Ghee Market Projected to Grow to US$ 77.9 Bn by 2032 - Persistence Market Research

Ghee, a clarified form of butter traditionally used in South Asian and Middle Eastern cuisines, has seen a remarkable global resurgence in recent years. Once confined to the kitchens of India and neighboring countries, ghee has gained traction across Europe, North America, and Oceania due to increasing awareness of its nutritional profile and functional versatility. According to industry estimates, the global ghee market is expected to grow from US$ 51.2 billion in 2025 to US$ 77.9 billion by 2032, reflecting a compound annual growth rate (CAGR) of 6.2% during the forecast period.

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One of the primary growth drivers of the ghee market is the rising adoption of traditional and functional foods influenced by Ayurvedic practices and high-performance nutrition trends such as and Paleo diets. Cow milk ghee remains the dominant source, accounting for nearly 53.6% of the market in 2025, while South Asia and Oceania are projected to hold a market share of 24.8% due to cultural and religious reliance on ghee in India.

Key Highlights from the Report

➤ Cow milk ghee will command a 53.6% market share in 2025 due to immunity-boosting qualities.
➤ South Asia and Oceania to contribute 24.8% to global revenues in 2025, led by cultural significance in India.
➤ North America to register a CAGR of 6.7%, fueled by demand for healthy butter alternatives.
➤ Conventional ghee to retain a 68.4% share, driven by natural product preferences.
➤ The COVID-19 pandemic accelerated ghee sales as consumers sought immunity-boosting foods.
➤ Online delivery and cloud kitchens focusing on ghee-based dishes are emerging globally.

Market Segmentation

The ghee market is segmented by source, nature, variety, end-use application, and distribution channel. By source, cow milk ghee leads due to its digestion and immunity-enhancing properties, followed by buffalo milk ghee, valued for its rich vitamin content. In terms of nature, the conventional segment dominates, although organic ghee is gaining traction among health-focused consumers. Varieties such as A2, cultured, and flavored ghee are increasingly popular in premium and gourmet markets. Key applications include the food processing industry, foodservice sector, and household cooking, while distribution spans B2B, supermarkets, convenience stores, specialty retailers, and online platforms.

Regional Insights

South Asia and Oceania
South Asia and Oceania, particularly India, continue to drive significant demand for ghee, bolstered by its role in daily cuisine, religious rituals, and festive events. With deep cultural roots and a long-standing culinary presence, ghee remains a staple in both rural and urban Indian households.

North America
North America is experiencing robust growth, especially in the United States, where health-conscious consumers are replacing conventional fats with ghee. The increasing popularity of clean-label, organic, and grass-fed ghee aligns with evolving dietary trends. Infused and flavored ghee is gaining a foothold in gourmet kitchens.

Middle East and Africa
In the Middle East and Africa, ghee is used extensively in regional dishes. Variants such as Iran's Kermanshah ghee and Ethiopia's Niter Kibbeh add traditional appeal. Ghee's nutritional value and versatility are making it a favored choice for both cooking and ceremonial purposes in these regions.

Market Drivers

The resurgence of interest in traditional ethnic cuisines, paired with a shift toward natural and unprocessed foods, is a major driver of the ghee market. Restaurants and households alike are adopting ghee for its distinct flavor, high smoke point, and health benefits. Demand for authentic Indian and Middle Eastern dishes is increasing globally, prompting greater usage of ghee in food preparations.

Market Restraints

Despite its benefits, the high price point of ghee compared to commonly used vegetable oils like sunflower or canola presents a challenge in price-sensitive markets. Premium variants such as A2 or organic ghee further increase the cost, limiting access for lower-income consumers.

Market Opportunities

The growing demand for clean-label and ethical food products is paving the way for organic and grass-fed ghee. Manufacturers can leverage this trend by obtaining certifications and ensuring transparent supply chains. These efforts are likely to attract environmentally and health-conscious buyers, especially in developed markets.

Reasons to Buy the Report

✔ In-depth market forecasts and trend analysis up to 2032
✔ Detailed segmentation insights for strategic decision-making
✔ Competitive landscape with key player profiling
✔ Comprehensive regional performance evaluations
✔ Insights into emerging opportunities in organic and flavored ghee segments

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Company Insights

• GCMMF (Amul)
• Patanjali Ayurved Limited
• Britannia Industries
• Saputo
• Heritage Foods Limited
• ITC Limited
• Verka
• RKG
• Paras
• Simple Truth Organic
• Aadvik Foods
• Ancient Organics
• 4th & Heart
• Anveshan Farm Technologies Pvt. Ltd.
• Sri Sri Tattva

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