Dairy Protein Market Report by Type (Casein and Derivatives, Whey Protein, Milk Protein Concentrate), Form (Solid, Liquid), Application (Food and Beverages, Nutrition, Personal Care and Cosmetics, Feed, and Others), and Region 2024-2032

The global dairy protein market size reached US$ 14.7 Billion in 2023. Looking forward, IMARC Group expects the market to reach US$ 21.3 Billion by 2032, exhibiting a growth rate (CAGR) of 4.1% during 2024-2032. The rising consumer awareness about health and nutrition, expansion of the fitness and wellness industry, widespread innovation in food technology, growing geriatric population, increasing disposable income, and rapid urbanization across the globe are some of the major factors propelling the market.

Dairy protein is derived from milk-based sources, such as cows, goats, and sheep, that contain amino acids, the building blocks for various physiological processes in the body. It is widely used in food and beverage (F&B) products like yogurt, cheese, and protein shakes. Dairy protein is also a key ingredient in sports nutrition and medical nutrition products. It has a high biological value, as it contains essential amino acids, which makes it an excellent source for muscle repair and growth. Dairy protein also offers improved digestion and better nutrient absorption than other protein sources.

The rising consumer awareness regarding health and nutrition, fueling the demand for protein-enriched foods and beverages (F&B), is one of the major factors contributing to the market growth. Moreover, the growing popularity of dairy protein among health-conscious consumers, as it is a complete source of essential amino acids, is providing a considerable boost to the market growth. Along with this, the expansion of the fitness and wellness industry, leading to the growing trend of gym memberships and regular exercise routines that emphasize higher consumption of protein shakes and supplements, is stimulating the market growth. Additionally, the rising innovation in food technology that is accelerating the development of diverse dairy protein-based products, including ready-to-drink (RTD) beverages, snack bars, and alternative dairy products, is providing an impetus to the market growth. Furthermore, the growing geriatric population, which is spurring the demand for medical nutrition products that contain dairy proteins is anticipated to drive the market growth.

Dairy Protein Market Trends/Drivers:

Rising consumer awareness about health and nutrition

The rising awareness about health and nutrition among consumers is one of the major factors creating a positive outlook for the market growth. Moreover, the growing emphasis on dietary choices as a cornerstone of overall well-being is also supporting the market growth. In addition to this, the heightened awareness of the importance of protein in muscle repair, development, and various metabolic processes is stimulating the market growth. Along with this, the increasing product consumption as an essential amino acid source is propelling the market growth. Besides this, the widespread contribution of educational campaigns, nutritional studies, and social media platforms to cultivate public knowledge about the importance of balanced diets that include high-quality proteins is bolstering the market growth. Furthermore, the increasing promotion by governments and healthcare organizations about healthier eating habits, which recommend the inclusion of protein-rich foods like dairy, is offering remunerative growth opportunities for the market growth.

Growing expansion of the fitness and wellness industry

The rising fitness and wellness industry, leading to increased gym memberships and wellness routines, including yoga and other forms of physical exercise that require proper nutrition for optimal performance and recovery, is strengthening the market growth. In confluence with this, the increasing demand for protein supplements and enriched foods is also supporting the market growth. Moreover, the growing adoption of dairy protein owing to its high biological value and rapid absorption rates, making it a go-to option for fitness enthusiasts and athletes, is stimulating the market growth. Along with this, the widespread inclusion of dairy products as an ingredient in protein shakes, bars, and specialized fitness meals, as a muscle repair agent, and as a source of sustained energy is bolstering the market growth.

Rapid innovation in food technology

The increasing innovation in food technology expanding the range of dairy protein-based products is providing a significant boost to the market growth. In addition to this, the introduction of advanced processing techniques enabling the production of dairy proteins in various forms, such as concentrates, isolates, and hydrolysates, each with specific applications, is creating a positive outlook for the market growth. Moreover, the incorporation of dairy protein into a wide array of products, such as ready-to-drink (RTD) beverages, snack bars, and alternative dairy items, is strengthening the market growth. Along with this, the rising adoption of innovative packaging that facilitates longer shelf life and convenient on-the-go consumption, increasing the product's appeal, is anticipated to drive the market growth. In line with this, the increasing investment by companies in research and development (R&D) to create products that taste better and offer enhanced nutritional profiles is providing lucrative growth opportunities for the market.

Dairy Protein Industry Segmentation:

IMARC Group provides an analysis of the key trends in each segment of the global dairy protein market report, along with forecasts at the global, regional and country levels from 2024-2032. Our report has categorized the market based on type, form and application.

Breakup by Type:

Casein and Derivatives

Whey Protein

Milk Protein Concentrate

Whey protein dominates the market

The report has provided a detailed breakup and analysis of the market based on the type. This includes casein and derivatives, whey protein, and milk protein concentrate. According to the report, whey protein represented the largest segment.

Whey protein is manufactured as a by-product in the cheese-making process and has become a staple in various industries, particularly in food and beverages (F&B), sports nutrition, and medical nutrition. In line with this, whey protein is a key ingredient in numerous products ranging from protein shakes and bars to baked goods and infant formula. Its versatile nature allows for easy incorporation into various formulations without compromising taste or texture. Additionally, whey protein provides all essential amino acids in the required proportions for human nutrition, which makes it highly efficient for muscle repair and growth. Moreover, whey protein has faster absorption rates compared to other protein types like casein, making it the preferred choice for post-workout recovery. Apart from this, the increasing preference for high-quality, nutrient-rich foods among consumers due to rising knowledge about dietary choices is supporting the market growth. Furthermore, rapid technological advancements as companies invest in research and development (R&D) to produce various forms of whey protein, such as isolates and hydrolysates, which have specific health benefits and applications, are favoring the market growth.

Breakup by Form:

Solid

Liquid

Solid dominates the market

The report has provided a detailed breakup and analysis of the market based on the form. This includes solid and liquid. According to the report, solid represented the largest segment.

Solid dairy protein dominates the largest market segment as it requires less stringent storage conditions, making it more convenient for retailers and consumers. Additionally, the solid form generally has a longer shelf life, reducing waste and thereby making it a cost-effective option for many applications. Besides this, it is commonly found in items like cheese, yogurt, and snack bars, which are staple products in many households. Furthermore, it is a crucial ingredient in baked goods, confectionery, and certain processed foods, lending them textural and nutritional benefits. Moreover, solid dairy protein aligns well with consumer preferences for convenience and portability as they are available in products like protein bars and cheese sticks, thus meeting the needs of busy consumers looking for quick but nutritious food choices.

Breakup by Application:

Food and Beverages

Nutrition

Personal Care and Cosmetics

Feed

Others

Food and beverages hold the largest share in the market

A detailed breakup and analysis of the market based on the application has also been provided in the report. This includes food and beverages, nutrition, personal care and cosmetics, feed, and others. According to the report, food and beverages accounted for the largest market share.

The food and beverage (F&B) sector utilizes dairy proteins in a wide range of products, including dairy staples like cheese, yogurt, and processed foods such as protein bars and baked goods. Moreover, dairy proteins like casein and whey are replete with essential amino acids, contributing significantly to muscle repair, growth, and overall metabolic health, making them highly appealing to health-conscious consumers. Besides this, the intersection of consumer preferences with lifestyle trends, as consumers adopt healthier lifestyles and become conscious of their nutritional intake, is favoring the market growth. Furthermore, the rising busy lifestyles of consumers, prompting a greater need for convenient and healthy eating options, is strengthening the market growth. Food and beverage (F&B) products that are rich in dairy proteins offer an easy way for consumers to include quality protein in their diet without extensive meal preparation, thus propelling the market growth.

Breakup by Region:

North America

United States

Canada

Asia-Pacific

China

Japan

India

South Korea

Australia

Indonesia

Others

Europe

Germany

France

United Kingdom

Italy

Spain

Russia

Others

Latin America

Brazil

Mexico

Others

Middle East and Africa

Europe exhibits a clear dominance, accounting for the largest dairy protein market share

The market research report has also provided a comprehensive analysis of all the major regional markets, which include North America (the United States and Canada); Asia Pacific (China, Japan, India, South Korea, Australia, Indonesia, and others); Europe (Germany, France, the United Kingdom, Italy, Spain, Russia and others); Latin America (Brazil, Mexico, and others); and the Middle East and Africa. According to the report, Europe accounted for the largest market share.

Europe dominates the market for dairy protein as dairy products like cheese, yogurt, and butter have a deep-rooted cultural significance in the region, creating a stable platform for innovative dairy protein products, ranging from enriched beverages to high-protein snacks. Moreover, the economic prosperity of European countries allowing for a high level of consumer spending on health and wellness as affluent consumers are more likely to invest in premium, protein-rich products, is creating a positive outlook for the market growth. Along with this, the implementation of stringent quality and safety standards for food products in the region, instilling consumer confidence and ensuring that only high-quality dairy protein products make it to the market, is providing a considerable boost to the market growth.

Competitive Landscape:

The leading companies in the dairy protein market are investing in research and development (R&D) initiatives to develop new forms and formulations of dairy protein, including specialized types like whey protein hydrolysates or casein micelles that offer specific health benefits. Besides this, companies are vigorously expanding into emerging markets by partnering with local distributors or joint ventures with local firms to gain a foothold in the new markets. Along with this, some companies are adopting more sustainable farming practices, improving animal welfare standards, and optimizing production processes to reduce their carbon footprint. Furthermore, some companies are investing in advanced quality assurance methods that help in complying with regulatory requirements and instill consumer confidence in their products. In addition to this, companies are focusing on strengthening their online presence through digital marketing campaigns by educating consumers about the health benefits of dairy protein and how to incorporate it into their diets.

The report has provided a comprehensive analysis of the competitive landscape in the market. Detailed profiles of all major companies have also been provided. Some of the key players in the market include:

Ace International LLP

AMCO Proteins

Arla Foods amba

Fonterra Co-operative Group Limited

Glanbia PLC

Grassland Dairy Products Inc.

Groupe Lactalis

Idaho Milk Products

Kerry Group plc

Royal FrieslandCampina N.V.

Saputo Inc., Schreiber Foods Inc.

United Dairymen of Arizona and Westland Milk Products (Yili Group)

Recent Developments:

In April 2022, Royal FrieslandCampina published its climate plan, "On the way to climate-neutral dairy", as a part of the integrated "Nourishing a better planet" sustainability program. The company aims to produce net climate-neutral dairy by 2050.

In June 2021, Saputo announced a partnership with Dairy Australia (DA), that focuses on encouraging farm business management skills among farm suppliers to grow the business.

In February 2021, Arla Foods launched a win-win formula, Lacprodan Premium ALPHA-10, for manufacturers in dry blend protein, which reduces production cost without compromising on quality or safety.

Key Questions Answered in This Report

• 1. What was the size of the global dairy protein market in 2023?
• 2. What is the expected growth rate of the global dairy protein market during 2024-2032?
• 3. What has been the impact of COVID-19 on the global dairy protein market?
• 4. What are the key factors driving the global dairy protein market?
• 5. What is the breakup of the global dairy protein market based on the type?
• 6. What is the breakup of the global dairy protein market based on the form?
• 7. What is the breakup of the global dairy protein market based on the application?
• 8. What are the key regions in the global dairy protein market?
• 9. Who are the key players/companies in the global dairy protein market?