Global UHT (Ultra-high Temperature) Milk Market: UTH Milk to Emerge as Potential Alternative Solution for Refrigeration Problems, finds TMR

The prevalence of price wars among leading companies has intensified the degree of competition in the UHT (ultra-high temperature) milk market, states Transparency Market Research (TMR) in a research report. As hypermarkets and supermarkets are the primary distribution channels for UHT milk products, inexpensive products are preferred over expensive ones, thus increasing the price war among the players. The competition is further expected to gain momentum over a period of time as several retail chains have started their own brands and developed small dairy processing units. The global UHT milk market is highly fragmented as a large number of players operate in the market. Some of the leading companies operating in the market are Nestle SA, Lactalis Group, Fonterra Co-operative Group Limited, Danone Group, Arla Foods, Sodiaal Group, and Bongrain SA.

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The global UHT milk market is projected to exhibit promising growth during the forecast period. In 2015, the market stood at US$83.1 bn and is expected to rise to a valuation of US$137.7 bn by the end of 2019.

High Preference of Semi-skimmed Milk to Broaden Scope for Growth

The global market for UHT milk is broadly segmented into three product categories on the basis of fat content. The segments are whole UHT milk, semi-skimmed UHT milk, and skimmed UHT milk. Whole UHT milk market is expected to witness strong growth owing to the increasing consumption in countries such as Brazil, China, Italy, and Germany. The market for semi-skimmed milk is being driven by rising health concerns in countries such as Belgium, France, Mexico, and the U.S.

Regionally, the global UHT milk market will witness a paradigm shift as Asia Pacific is expected to take over the leading position, replacing Europe by 2019. With Asia Pacific accounting for a share of approximately 42.0% by the end of the forecast period, Europe’s share is projected to slide down to 19.0% in 2019.

Burgeoning Influence of Western Culture to Escalate Demand for UHT Milk

“The rise in the expenditure capacity and growing disposable income of people in countries such as Pakistan, India, and China have enabled them to adopt a luxurious lifestyle,” says a TMR analyst. As a result of this, consumers in these countries have started adopting the imported variants of the products available in their respective countries. This has resulted in a shift towards packaged consumer food products. The trend of stocking up food for the future has increased the need for products with enhanced shelf life. For instance, out of the total milk consumed in China, 60% is UHT milk. Moreover, the emergence of private label companies with inexpensive products is also pushing customers towards packaged UHT milk products.

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However, the sales of UHT milk products are likely to face challenges due to the unorganized structure of the market. In countries such as China and India, the market is highly unorganized, thus experiencing high loss in terms of sales. Concerns over loss of nutritional value of UHT milk products during both processing and storage is further expected to negatively impact the demand for the product over the next couple of years.

This review is based on a Transparency Market Research report titled, “UHT Milk Market - Global Industry Analysis, Size, Share, Growth, Trends, and Forecast 2013–2019.”

Major geographies analyzed under this research report are:
Europe
North America
Asia-Pacific
Rest of the World

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This release was published on openPR.