U.S. Cheese Market Is Thriving including key players Arla Foods, Bel Group, Fonterra Food, Kraft Heinz, Lactalis Group, Savencia SA, Almarai, Associated Milk Producers

Surge in the demand for fast food coupled with growth of the quick service restaurants (QSRs) and expansion of the European food culture significantly influence the rate of cheese consumption in the U.S.

According to a new report published by Allied Market Research, titled, U.S. Cheese Market by Source, Type, Product, Distribution Channel and Label Type: Opportunity Analysis and Industry Forecast, 2017-2025, the U.S. cheese market size was valued at $32,291 million in 2017, and is projected to reach $40,467 million by 2025, growing at a CAGR of 2.8% from 2018 to 2025.

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Cheese is a popular dairy product consumed in the U.S. for its enticing taste and nutritional benefits. Cheese has varying flavor with different taste depending on the source of milk, aging time, production process, and cheese making technique. Increase in fast food consumption and awareness among people about the health benefits of cheese increases the demand for cheese products. In addition, growth in popularity of European food culture in the U.S. majorly drive the growth of the cheese market. Immigrants have the habit of carrying their culture wherever they migrate. This has a significant impact on the modern food culture of U.S. For instance, pasta and pizza are now very common food found in U.S. Major raw material used in the production of cheese is milk. Other raw material is the rennet, which is an enzyme that turns milk into curd. Advancement in technologies and innovation in the cheese industry leads to rise in curing time of cheese owing to the increase in demand. Technological advancement helps in the enhancement of flavor, quality and shelf life of cheese.

International Organization for Standardization (ISO), Food and Drug Administration (FDA), International Dairy Foods Association, and World Health Organization (WHO), are some of the regulatory authorities present in the U.S. cheese market. Growth in health consciousness of people due to cheese consumption, perishability nature of cheese, and lack of proper storage facility are some of the restrains that hamper the growth of the cheese market. Low-fat and low cholesterol cheese are manufactured to cater to the demand of health-conscious people, thus boosting the cheese market in the U.S.

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Based on product, the market is segmented into mozzarella, cheddar, feta, parmesan, Roquefort, and others. Others include Camembert, Ricotta, and Brie. In 2017, cheddar cheese experienced the highest growth rate, the cheddar cheese market share is valued to be more than one-third of the U.S. cheese market in terms of volume, owing to its great taste and veracity of the use of the cheddar cheese. Surge in the consumption of fast food have notably impacted the consumption pattern of cheddar cheese as it is widely used in numerous cuisines for its distinct flavor.

Key Findings of the U.S. Cheese Market:

• The cheddar cheese market is expected to grow at the high CAGR of 3.7%, in terms of revenue, during the forecast period.

• The hypermarket and food specialty stores segments are anticipated to be the fastest developing B2C distribution channels, in terms of value, growing at a CAGR of 2.7% & 3.7% respectively, from 2018 to 2025.

• Private label companies are expected to witness the highest growth rate at a CAGR of 3.1% in terms of value.

• The cow milk segment as a source occupied more than four-fifths share in the U.S. cheese market in 2017 in terms of value and is anticipated to witness CAGR of 2.9% during the forecast period.

• The fast food outlets in the B2B distribution channel holds a dominant position in the U.S. cheese market in 2017 and is anticipated to witness CAGR of 2.8% during the forecast period, in terms of value.

The major companies profiled in this report are Arla Foods, Bel Group, Fonterra Food, Kraft Heinz, Lactalis Group, Savencia SA, Almarai, Associated Milk Producers, Saputo, and Cady Cheese Factory.

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