Global dairy ingredients market set to reach US$88.5B by 2030

GLOBAL –  The global dairy ingredients market is on track for steady growth, with a new report by Knowledge Sourcing Intelligence projecting it to rise from US$69.641 billion in 2025 to US$88.502 billion by 2030. 

The growth, estimated at a compound annual growth rate (CAGR) of 4.91%, is driven by increasing consumer demand for health-focused products and supportive government policies in key dairy-producing nations.

Reported by Knowledge Sourcing Intelligence, dairy ingredients, which include milk-based products like milk powder, milk protein, and lactose derivatives, offer significant nutritional benefits. 

These products are rich in calcium, protein, and potassium, supporting gut and bone health. 

The growing global focus on wellness has boosted the demand for nutritious dairy options, further fueled by the worldwide rising prevalence of health issues. 

Countries such as India, Brazil, and China are seeing government initiatives to strengthen their dairy industries, which also contributes to market expansion.

The report highlights that milk powder is expected to dominate the market’s type segment due to its wide use in food and beverage products like ice cream, bakery items, and infant formulas. 

“Milk powder’s versatility makes it a cornerstone of the industry, especially as the food and beverage sector continues to grow globally.” 

Meanwhile, cow milk is projected to lead the livestock segment, valued for its high nutritional content and ability to help regulate blood pressure.

In terms of application, the bakery and confectionery sector is anticipated to see strong growth, with dairy ingredients playing a key role in product manufacturing. 

The dry form of dairy ingredients, such as powders, is also expected to hold a larger market share thanks to its convenience and ease of packaging. “

The dry form is a game-changer for manufacturers,” said an industry expert, emphasizing its practical benefits.

According to the study, online distribution channels are gaining traction, driven by increased internet access and smartphone use. 

This shift is reshaping how dairy ingredients reach consumers. Regionally, Asia Pacific is poised for significant growth, with countries like China and India leading as major dairy producers. 

The expanding food and beverage industry in this region is another key factor supporting the market’s rise.

The report also identifies major players in the global dairy ingredients market, including FrieslandCampina, Arla Foods, Glanbia, and Amul, among others. 

As demand for functional and nutritious dairy products continues to climb, the market’s steady growth reflects its critical role in meeting evolving consumer needs worldwide.

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