Dairy Protein Market Size
| Study Period | 2019 - 2029 |
| Market Size (2024) | USD 4.81 Billion |
| Market Size (2029) | USD 5.95 Billion |
| CAGR (2024 - 2029) | 4.34 % |
| Fastest Growing Market | Asia Pacific |
| Largest Market | Europe |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Need a report that reflects how COVID-19 has impacted this market and its growth?
Dairy Protein Market Analysis
The Dairy Protein Market size is estimated at USD 4.81 billion in 2024, and is expected to reach USD 5.95 billion by 2029, at a CAGR of 4.34% during the forecast period (2024-2029).
- Dairy proteins, such as milk protein, casein, and whey protein are the sources of proteins offering various nutritional and functional benefits on health.
- The dairy protein consumption has subsequently increased with milk being the richest and the most popular source of protein. The taste of dairy protein is richer than the newly-growing vegetarian proteins, which is the main driving factor for the dairy protein market demand.
- The increased health awareness and demand for sports nutrition are the major factors driving the global market.
Dairy Protein Market Trends
Growing Awareness Towards Healthy Food
- The dairy protein industry is experiencing a surge in popularity due to its ability to assist consumers in achieving the benefits of higher-protein diets, including satiety, weight management, and muscle health.
- Several factors are driving the growth of the industry, such as increased awareness of health and well-being, the rising prevalence of lifestyle diseases and obesity, and the growing number of health-conscious consumers. Additionally, the senior population, which is rapidly increasing globally, is seeking to combat healthcare costs and age-related muscle loss, further fueling the demand for dairy protein products.
- Moreover, the trend towards urbanization and the increased participation of women in the labor force may lead to a reduction in breastfeeding rates, which could result in a shift in focus towards infant formula as a source of essential nutrition for babies.
- Milk protein concentrate, which is a critical component of infant formula, is expected to significantly contribute to the growth of the dairy protein ingredients market. The growing middle-class population in emerging and developing countries is creating new opportunities in the infant nutrition market, as the need for products that can accommodate the schedules of working mothers is on the rise.
- The market is expected to experience a boost from the increasing approvals by the United States Food and Drug Administration (US FDA) and product launches by key players. For instance, in September 2021, Lactalis Ingredients introduced Prolacta 80, a soluble protein concentrate that is extracted and concentrated directly from milk. Its high protein content, particularly alpha-lactalbumin, which is also the primary protein in breast milk, makes it an ideal ingredient for infant formula. Therefore, these factors, including growing health-conscious consumers and the increasing need for nutritious infant formulas, are expected to drive the growth of the dairy protein market.
Europe holds the Major Share in Dairy Protein Market
- Europe currently holds the largest market share in the global dairy protein market and is the primary market for this sector. North America follows Europe, holding the second-largest market share. Meanwhile, Asia-Pacific is the fastest-growing market due to its large population and the surging demand for sports nutrition and functional beverages in the region. Developing countries in South America and Asia present the most attractive markets, as the younger population in these regions extensively consumes whey protein as dietary supplements and for bodybuilding.
- Dairy products such as yogurt and cheese are popular in European and Western markets. Yogurts infused with whey protein are witnessing enhanced demand worldwide due to their added health benefits, including improving digestion and restoring intestinal flora. Additionally, dairy proteins have excellent functional properties and high nutritional values. The dairy industry also significantly contributes to the world economy, particularly in the European Union (EU). According to the milk market observatory of the European Commission, the EU exported over 500,000 tons of whey powders in 2020. Moreover, whey protein demand in beverages is rising with the growing health awareness in the country. Products such as protein water and energy drinks are becoming a trend as consumers are choosing healthier options over carbonated beverages. As a result, companies are launching innovative products in this market segment. For instance, in 2021, EurialIngredients & Nutrition launched EuriNutriWPC, a whey protein concentrate ingredient with 80% protein content, prepared from sweet whey manufactured at the company's plant in France. These factors fuel the demand for dairy protein in processed and ready-to-eat (RTE) food products during the forecast period.
- Germany is another leading country in the market, driven by high protein consumption in the food and beverage industry. Cheese is the most fragmented category within packed food that has a larger consumption rate among German consumers. According to Food and Agriculture Organization Corporate Statistical Database (FAOSTAT), per capita cheese consumption in Germany was about 25.3 kilograms in 2021.
- The cheese market is driven by increased awareness of good sources of nutrients such as calcium, phosphorous, zinc, vitamin A, and vitamin B12, which are vital for building strong bones and certain high-quality proteins that provide essential building blocks for strong muscles. Therefore, cheese is considered one of the products that is rich in dairy protein. Whey protein isolate is a byproduct of the cheesemaking process that contains more protein than whey concentrate. Hence, the increase in cheese production drives the production of the dairy protein market in this region.
- Furthermore, whey protein concentrates (WPC), whey protein isolates (WPI), and dairy-derived whey have become ingredients of choice in manufacturing ready-to-drink protein shakes and high-protein meal replacements. For instance, according to the Office for National Statistics (UK), in 2021, the total sales value for protein concentrates manufactured in the United Kingdom surpassed 463 million British pounds.
- The high utilization of dairy protein, particularly by choice, due to increased consumer awareness of the health benefits associated with its consumption, is one of the key factors driving the dairy protein market in Europe.
Dairy Protein Industry Overview
The global dairy protein market is highly competitive and includes both regional and international competitors. Major players in the market include Fonterra Co-operative Group Limited, Glanbia PLC, and Royal FrieslandCampina NV. Other notable players include Lactalis Group, Kerry Group PLC, and Bonafarm Group.
To gain a competitive edge, these companies are adopting various strategic approaches, such as product launches, expanding their market presence, partnerships, and mergers and acquisitions. These strategies allow them to gain market share and strengthen their position in the market.
Dairy Protein Market Leaders
-
Fonterra Co-operative Group Limited
-
Royal FrieslandCampina NV
-
Glanbia PLC
-
Groupe Lactalis
-
Groupe Sodiaal
*Disclaimer: Major Players sorted in no particular order
Dairy Protein Market News
- March 2023: FrieslandCampina inaugurated a new production facility in the Netherlands dedicated to lactoferrin manufacturing. With the new plant, the company will be able to quadruple its lactoferrin production capacity from 20 to 80 metric tonnes per year. Lactoferrin is a crucial component in infant formula and antiviral treatments.
- June 2022: NZMP Fonterra's global ingredients business formed a joint venture with Tillamook Country Creamery Association (TCCA) and Three Mile Canyon Farms in the United States. The joint venture launched a new product called Pro-OptimaTM, which is a grade A functional whey protein concentrate targeted at the market.
- May 2022: Glanbia Nutritionals acquired Sterling Technology for a sum of USD 60 million-plus deferred consideration. Sterling Technology is a well-known manufacturer of dairy bioactive solutions derived from bovine colostrum, also known as first milk.
Dairy Protein Market Report - Table of Contents
1. INTRODUCTION
- 1.1 Study Deliverables
- 1.2 Study Assumptions
- 1.3 Scope of the Study
2. RESEARCH METHODOLOGY
3. MARKET DYNAMICS
- 3.1 Market Drivers
- 3.2 Market Restraints
-
3.3 Porter's Five Forces Analysis
- 3.3.1 Threat of New Entrants
- 3.3.2 Bargaining Power of Buyers/Consumers
- 3.3.3 Bargaining Power of Suppliers
- 3.3.4 Threat of Substitute Products
- 3.3.5 Intensity of Competitive Rivalry
4. EXECUTIVE SUMMARY
5. MARKET SEGMENTATION
-
5.1 Ingredients
- 5.1.1 Milk Protein Concentrates (MPCs)
- 5.1.2 Whey Protein Concentrates (WPCs)
- 5.1.3 Whey Protein Isolates (WPIs)
- 5.1.4 Milk Protein Isolates (MPIs)
- 5.1.5 Casein and Caseinates
- 5.1.6 Other Ingredients
-
5.2 Application
- 5.2.1 Sports Nutrition
- 5.2.2 Infant formulations
- 5.2.3 Functional Food & Dietary supplement
- 5.2.4 Pharmaceutical
- 5.2.5 Animal Feed/Pet Food
- 5.2.6 Other Applications
-
5.3 Geography
- 5.3.1 North America
- 5.3.1.1 United States
- 5.3.1.2 Canada
- 5.3.1.3 Mexico
- 5.3.1.4 Rest of North America
- 5.3.2 Europe
- 5.3.2.1 United Kingdom
- 5.3.2.2 Germany
- 5.3.2.3 France
- 5.3.2.4 Russia
- 5.3.2.5 Italy
- 5.3.2.6 Spain
- 5.3.2.7 Rest of Europe
- 5.3.3 Asia Pacific
- 5.3.3.1 India
- 5.3.3.2 China
- 5.3.3.3 Japan
- 5.3.3.4 Australia
- 5.3.3.5 Rest of Asia-Pacific
- 5.3.4 South America
- 5.3.4.1 Brazil
- 5.3.4.2 Argentina
- 5.3.4.3 Rest of South America
- 5.3.5 Middle East & Africa
- 5.3.5.1 United Arab Emirates
- 5.3.5.2 Saudi Arabia
- 5.3.5.3 Rest of Middle East & Africa
6. COMPETITIVE LANDSCAPE
- 6.1 Most Adopted Strategies
- 6.2 Market Share Analysis
-
6.3 Company Profiles
- 6.3.1 Fonterra Co-operative Group Limited
- 6.3.2 Glanbia PLC
- 6.3.3 Groupe Lactalis
- 6.3.4 Kerry Group
- 6.3.5 Royal FrieslandCampina NV
- 6.3.6 Prolactal GmbH
- 6.3.7 Groupe Sodiaal
- 6.3.8 Bonafarm Group
- 6.3.9 Dairy Farmers of America
- 6.3.10 Hoogwegt International BV
- *List Not Exhaustive
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
8. ABOUT US
Dairy Protein Industry Segmentation
Dairy protein refers to the proteins found in milk and dairy products such as cheese, yogurt, and whey protein supplements. The two main types of dairy proteins are casein and whey. Casein makes up about 80% of the protein in milk and is a slow-digesting protein, while whey makes up about 20% of the protein in milk and is a fast-digesting protein.
The global dairy protein market has been segmented based on the ingredients, applications, and geography. The market is segmented based on ingredients into milk protein concentrates (MPCs), whey protein concentrates (WPCs), whey protein isolates (WPIs), milk protein isolates (MPIs), casein and caseinates, and other ingredients. Based on application, the various segments include sports nutrition, infant formulations, functional food & dietary supplement, pharmaceuticals, animal feed/pet food, and other applications. Also, the study provides an analysis of the dairy protein market in emerging and established markets across the world, including North America, Europe, Asia-Pacific, South America, the Middle East, and Africa.
For each segment, the market sizing and forecasts have been done based on value (in USD million).
| Ingredients | Milk Protein Concentrates (MPCs) | |
| Whey Protein Concentrates (WPCs) | ||
| Whey Protein Isolates (WPIs) | ||
| Milk Protein Isolates (MPIs) | ||
| Casein and Caseinates | ||
| Other Ingredients | ||
| Application | Sports Nutrition | |
| Infant formulations | ||
| Functional Food & Dietary supplement | ||
| Pharmaceutical | ||
| Animal Feed/Pet Food | ||
| Other Applications | ||
| Geography | North America | United States |
| Canada | ||
| Mexico | ||
| Rest of North America | ||
| Geography | Europe | United Kingdom |
| Germany | ||
| France | ||
| Russia | ||
| Italy | ||
| Spain | ||
| Rest of Europe | ||
| Geography | Asia Pacific | India |
| China | ||
| Japan | ||
| Australia | ||
| Rest of Asia-Pacific | ||
| Geography | South America | Brazil |
| Argentina | ||
| Rest of South America | ||
| Geography | Middle East & Africa | United Arab Emirates |
| Saudi Arabia | ||
| Rest of Middle East & Africa |
Dairy Protein Market Research FAQs
How big is the Dairy Protein Market?
The Dairy Protein Market size is expected to reach USD 4.81 billion in 2024 and grow at a CAGR of 4.34% to reach USD 5.95 billion by 2029.
What is the current Dairy Protein Market size?
In 2024, the Dairy Protein Market size is expected to reach USD 4.81 billion.
Who are the key players in Dairy Protein Market?
Fonterra Co-operative Group Limited, Royal FrieslandCampina NV, Glanbia PLC, Groupe Lactalis and Groupe Sodiaal are the major companies operating in the Dairy Protein Market.
Which is the fastest growing region in Dairy Protein Market?
Asia Pacific is estimated to grow at the highest CAGR over the forecast period (2024-2029).
Which region has the biggest share in Dairy Protein Market?
In 2024, the Europe accounts for the largest market share in Dairy Protein Market.
What years does this Dairy Protein Market cover, and what was the market size in 2023?
In 2023, the Dairy Protein Market size was estimated at USD 4.60 billion. The report covers the Dairy Protein Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Dairy Protein Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Dairy Protein Industry Report
Statistics for the 2024 Dairy Protein market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Dairy Protein analysis includes a market forecast outlook to for 2024 to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
