Dairy Market Characteristics
The dairy market manufacturing consists of sales of dairy products by entities (organizations, sole traders and partnerships) that produce dairy products from raw milk and processed milk products, produce dry, condensed, concentrated and evaporated dairy, and/or produce some dairy substitute products. The companies in the industry package and distribute their products through various distribution channels to both individual customers and commercial establishments.
Competitive Landscape of the Dairy Market
Major players in the global dairy market include Nestle SA, Dairy Farmers of America, Fonterra Group Cooperative Limited, Danone, Arla Foods, FrieslandCampina, Yili, Saputo, Dean Foods, and Agropur.
Dairy Market Size
The dairy market size is expected to reach $800 billion by 2022, significantly growing at a CAGR of around 6% during the forecast period. The growth in the dairy market is due to increasing demand for cheese, yogurt and ice creams in emerging markets due to rising disposable income in developing countries, improved access to refrigeration in less developed countries, reduction in trade barriers between countries and growing consumer preference for healthy dairy products.
However, the market for dairy is expected to face certain restraints from several factors such as health awareness and shift towards vegan lifestyle.
Dairy Market Segmentation
The global dairy market is further segmented based on type and geography.
By Type - The dairy market is segmented into milk & butter, cheese, dry, condensed, & evaporated dairy product, and ice cream & frozen dessert, among these segments, the milk & butter market accounts for the largest share in the global dairy market.
By Geography - The global dairy is segmented into North America, South America, Asia-Pacific, Eastern Europe, Western Europe, Middle East and Africa. Among these regions, the Western Europe dairy market accounts the largest share in the global dairy market.
Trends in the Dairy Market
Lactose-free dairy products, increasing demand for clean label products and increasing demand for organic cheeses are the major trends witnessed in the global dairy market.
Potential Opportunities in the Dairy Market
With population growth in many countries in Asia, shift towards organic dairy products, government initiatives to provide subsidized milk products in countries such as India and rising disposable income, the scope and potential for the global dairy market is expected to significantly rise in the forecast period.