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Dairy Ingredients Market: Shares, Strategies and Forecasts, Analysis and Overview upto 2026

Dairy Ingredients

Dairy ingredients provide satisfactory nutritional, organoleptic, and functional needs. Dairy ingredients contain calcium, protein, vitamin A, vitamin B12, zinc, and magnesium, which are necessary for the development of bone density and nourishment. India is the largest producer and consumer of milk on account of implementation of different schemes such as National Mission on Bovine Productivity, which was implemented in November 2016. The scheme was entitled to a financial allocation of around US$ 126 million to be spent over a period of three years for the genetic improvement of cattle and water buffalo population through delivery of breeding inputs to the dairy farms.

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According to the Food and Drug Administration (FDA), the fluid milk consumption in India was recorded at 67.7 million metric tons in 2018, which was around 4% higher than the previous year. Furthermore, the country recorded butter consumption of 5.6 million metric tons in the same year. The high consumption is majorly attributed to the constantly increasing population and rising income of the consumers among others.

The demand for sports nutrition is gaining significant traction in the market, which in turn is positively influencing the growth of dairy ingredients market. Glycogen synthase activity is one of the key factors for glycogenesis, which in turn is imperative for the development of skeletal muscle. According to the National Centre for Biotechnology Information (NCBI), the inclusion of protein in the form of whey protein isolates (WPI) with quantity ranging between 0.4g/kg to 0.8 g/kg in beverage products promotes high rates of muscle glycogen replenishment coupled with extensive training. Such factors are highly responsible for the growth of the dairy ingredients market.

Key Players in Global Dairy Ingredients Market:

The key players in global dairy ingredients market include Friesland Campina, Fonterra Co-operative Group Ltd., Dairy Farmers of America, Arla Foods, Glanbia Plc., Euroserum, Groupe Lactalis, Saputo Inc., Volac International Limited, and Devondale Murray Goulburn among others.

Global Dairy Ingredients Market Taxonomy

On the basis of product type, the global dairy ingredients market is segmented into:

  • Milk Powder (Skimmed Milk Powder & Whole Milk Powder)

  • Milk Protein Caseinates (MPC)

  • Milk Protein Isolates (MPI)

  • Milk Protein Hydrolysates (MPH)

  • Casein and Caseinates

  • Whey protein Concentrates (WPC)

  • Others

On the basis of application, the global dairy ingredients market is segmented into:

  • Bakery products

  • Dairy Products

  • Confectionery Products

  • On-The-Go Breakfast Products

  • Sports Nutrition Products

  • Infant Milk Formula

  • Others

Milk powder product type segment dominated the dairy ingredients market in 2017 and is expected to exhibit similar trend over the forecast period. Consumer inclination towards milk powder, as an alternative to conventional milk is one of the major factors boosting the demand for milk powder. Other driving factors include longer shelf life due to its less moisture content and reduced transportation costs among others.

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Global Dairy Ingredients Market Outlook:

  • Europe region dominated the dairy ingredients market in 2017 and is expected to retain its market dominance over the forecast period. Bakery products find wide preference among the consumers in Europe. According to Coherent Market Insights, the per capita consumption of bakery products in Germany was recorded at 85.5 kilograms in 2017, followed by France with a per capita consumption of 71.5 kilograms and U.K, with a consumption of 47.3 kilograms in the same year. The consumption of bread accounted for a market share of over 75% in Europe followed by croissants, pastries, and savoury pastries. Furthermore, the chocolate consumption was also led by the European economies such as Switzerland, Germany, Russia, and U.K. among others. According to Coherent Market Insights, per capita consumption of chocolate in Switzerland was recorded at 8.8 kg in 2017, followed by Germany with a per capita chocolate consumption of 8.4 kg in the same year, followed by Russia and U.K.

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