Manufacturers of fortified milk powder will be looking to capitalize on a host of lucrative opportunities as the industry is predicted to expand by almost 80% in the next decade.
Market research firm Fact.MR forecasts that the global market, currently valued at US$8.63bn, will grow by 5.9% annually, totalling US$15.38bn by the end of 2032.
The market expansion will be driven by consumer awareness of fortified milk powder’s health and nutritional benefits and its increasing use in food manufacture to add crucial nutrients to various products including ice creams, yogurt and infant milk formula.
Fact.MR predicts that 26.8% of all enriched milk powder sales will remain focused in North America, where the current market is valued at US$ 2.31bn.
Europe’s market share stands at 23.3% or just over US$2bn, while China holds a share of 7.3% or around US$630m.
“Growth in North American enriched milk powder market is driven by rising prevalence of lifestyle diseases, growing focus towards health and nutrition, and increasing availability of enriched milk products across countries like the US and Canada,” the researchers stated.
Enriched milk powder manufacturers are continuously focusing on expanding their product portfolios through product innovation, the report states.
In 2020, Jatenergy developed two lactoferrin-enriched milk powder products under the brand Abbeyard and a lactoferrin-enriched camel milk sold under brand Auveno.
Last year, Lactalis Ingredients expanded its milk powder range by launching a new organic whole milk powder.
And last month, Fonterra’s Anchor brand announced the launch of a new line of products in the Middle East, including a fortified cream milk powder.
Meanwhile, new players on the market are expected to rely on R&D to gain a competitive edge. The researchers highlighted the strategy of Israeli food tech start-up Remilk, who raised US$120m in a funding round led by venture capital firm Hanaco Ventures, to bolster its milk proteins production.
One obstacle to the global market’s expansion would be the rise in the availability of non-dairy blends, which could ‘potentially show down’ the enriched milk powder market growth, the researchers concluded.