The infant formula ingredients market has seen considerable growth due to a variety of factors.
• The market for ingredients used in infant formula has seen robust growth in recent years. Its size is projected to expand from $23.41 billion in 2024 to $25.53 billion in 2025, with a compound annual growth rate (CAGR) of 9.0%.
This growth during the historic period can be credited to heightened understanding of the importance of infant nutrition and health, an increase in global birth rates and population growth, a rise in urbanization and the hectic lifestyles of parents, enhanced distribution channels and accessibility to infant nutrition, as well as regulatory norms and guidelines around the production of infant formula.
The infant formula ingredients market is expected to maintain its strong growth trajectory in upcoming years.
• It is anticipated that the market size for infant formula ingredients will experience significant growth in the upcoming years, expanding to $35.95 billion in 2029 with a compound annual growth rate (CAGR) of 8.9%.
Factors contributing to the growth throughout the forecast period include the increasing demand for organic and clean label infant formula ingredients, expansion of e-commerce platforms that sell infant nutritional products, higher disposable income enabling the affordability of premium-grade formulas, the shift towards plant-based and alternative protein sources, evolving markets, and an expanding middle-class demographic. Key trends anticipated during the forecast period are human milk oligosaccharides (hmos), probiotics and prebiotics for gut health, ingredients that are non-gmo and organic, omega-3 fatty acids (dha and epa), and individualized and tailored formulas.
The escalating attention on childcare and nourishment is projected to fuel the growth of the infant formula ingredients market. The intensifying concentration on infant care is predominantly driven by the need to diminish morbidity and mortality, curtail risks of chronic diseases later in life and foster consistent mental and physical progress. This emphasis is anticipated to generate considerable demand for infant formula ingredients, as they serve as an efficient substitute to breast milk, offering ample nutrition to infants. In early childhood and infancy, proper nutrition via infant formula ingredients underpins complete growth, wellbeing, and development in children and boosts cognitive advancement in infants. These ingredients also reduce the likelihood of children becoming overweight or obese, and contracting non-communicable diseases in the future. As per the WHO, undernutrition is hypothesized to be connected with 2.7 million child deaths annually, constituting 45% of all child deaths. Over 820,000 lives of children below five years could be saved annually if all children aged between 0 and 23 months are efficiently breastfed. Unfortunately, only a handful of children receive nutritionally comprehensive and safe complementary foods and in many nations, less than a quarter of infants aged from 6 to 23 months meet the requirements of dietary diversity and feeding frequency that is suitable for their age. This affirms that attention to infant care and nourishment is on the rise. In reaction to this, the WHO has been assisting countries with the execution and supervision of the 'comprehensive implementation plan on maternal, infant and young child nutrition'. Thus, the increasing focus on infant care and nutrition is predicted to propel the infant formula ingredients market.
The infant formula ingredients market covered in this report is segmented –
1) By Ingredients Type: Carbohydrates, Oil And Fats, Protein, Vitamin, Minerals, Prebiotics
2) By Form: Powder, Liquid, Semi Liquid
3) By Application: Growing Milk, Standard Infant, Follow On Formula, Specialty Formula
Subsegments:
1) By Carbohydrates: Lactose, Maltodextrin, Starch
2) By Oil and Fats: Vegetable Oils, Fish Oils, Medium-Chain Triglycerides (MCTs)
3) By Protein: Whey Protein, Casein Protein, Soy Protein
4) By Vitamins: Fat-Soluble Vitamins (A, D, E, K), Water-Soluble Vitamins (B-complex, C)
5) By Minerals: Calcium, Iron, Zinc, Phosphorus,
6) By Prebiotics: Oligosaccharides, Inulin.
The infant formula ingredients market is seeing a surge in popularity for organic infant formula, which is an emerging key trend. Organic infant formula, made from grass-fed cows, is a product that is not genetically modified (non-GMO) and is free from artificial hormones and antibiotics. The benefits of this formula, such as less health complications, are adding to its acclaim. A growing consumer preference for organic over conventional products is also evident, given the latter's heavily processed nature, artificial constituents, and their impacts on infant growth and hormones. Market leaders are capitalizing on this trend by introducing organic infant formulas to solidify their place in the market. One such example is Bunge Loders Croklaan, Bunge's Netherlands-based plant lipids operation, which launched Betapol Organic- the first certified organic OPO (Oleic-Palmitic-Oleic or SN-2 palmitate) in the Chinese and European markets. This organic OPO used in infant milk formula is a naturally occurring component in human breast milk. It helps to improve bone mineral density, foster healthy gut bacteria, boost energy intake, alleviate constipation, hone fine motor skills, reduce crying, and contribute to better sleep patterns, positioning Betapol Organic as an integral ingredient in organic infant formula.
Major companies operating in the infant formula ingredients market include:
• Arla Foods AMBA
• Fonterra Co-Operative Group Limited
• Royal FrieslandCampina NV
• DuPont de Nemours Inc.
• Sachsenmilch Leppersdorf GmbH
• AAK AB
• Carbery Food Ingredients Limited
• Kerry Group plc
• BASF SE
• Koninklijke DSM N.V.
• Chr. Hansen Holding A/S
• Ingredion Incorporated
• Tate & Lyle PLC
• Archer Daniels Midland Company
• Omega Ingredients Ltd.
• Bunge Limited
• Cargill Inc.
• FrieslandCampina Ingredients
• Hilmar Ingredients Inc.
• Lactalis American Group Inc.
• Glanbia Nutritionals Inc.
• Nestle S.A.
• A2 Milk Company Limited
• Feihe International Inc.
• H&H Group
• Meiji Holdings Co. Ltd.
• Morinaga Milk Industry Co. Ltd.
• Westland Milk Products
• Wissun International Group Co. Ltd.
North America was the largest region in the infant formula ingredients market in 2024. Asia-Pacific is expected to be the fastest-growing region in the global infant formula ingredients market share during the forecast period. The regions covered in the infant formula ingredients market report include Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa.