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Surging Demand Propels Growth In The Dairy Products Market: Critical Driver Shaping the Dairy Products Market in 2025
Dairy Products
Dairy Products Market Size Valuation Forecast: What Will the Market Be Worth by 2025?
The market size for dairy products has been progressively expanding in the past few years. It is predicted to escalate from a market value of $524.15 billion in 2024 to a value of $548.57 billion in 2025, with a Compound Annual Growth Rate (CAGR) of 4.7%. Factors such as urbanization and evolving lifestyles, an increase in disposable income, surges in population and demographic changes, innovations in product line-ups, and the liberalization of trade are among the primary drivers of the growth experienced during the historical period.
Dairy Products Market Size Forecast: What's the Projected Valuation by 2029?
The market size of dairy products is projected to experience consistent expansion in the ensuing years. By 2029, the market is estimated to rocket to $657.27 billion, with a compound annual growth rate (CAGR) of 4.6%. The growth during this forecasted period is attributable to factors such as cultural variety and acceptance, global business and market enlargement, health and nutrition inclinations, progression of plant-based alternatives, and premium and specialty propositions. Significant trends during this forecasted period comprise cultural choices and diversity, nutritional consciousness, clear labeling and transparency, globalization and international markets, convenience, and snacking.
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What Are the Drivers Transforming the Dairy Products Market?
The increasing popularity of cheese is projected to fuel the advancement of the dairy products market in the future. Cheese is a dairy item produced from the curd of soured milk that, when pressed together and allowed to mature, forms a soft or hard mass. It is typically composed of clotted, compacted milk and commonly aged curd. Cheese is created by separating milk from whey and pressing mature curds, a process leading to growing cheese demand and, in turn, market enhancement. For example, the US-based Chese Reporter, specializing in cheese and its associated products, reported in November 2023 that US cheese manufacture reached 1.15 billion pounds in 2023, marking a slight growth of 0.1% compared to September 2022. Cheese production in the first nine months of 2023 amounted to 10.55 billion pounds, denoting a 0.2% increase from the same timeframe in 2022. This pattern shows a consistent rise in cheese production amidst various market fluctuations, signifying the escalating demand for cheese as a driving force behind the dairy products market.
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What Long-Term Trends Will Define the Future of the Dairy Products Market?
There is a growing trend in the dairy products market of product innovations, particularly from prominent companies looking to solidify their market presence. A prime example of this occurred in July 2022 when Danone SA, a multi-local food and beverage company from France, introduced Aptamil. This product is the first of its kind in the industry, being a baby formula that incorporates both dairy and plant elements. The formula includes a combination of dairy and plant blend recipe with 60% plant protein and 40% dairy protein. Notably, the chosen plant proteins, fats, and fibers utilized in the blend result in a carbon footprint that's 30% lower because they are packed in recyclable materials and support regenerative farming practices. Aptamil offers an ideal solution for those following vegetarian or plant-based diets, while also covering all of a baby's nutritional needs.
Which Segments in the Dairy Products Market Offer the Most Profit Potential?
The dairy products market covered in this report is segmented -
1) By Product Type: Milk, Cheese, Bu*tter, Desserts, Yogurt, Other Types
2) By Distribution Channel: Super market, Hyper market, Specialty Store, Online Retail, Other Channels
3) By Application: Bakery And Confectionary, Clinical Nutrition, Frozen Foods, Other Applications
Subsegments:
1) By Milk: Whole Milk, Skim Milk, Low-Fat Milk, Flavored Milk, Plant-Based Milk Alternatives
2) By Cheese: Cheddar, Mozzarella, Processed Cheese, Cream Cheese, Feta, Blue Cheese, Other Specialty Cheeses
3) By Bu*tter: Salted Bu*tter, Unsalted Bu*tter, Whipped Bu*tter, Clarified Bu*tter
4) By Desserts: Puddings, Ice Cream, Custards, Cheesecakes, Other Dairy Desserts
5) By Yogurt: Plain Yogurt, Flavored Yogurt, Greek Yogurt, Low-Fat Yogurt, Non-Dairy Yogurt Alternatives
6) By Other Types: Cream, Sour Cream, Bu*ttermilk, Cottage Cheese, Kefir
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Which Firms Dominate the Dairy Products Market by Market Share and Revenue in 2025?
Major companies operating in the dairy products market include Arla Foods amba, Fonterra Co-operative Group Limited, Nestlé S.A., Danone S.A., Royal FrieslandCampina N.V., Dairy Farmers of America Inc., DMK Group, Gujarat Cooperative Milk Marketing Federation Ltd., Meiji Holdings Co. Ltd., Parmalat S.p.A., Sodiaal Group, Inner Mongolia Yili Industrial Group Co. Ltd., China Mengniu Dairy Co. Ltd., Megmilk Snow Brand Co. Ltd., Saputo Inc., Lactalis International, Agropur Cooperative, Kaira District Co-operative Milk Producers' Union Limited., Arion Dairy Products BV, Bel Group S.A., Savencia SA, Cabot Creamery Cooperative Inc., California Dairies Inc., Clover Sonoma Inc., Darigold Inc., Davisco Foods International Inc., Foremost Farms USA, Glanbia plc., Hilmar Cheese Company Inc., Idaho Milk Products, Kerry Group plc., Land O'Lakes Inc., Leprino Foods Company
Which Regions Offer the Highest Growth Potential in the Dairy Products Market?
Asia-Pacific was the largest region in the dairy products market in 2024. Asia-Pacific is expected to be the fastest-growing region in the dairy products market during the forecast period. The regions covered in the dairy products market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa
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