Dairy Blends Market Forecast, 2022-2027

Dairy Blends Market size is forecasted to reach $5.3 billion by 2027 and is expected to grow at a CAGR of 8.7% during the forecast period 2022-2027. Dairy blends are dairy mixtures made from a combination of condensed milk fat in the form of cream, vegetable oils, salt, and water. It can also be made from butter blends or butterfat, a saturated fat-free alternative. A major advantage of dairy blends is that they can be converted into products in several forms for ease of consumption. Customers' growing health consciousness, as well as the nutritional benefits of these products, has prompted them to choose dairy blends over traditional dairy ingredients. Dairy blends in powder form are also inexpensive, and many consumers in the lower class utilize them as a liquid milk substitute, which in turn is driving the Dairy Blends Market for the period 2022-2027. The demand for dairy blends is further increasing owing to the availability of numerous flavors. Market players are trying to experiment with various combinations of flavors to cater to the increasing demand for innovation. Moreover, dairy blends can be used in various forms in different industries. For instance, powdered dairy blends can be used as sweeteners and stabilizers in a variety of yogurts and ice creams which in turn is driving the Dairy Blends Market for the forecast period 2022-2027.

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Dairy Blends Market Report Coverage

The report: “Dairy Blends Market Forecast (2022-2027)”, by Industry ARC, covers an in-depth analysis of the following segments of the Dairy Blends Market.

By Product Type: Dairy Mixture, Ingredients, Carriers, Others.


By Distribution Channel: Wholesalers, Retailers (Departmental Stores, Supermarkets, and Others), Online Store


By Packaging: Pouch, Packet, HDPE bottle, and Others


By Product Form: Powder, Liquid, Solid/Substitutes


By Application: Ice cream, Butter, Cheese, Yoghurt, Beverages and Others


By Geography: North America (the U.S, Canada, and Mexico), South America (Brazil, Argentina, Colombia, Chile and Rest of South America), Europe (U.K, Germany, France, Italy, Spain, Netherlands, Russia and Rest of Europe), Asia-Pacific (China, Japan, India, Australia & New Zealand, South Korea and Rest of Asia-Pacific), and Rest of the World (Middle East, Africa).

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Key Takeaways

  • Geographically, The Asia Pacific Dairy Blends Market accounted for the highest revenue share in 2021. This is owing to the increase in the number of middle-class consumers in the region, which has led to an increased demand for products such as ice cream and butter blends.
  • The market growth is further being driven because of the high demand across diverse sectors, especially the Bakery sector. Powdered dairy blends are especially sought after for their bakery applications. However, several Dairy Blends are underutilized in functional food production. This in turn is hampering the growth of the Dairy Blends Market.
  • Dairy Blends Market Detailed Analysis of the Strength, Weaknesses, and Opportunities of the prominent players operating in the market will be provided in the Dairy Blends Market report.

  • Dairy Blends Market Challenges

    Inefficient usage of Buttermilk may hamper the market's growth

    The dairy industry's principal by-products are whey and buttermilk. Despite their promise as raw materials for the creation of new products, they are rarely or never properly utilized. This leads to buttermilk having very high concentrations of phospholipids as compared to whole milk products. Globally, consumers have become health aware of the food consumption and buttermilk is one of the most manufactured forms of Dairy blend. 

    Dairy Blends Industry Outlook

    Acquisition, Business Expansion, and Product Launch are the key strategies adopted by players in the Global Dairy Blends Market. In 2021, the Global Dairy Blends Market share is consolidated by the top ten players present in the market. Global Dairy Blends top 10 companies include: -

    1. Dana Foods Inc.
    2. Kerry Foods
    3. Fairfield Dairy
    4. Fonterra Co-operative Group
    5. BPI A/S
    6. Saputo Inc
    7. Castle Dairy
    8. All American Foods
    9. ACE International
    10. Cargill, Incorporated

    Recent Developments

    • On November 10th, 2021, Fonterra Co-Operative Group Limited acquired Connecterra’s Ida. The Ida (Intelligent Dairy Assistant) platform from Connecterra integrates data from proprietary collar-mounted sensors with data from internet-connected farm systems, farm equipment, and third-party sources to create an intelligent dairy assistant.
    • On June 18th, 2021 Cargill announced that along with Continental Grain Company, will purchase Sanderson farms for $203 per share in cash, reflecting a total equity value of $4.53 billion. This will allow the company to improve its customer service in both retail and foodservice, as well as promote organic growth in an industry fueled by affordability and important consumer trends.
    • On August 7th, 2020, Cargill invested $15 million in a new plant in India that would produce bovine additives that are said to boost milk production. The plant, which has a 35,000-ton annual capacity, aims to meet the country's increased milk production needs.

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  • One cup (237 mL) of whole milk contains 660 kilojoules (157 kilocalories) and 8.9 grams of fat. One cup of whole buttermilk contains 640 kJ (152 kcal) and 8.1 grams of total fat. The inefficient use of buttermilk negatively affects the demand for buttermilk products which include buttermilk beverages, and, this in turn is hampering the growth of the Dairy Blends Market for the Forecast Period of 2022-2027.

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