand for food products is predicted to rise as the world's population grows. Food demand is anticipated to rise by 59 to 98% by 2050, according to a Harvard Business Review analysis. The rising frequency of diseases in the population and the growing senior population are pushing the demand for nutritious meals. This nutritional awareness among peoples is driving the growth of the dairy ingredient market.

The availability of alternatives such as vegetable proteins is impeding the market's expansion:

HVP (hydrolyzed vegetable protein) is a form of process flavouring that has been used to give food goods a meaty flavour for many years. When a protein is hydrolyzed, it produces a lot of free glutamic acid. Acid or enzyme-hydrolyzed vegetable protein is the two forms of HVP that can be produced. The former employs hydrochloric acid and temperatures ranging from 100 to 130 degrees Celsius. These components are regarded to be high in vegetable protein and can be used as a dairy substitute. These major factors are hampering the growth of the dairy ingredient market.

Increasing public awareness of healthy food is creating a huge opportunity for the market:

The dairy components market is expected to benefit from the growing importance of nutritional enrichment in meals and beverages as people become more conscious of the need of living a healthy lifestyle. The dairy ingredients business is also being fuelled by regulatory assistance from the US FDA and the UK government, which is aimed at incorporating proteins into foods and beverages. The rise in consumer disposable income, combined with an increased willingness to pay a higher price for food goods that provide various health benefits, is a major opportunity in the dairy ingredient market.

The Dairy Ingredient market faces a huge challenge as a result of technological progress:

Milk is no longer considered as the raw material, but rather than its elements, due to technical advancements changes in consumer demand the dairy common policy and environmental issues is growing rapidly. Butter and milk powder, which are bulk items, are suffering from a deteriorating competitive position. This technological advancement creates a major challenge to the dairy ingredient market.

Dairy Ingredient Market Segment Analysis:

By Type, the market is segmented as Milk Powder, Whey Ingredients, Milk Protein Isolates, Milk Protein Hydrolysates and Others. The Milk Powder segment dominated the dairy ingredient market with a 39.2% share in 2020. Dairy ingredients include milk powder, proteins, milk fat concentrates, lactose and its derivatives, and other types. Milk powder, which is a direct alternative for fluid milk and hence employed in a variety of applications such as bread, dairy, and newborn nutrition, accounted for the greatest proportion of these types in 2020. The Hotel Restaurant Catering industry relies heavily on skimmed milk powder. The dairy industry has been plagued by a noticeable drop in sales and stockpiling of unsold milk powder which is driving the growth of this segment.

However, The Whey Ingredients segment is expected to grow at a CAGR of 4.3% through the forecast period. Whey is one of the two major high-quality proteins produced naturally in cow's milk and is found in dairy. Whey protein is derived from the production of cheese. After that, the whey protein is pasteurised and dried so that it may be utilised in drink mixes, protein bars, and other foods. Whey protein is a safe protein that may be consumed by a wide range of people. Those with lactose bigotry may practice digestive issues, and those responsive to cow's milk may also be sensitive to it.

By Application, the market is segmented as Dairy Products, Convenience Foods, Bakery & Confectionery, Infant milk Formula and Others. The Bakery & Confectionary segment dominated the dairy ingredient market with a 45.2% share in 2020. The substantial share of this category can be attributable to factors including increased per capita consumption of bakery and confectionery products, as well as rising adoption of sugar-free, healthy, and functional ingredient-based bakery products around the world. Bakery items are consumed widely by people of all ages due to their public taste, colour, and easily digestible nature, and global appetite continues to expand with emerging novel bakery and confectionery products. Furthermore, the bakery market is expected to rise due to the rising demand for trendy fruit snacks, sweet biscuits, and snack bars made with fewer additives and natural ingredients.

However, The Dairy Products segment is expected to grow at a CAGR of 3.3% through the forecast period. Dairy goods, sometimes known as milk products, are foods manufactured from milk. The cow, water buffalo, nanny goat, sheep, and camel are the most prevalent dairy animals. Dairy goods include yoghurt, cheese, and butter, which are common grocery store foods in the Western world. A dairy is a facility that produces dairy products.

Dairy Ingredient Market Regional Insights:

The Asia Pacific region dominated the market with a 42.2% share in 2020. The Asia Pacific region is the world's largest market for dairy ingredients, and it is predicted to develop at the highest rate of any region. The need for dairy components is being driven by a rise in health consciousness, which has pushed the market for functional and fortified foods. Dairy components have been used in food products for a long time because they have a wide range of functional and nutritional features, such as providing richness, texture, flavour, and colour. Infant formulae and sports drinks contain ingredients such as milk powder. As the region's millennial population grows so will the demand for such foods and beverages. Thus due to these factors this region is witnessing immense growth in the dairy ingredient market.

The objective of the report is to present a comprehensive analysis of the Global Dairy Ingredient market to the stakeholders in the industry. The report provides trends that are most dominant in the Global Dairy Ingredient market and how these trends will influence new business investments and market development throughout the forecast period. The report also aids in the comprehension of the global market dynamics and competitive structure of the market by analyzing market leaders, market followers, and regional players.

The qualitative and quantitative data provided in the Global Dairy Ingredient market report is to help understand which market segments, regions are expected to grow at higher rates, factors affecting the market, and key opportunity areas, which will drive the industry and market growth through the forecast period. The report also includes the competitive landscape of key players in the industry along with their recent developments in the Global Dairy Ingredient market. The report studies factors such as company size, market share, market growth, revenue, production volume, and profits of the key players in the global market.

The report provides Porter's Five Force Model, which helps in designing the business strategies in the market. The report helps in identifying how many rivals are existing, who they are, and how their product quality is in the Global Dairy Ingredient market. The report also analyses if the Global Dairy Ingredient market is easy for a new player to gain a foothold in the market, do they enter or exit the market regularly if the market is dominated by a few Players, etc.

The report also includes a PESTEL Analysis, which aids in the development of company strategies. Political variables help in figuring out how much a government can influence the Global Dairy Ingredient market. Economic variables aid in the analysis of economic performance drivers that have an impact on the Global Dairy Ingredient market. Understanding the impact of the surrounding environment and the influence of environmental concerns on the global market is aided by legal factors.

Dairy Ingredient Market Scope:

Dairy Ingredient Market Key Players:

• FrieslandCampina (The Netherlands)
• Groupe Lactalis (France)
• Arla Foods (Denmark)
• Saputo (Canada)
• Fonterra Co-operative Group (New Zealand)
• Dairy Farmers of America (US)
• Kerry Group (Ireland)
• Ornua (Ireland)
• AMCO Proteins (US)
• Prolactal (Austria)
• Valio (Finland)
• Glanbia (Ireland)
• Hoogwegt Group (The Netherlands)
• Batory Foods (USA)
• Ingredia SA (France)
• Agropur (Canada)
• Euroserum (France).