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Lactose-Free Dairy Market Growth Influenced by Health Awareness and Product Innovation
A Renewed Look at the Market Size and Growth Rate of The Global Lactose-Free Dairy Market• The lactose-free dairy market size has demonstrated strong growth in recent years. It increased from $12.87 billion in 2024 to $13.98 billion in 2025, marking a compound annual growth rate (CAGR) of 8.6%.
• Significant factors for the market's historic period growth were health awareness, a rise in lactose intolerance incidents, product innovation, marketing and education campaigns, and retail expansion.
• The market is expected to continue its robust growth, projected to reach $19.37 billion in 2029 with a CAGR of 8.5%.
• The forecast period growth will be influenced by increasing health awareness, continued rise in lactose intolerance, expanding product offerings, technological advancements in production, evolving taste and texture improvement.
What Is Driving The Growth of The Lactose-Free Dairy Market?
The growth of the lactose-free dairy market going forward is expected to be propelled by a rise in the consumption of organic food and beverages. Organic foods are harvested using organic farming methods, which avoid chemicals or human-made chemicals. As such, Lactose-free foods produced organically are favoured by consumers. According to an article published by Food Engineering in October 2023, consumer spending on food and beverage products in the United States is projected to reach $1.77 trillion by the end of 2024. This represents a 3.6% increase from the previous year when 60% of consumers were willing to pay more for products made with familiar ingredients and sustainable practices.
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Who Are The Key Players Driving Lactose-Free Dairy Market Growth?
The major companies operating in the lactose-free dairy market include:
• Dairy Farmers of America Inc.
• General Mills Inc.
• Lifeway Foods Inc.
• Nestle SA
• Saputo Inc.
• Organic Valley
• Prairie Farms Dairy Inc.
• Omira GmbH
• Hiland Dairy Foods
• Meggle Group
• Murray Goulburn Co-Operative Co Ltd.
• Arla Foods AMBA
• Valio Ltd.
What Are The Key Trends In The Lactose-Free Dairy Market?
Key trends in the forecast period include:
• Health consciousness
• Rise in vegan and plant-based diets
• Product innovation
• Marketing and education
• Retail expansion.
What Are The Segments of The Global Lactose-Free Dairy Market?
• By Type: Milk, Cheese, Yogurt, Other Types
• By Form: Solid, Liquid, Powder
• By Distribution Channel: Hypermarkets or Supermarkets, Convenience Stores, Online Channels, Other Distribution Channels
Which Region Leads The Lactose-Free Dairy Market?
Europe was the largest region in the lactose-free dairy market in 2024. Other regions covered in the lactose-free dairy market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, the Middle East, and Africa.
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What Is Covered In The Lactose-Free Dairy Market Global Market Report?
This report provides an analysis of the lactose-free dairy market size by key regions, countries, product types, and applications.
It identifies various subsegments within the lactose-free dairy market for effective categorization, key players to define their market value, share, and competitive landscape, individual growth trends and prospects in the market, contributions of different segments to the overall lactose-free dairy market growth, key factors influencing market growth including opportunities and drivers, challenges and risks affecting the lactose-free dairy market, and competitive developments such as expansions, agreements, and new product launches in the market.
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