PUBLISHER: Mordor Intelligence | PRODUCT CODE: 1687086
PUBLISHER: Mordor Intelligence | PRODUCT CODE: 1687086
The Cheese Powder Market size is estimated at USD 1.48 billion in 2025, and is expected to reach USD 2.14 billion by 2030, at a CAGR of 7.71% during the forecast period (2025-2030).
The growing popularity of snacks with cheesy flavors, particularly among millennials and Gen Z consumers, is the primary factor fueling the global demand for cheese powder. According to a survey by Kerry Group, in 2022, 7 out of 10 consumers globally prefer cheese flavors in savory snacks. The dry powdered cheese composition requires no refrigeration before reconstitution with water. They also have a longer shelf life and lower the risk of microbial attack while in storage compared with natural cheese. Therefore, cheese powder is used principally as a flavor ingredient in various processed and convenient food products, such as snacks, sauces, dressings, and ready meals, providing a cost-effective alternative to natural cheese. The key players are also launching innovative products through e-commerce channels to attract a more extensive consumer base and increase their market share. For instance, in February 2024, Heinz, in partnership with Cathedral City, a cheddar cheese brand of Saputo Dairy UK, introduced Heinz Beanz Cheesy on its online platform, Heinz to Home, and in Tesco stores. The 390g cans contain eight percent Extra Mature Cheddar and a small amount of cheese powder.
Quick-service restaurants (QSRs) have become increasingly popular in recent years, especially among the working population and students due to their busy schedules. QSRs generally feature a few standardized menu items, such as burgers, pizzas, Chinese food, or fish and chips, that can be prepared quickly. Therefore, these establishments often require ingredients that are easy to store and handle and can be incorporated into a wide range of items, thus creating a promising demand for powdered cheese over regular cheese. Powdered cheese has a longer shelf life than fresh cheese, allowing businesses to maintain a consistent supply without frequent restocking, reducing operational disruptions, and minimizing waste. Moreover, the rise of on-the-go snacks with cheesy flavors provides lucrative opportunities for players to introduce innovative products and expand their market share.
The North American region accounts for a significant share of the global cheese market, owing to the immense popularity of convenience food products and ready-to-eat meals among consumers with busy work schedules. Moreover, the United States contributes substantially to the market growth due to its high per capita cheese consumption. According to the US Department of Agriculture, the per capita consumption of cheese in the United States increased from 40.8 pounds in 2020 to 41.8 pounds in 2022. In addition, manufacturers are constantly innovating products to meet consumer demand for new and exciting flavors. For instance, in August 2023, Kerry acquired Kraft Heinz's powdered cheese manufacturing facility in Albany, Minnesota, for USD 107.5 million. Through this acquisition, Kerry Group focuses on expanding its ingredient offerings. Besides this, the bakery and confectionery industry in Canada is experiencing significant growth, driven by consumers' preference for convenient, on-the-go food options. Cheese powder is a key ingredient in many popular snacks, such as flavored chips, cheese crackers, and cheese-flavored chips. According to StatCan, the sales value of cookies, confectionery, and snack food in Canada was CAD 4.12 billion in the fourth quarter of 2021, which increased to CAD 4.51 billion in the fourth quarter of 2022.
The global cheese powder market is highly competitive and comprises local and international competitors. The demand for natural ingredients and fresh and authentic flavors is increasing as customers prefer to spend more on quality sauces, dressings, and soups for enhanced appearance, texture, and taste. New launches, expansions, acquisitions, and mergers are vital strategies companies adopt to gain higher revenues. Dairy Farmers of America Inc., Kerry Group, AarkayFood Products Ltd, Land O'Lakes Inc., and Lactosan A/S are significant players in the cheese powder market.