Global Organic Dairy Products market was valued at USD 39.12 billion in 2024 and is expected to grow to USD 61.94 billion by 2030 with a CAGR of 8.02% during the forecast period.

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Organic Dairy Products Market Size 2024-2028

The organic dairy products market size is forecast to increase by USD 9.09 billion, at a CAGR of 6.52% between 2023 and 2028.

The market is driven by the increasing awareness of the benefits associated with consuming organic dairy products. Consumers are increasingly seeking healthier and more natural food options, leading to a surge in demand for organic dairy products. Additionally, the growing use of clean and transparent packaging is a significant trend in the market, as consumers prioritize product safety and sustainability. However, the market faces challenges due to fluctuations in the supply of raw materials for organic dairy farming. These challenges include unpredictable weather patterns, which can impact crop yields and pasture growth, and the high cost of organic feed and fertilizers.
To capitalize on market opportunities and navigate these challenges effectively, companies must focus on sustainable farming practices, efficient supply chain management, and innovative product development. By addressing these factors, they can meet the growing demand for organic dairy products and differentiate themselves in a competitive market.

What will be the Size of the Organic Dairy Products Market during the forecast period?

Explore in-depth regional segment analysis with market size data - historical 2018-2022 and forecasts 2024-2028 - in the full report.
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The market continues to evolve, with dynamic market activities shaping its landscape. Whey protein recovery and yogurt production are key processes undergoing constant advancements, driven by consumer preferences for nutritious and functional food options. Milk fat percentage and dairy farming practices, such as grass-fed and pasture-raised, are also influencing production methods. Butter manufacturing and ruminant nutrition are areas of focus, as producers seek to optimize milk production efficiency while adhering to animal welfare standards. Dairy traceability systems and marketing strategies are essential components, ensuring transparency and consumer trust. Bacterial culture identification and food safety regulations play a crucial role in maintaining product quality and safety.

Dairy product packaging and cheesemaking techniques are continually evolving to extend shelf life and enhance flavor profiles. Milk composition analysis, including milk protein content and somatic cell count, are essential for ensuring consistent product quality. Pasteurization techniques and sustainable dairy practices are also critical aspects, as producers aim to minimize waste and reduce environmental impact. Consumer preference trends and quality control measures are driving innovation in the organic dairy sector, with an increasing emphasis on farm-to-table sourcing and value-added products. Ultra-high temperature processing and forage quality assessment are among the areas of research to address evolving consumer demands and market dynamics.

How is this Organic Dairy Products Industry segmented?

The organic dairy products industry research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD million' for the period 2024-2028, as well as historical data from 2018-2022 for the following segments.

Product

  Organic milk
  Organic yogurt
  Organic cheese
  Others


Distribution Channel

  Offline
  Online


Source

  Cow Milk
  Buffalo Milk
  Other Animal Milk


Application

  Children
  Adults
  Aged


Packaging Type

  Pouches
  Cartons
  Bottles
  Cups
  Tubs


Geography

  North America

    US
    Canada


  Europe

    France
    Germany
    Italy
    UK


  Middle East and Africa

    Egypt
    KSA
    Oman
    UAE


  APAC

    China
    India
    Japan


  South America

    Argentina
    Brazil


  Rest of World (ROW)

By Product Insights

The organic milk segment is estimated to witness significant growth during the forecast period.

The organic dairy market in the US is witnessing significant growth due to increasing consumer preference for sustainable dairy farming and production methods. Organic dairy farming involves raising livestock on organic feed, free from synthetic hormones and antibiotics, resulting in milk that is free from these substances. The environmentally-friendly organic farming practices, which exclude the use of chemicals and pesticides, further add to the appeal. Dairy processing technology plays a crucial role in maintaining the quality of organic dairy products. Homogenization methods ensure consistent milk fat percentage and milk protein content, while pasteurization techniques extend shelf life. Cheesemaking techniques and yogurt production processes are also essential to preserve the natural taste and texture of these products.

Food safety regulations are stringently enforced to ensure the highest stan

This statistic depicts the market value of organic dairy products worldwide in 2018 to 2022, and provides a forecast for 2028. In 2022, the global market value of organic dairy products reached 23.9 billion U.S. dollars, and is projected to increase to 36 billion U.S. dollars by 2028.

The global organic dairy market is experiencing robust growth, driven by escalating consumer demand for healthier and ethically sourced food products. Rising awareness of the health benefits associated with organic dairy, such as reduced pesticide exposure and potentially higher nutrient content, is a primary factor fueling this expansion. Furthermore, increasing disposable incomes, particularly in developing economies, are enabling consumers to afford premium organic products. The market is segmented by application (children, adults, the aged) and product type (liquid milk, milk powder, cheese & butter, ice cream), offering diverse avenues for growth. While the precise market size for 2025 is unavailable, a reasonable estimation based on industry reports and observed CAGR for similar markets suggests a size in the range of $15-20 billion USD. This estimate considers factors such as fluctuating raw material prices and the competitive landscape. Growth is expected to continue across all segments, with liquid milk and cheese & butter potentially showing stronger performance due to their versatility and widespread consumer preference. The market, however, faces challenges such as higher production costs compared to conventional dairy, potentially limiting accessibility for price-sensitive consumers. Furthermore, fluctuations in milk production due to climatic conditions and stricter organic certification standards can also influence overall market growth. The leading players in the organic dairy sector, including AMUL, Danone, Arla Foods, and others, are actively investing in research and development to enhance product quality, explore new product formulations, and expand their distribution networks. Strategic mergers and acquisitions, alongside increased emphasis on sustainable farming practices, are shaping the market's competitive dynamics. Regional variations exist, with North America and Europe currently holding significant market shares due to established organic farming practices and higher consumer awareness. However, Asia-Pacific is projected to witness significant growth in the coming years, fueled by rising disposable incomes and a growing preference for healthier lifestyles. The forecast period (2025-2033) promises further expansion, driven by continued consumer demand and industry innovations, although external factors such as economic instability and regulatory changes could influence the overall trajectory.

The Organic Milk Market Report is Segmented by Product Form (Fresh/Pasteurized, UHT, and More), Source (Cow, Buffalo, and More), Packaging Material (Cartons/Tetra Pak, and More), Distribution Channel (Off Trade and On Trade), and Geography (North America, South America, Europe, Asia-Pacific, and More). The Market Forecasts are Provided in Terms of Value (USD).

The Global Organic Dairy Products market is anticipated to grow at more than 7.5% CAGR from 2025 to 2030.

Global Organic Dairy Products Market is poised for a significant growth, with market size projected to surge from USD 30.50 Billion in 2024 to USD 55.52 Billion by 2033, showcasing a robust Compound Annual Growth Rate (CAGR) of 6.88% during the forecast period.

The Global Organic Dairy Products market size to cross USD 55.52 Billion in 2033. [https://edison.valuemarketresearch.com//uploads/report

Organic Dairy Market size was valued at USD 25.57 Billion in 2024 and is projected to reach USD 40.56 Billion by 2031, growing at a CAGR of 6.55% from 2024 to 2031.

Global Organic Dairy Market Drivers

Health Consciousness: One important factor is customers' growing knowledge of the advantages organic dairy products have over conventional dairy products in terms of their health. Dairy products that are organic are said to be healthier as they don't include artificial hormones, antibiotics, or pesticides.

Growing Disposable Income: As customers' disposable income rises, they are more inclined to spend money on upscale and healthful food options, such as dairy products produced organically. This trend is especially noticeable among middle-class and upper-class individuals living in cities.

Growing Demand for Organic Products: Due to worries about food safety, environmental sustainability, and animal welfare, there is a general trend towards the use of organic foods. Customers' desire for more sustainably and ethically produced food options is driving up demand for organic dairy products, which is positively impacted by this broader trend.

Government Support and Regulations: The expansion of the organic market is mostly driven by government programs that encourage organic agricultural methods and laws that guarantee the legitimacy and caliber of organic goods. Farmers are encouraged to switch to organic dairy production through subsidies, certification schemes, and financial rewards for organic agriculture.

As per Cognitive Market Research's latest published report, the Global organic dairy products market size was $22.80 Billion in 2021 and it is forecasted to reach $56.17 Billion by 2029. organic dairy products Industry's Compound Annual Growth Rate will be 11.93% from 2023 to 2030. Factors Affecting Organic Dairy Products market growth

The increasing consumption of organic milk along with growing consumer concerns about food safety and animal welfare is a key driving factor responsible for the growth of the organic dairy products market over the forecast period. Organic milk has been found to be more nutritional than traditional milk. While a recent study conducted in Wales reported organic milk has a high content of conjugated linoleic acid and higher levels of vitamin E, beta carotene, antioxidants, and the presence of more omega-3 fatty acids. Additionally, governments are taking initiatives to promote organic farming among farmers and the demand for organic brands has been growing continuously is another factor that boosts the growth of the organic dairy products market during the forecast period. However, strict legal parameters are associated with the diet of cows on organic farms which are granted independent certification. This may limit the growth of this market. Furthermore, the new developments in organic farming will offer numerous opportunities for the market near future. Organic dairy products will represent the major market share with more awareness of healthy food and safety. What are Organic Dairy Products?

Organic dairy products contain good nutritional content that does not include antibiotics, synthetic growth hormones, and controversial pesticides. Organic dairy products have higher nutritional content and healthier omega-3 fatty acids and disease-fighting antioxidants than regular milk. Organic cows are raised in suitable pasture conditions and eat nutritious diets so that organic milk can be served without antibiotics. These organic products can allow getting the nutritional benefits of milk exposed to chemical contaminants.

Increasing awareness among consumers about adverse effects of consumption of synthetic food products, rising incidence of chronic and lifestyle diseases, and supportive government initiatives to promote adoption of organic food products

The global organic milk products market size was valued at USD 4,786.3 million in 2020 and is projected to expand at a CAGR of 4% during the forecast period, reaching USD 6,742.7 million by 2033. The rising health awareness among consumers has led to an increase in the demand for organic dairy products, including organic milk. Additionally, the growing popularity of plant-based milk alternatives, such as soy milk and almond milk, is also driving the growth of the organic milk products market. Key drivers of the organic milk products market include the increasing consumer demand for natural and healthy products, the growing prevalence of lactose intolerance, and the rising disposable income in emerging economies. However, the high cost of organic milk products and the limited availability of organic milk in some regions are major challenges faced by the market. The market is segmented by application, type, company, and region. By application, the market is divided into children, adults, and the aged. By type, the market is classified into organic whole milk, organic 2% milk, organic 1% milk, organic fat-free milk, and others. By company, the market is dominated by Horizon Organic, Arla, Organic Valley, Emmi, Aurora Organic Dairy, Yeo Valley, Andechser Molkerei Scheitz, Thise Dairy, Avalon, Bruton Dairy, Yili, Mengniu, and Shengmu Organic Milk. By region, the market is segmented into North America, South America, Europe, the Middle East & Africa, and Asia Pacific.

Global Organic Dairy Products Market market size valued at US$ 4.45 Billion in 2023, set to reach US$ 6.73 Billion by 2032 at a CAGR of about 4.7% from 2024 to 2032.

The global organic dairy products market is experiencing robust growth, driven by increasing consumer awareness of health and wellness, a preference for natural and sustainable food options, and rising disposable incomes in developing economies. The market size in 2025 is estimated at $25 billion, exhibiting a Compound Annual Growth Rate (CAGR) of 8% from 2025 to 2033. This signifies substantial market expansion, reaching an estimated value of approximately $45 billion by 2033. Key drivers include the growing demand for organic milk, yogurt, cheese, and butter, fueled by a perception of superior nutritional value and reduced environmental impact compared to conventional dairy products. Furthermore, stringent regulations and certifications regarding organic farming practices enhance consumer trust and propel market growth. However, the market faces challenges such as higher production costs compared to conventional dairy, limited availability in certain regions, and price sensitivity among consumers. Despite these restraints, several trends are shaping the market's future. The rise of online grocery shopping and direct-to-consumer models is broadening distribution channels and access to organic dairy products. Innovation in product offerings, such as plant-based organic alternatives and functional organic dairy products with added health benefits, is also driving growth. The increasing adoption of sustainable farming practices and traceability initiatives further enhance the appeal of organic dairy products among environmentally conscious consumers. Major players like Amul, Danone, Arla Foods, and others are investing in organic dairy production and expanding their product portfolios to capitalize on this expanding market opportunity. The competitive landscape is dynamic, with both established players and smaller organic dairy farms vying for market share.

The global organic dairy products market is experiencing robust growth, driven by increasing consumer awareness of health and wellness, a rising preference for natural and sustainable food options, and stricter regulations regarding the use of antibiotics and hormones in conventional dairy farming. The market, currently estimated at $25 billion in 2025, is projected to maintain a healthy Compound Annual Growth Rate (CAGR) of 7% from 2025 to 2033, reaching approximately $45 billion by the end of the forecast period. This growth is fueled by several key trends, including the proliferation of organic certifications and labels, the expansion of retail channels offering organic products, and the increasing availability of organic dairy alternatives like plant-based milks and yogurts. However, higher production costs associated with organic farming and the fluctuating price of raw materials pose significant challenges to market expansion. Furthermore, limited availability in certain regions and misconceptions regarding the nutritional value of organic dairy products compared to conventional options represent potential restraints. Key players like Amul, Danone, Arla Foods, and others are strategically investing in research and development, expanding their product portfolios, and focusing on building strong brand identities to capitalize on the growing demand. The market is segmented by product type (milk, yogurt, cheese, butter, etc.), distribution channel (supermarkets/hypermarkets, specialty stores, online retailers), and geography. Regional variations in consumer preferences, regulatory frameworks, and economic conditions significantly impact market dynamics. North America and Europe currently hold a substantial market share, but Asia-Pacific is expected to witness significant growth in the coming years due to rising disposable incomes and changing dietary habits. The competitive landscape is characterized by both large multinational corporations and smaller regional players, each vying for market share through product innovation, strategic partnerships, and brand building. Continued focus on sustainability and transparency throughout the supply chain will be crucial for long-term market success.

Global Organic Dairy Products Market Size, Share 2021 By Product Type (Organic Drinking Milk, Organic Yogurt etc.), By Region, Competition Forecast & Opportunities

The global grass-based dairy products market is experiencing robust growth, driven by increasing consumer awareness of health and sustainability. Demand for products perceived as natural and ethically sourced is fueling this expansion. While precise market sizing data is not fully provided, let's assume a 2025 market size of $15 billion USD based on typical market values for niche dairy segments with similar growth trajectories. Considering a conservative Compound Annual Growth Rate (CAGR) of 7% over the forecast period (2025-2033), the market is projected to reach approximately $28 billion USD by 2033. Key drivers include rising consumer preference for organic and grass-fed dairy, growing concerns about the environmental impact of conventional dairy farming, and the increasing popularity of dairy-based products in health-conscious diets. Market segmentation reveals strong demand across various applications, including supermarkets, online retailers, and retail establishments, with milk, yogurt, and cheese representing significant product categories. Regional variations exist, with North America and Europe currently holding larger market shares, but Asia-Pacific is anticipated to exhibit significant growth potential in the coming years due to increasing disposable incomes and changing dietary habits. However, potential restraints include price sensitivity, fluctuating raw material costs, and the challenges associated with scaling grass-fed dairy production to meet burgeoning global demand. The competitive landscape is marked by a mix of established players and emerging regional brands. Large multinational companies play a significant role, particularly in distribution and marketing, but smaller, locally focused businesses often cater to the growing demand for regionally sourced and artisanal grass-fed dairy products. The ongoing focus on sustainability, traceability, and ethical sourcing is likely to shape future market dynamics, with consumers increasingly demanding transparency across the entire supply chain. The market's future growth trajectory will be significantly impacted by factors such as government regulations promoting sustainable agriculture, consumer education on the benefits of grass-fed dairy, and advancements in farming technologies aimed at optimizing efficiency and production.

This statistic shows the sales of organic dairy products in the United States from 2016 to 2025. In 2020, sales of organic dairy yielded approximately ************ U.S. dollars in the United states.

US grass-fed organic dairy Market is estimated to grow at a robust CAGR due to the growing awareness about benefits of grass fed organic dairy products among consumers.

The organic milk market size was estimated at USD 24.91 billion in 2024. The organic milk industry is expected to grow from USD 25.6 billion in 2025 to USD 34.6 billion by 2035.

Country wise Insights

Organic Dairy Products Market Outlook

The global market size for organic dairy products was estimated at USD 18.4 billion in 2023 and is projected to reach USD 37.2 billion by 2032, growing at a compound annual growth rate (CAGR) of 8.4% from 2024 to 2032. This impressive growth can be attributed to increasing consumer awareness about the benefits of organic food, rising health concerns, and the subsequent shift towards organic dairy products. The market expansion is further fueled by supportive governmental policies and the rising trend of sustainable farming practices.

One of the primary growth factors for the organic dairy products market is the escalating consumer preference for natural and organic foods. With increasing health consciousness, consumers are becoming more cautious about the quality and source of the food they consume. Organic dairy products are free from synthetic additives, hormones, and antibiotics, making them a healthier choice. This heightened awareness is driving significant demand for organic dairy products, particularly in urban areas where consumers are more exposed to health trends and have higher disposable incomes. Additionally, the rising prevalence of lactose intolerance and dairy allergies is contributing to the demand for organic alternatives, which are perceived to be easier to digest and less likely to cause allergic reactions.

Furthermore, the growing environmental concerns and the increasing focus on sustainable agricultural practices are influencing consumer behavior, thereby boosting the organic dairy products market. Organic farming practices are designed to be more ecologically sustainable, involving lower levels of pesticides and synthetic fertilizers. This not only benefits the environment but also addresses the ethical concerns of consumers who are becoming more environmentally conscious. The market is also witnessing a surge in product innovation and diversification, with manufacturers introducing a variety of organic dairy products such as flavored milk, cheese varieties, and probiotic yogurts, which cater to diverse consumer preferences.

The regulatory framework and supportive government policies are also playing a crucial role in the growth of the organic dairy products market. Many governments are implementing organic certification standards and providing subsidies and incentives to promote organic farming. These initiatives are encouraging more farmers to transition from conventional to organic farming, thereby increasing the supply of organic dairy products. Furthermore, the adoption of advanced technologies in organic farming is enhancing productivity and quality, thereby making organic dairy products more accessible and affordable to consumers.

The concept of Organic Dairy goes beyond just the absence of synthetic additives; it encompasses a holistic approach to farming that prioritizes animal welfare and environmental sustainability. Organic dairy farms often adhere to strict standards that ensure cows are raised in humane conditions, with access to pasture and a diet free from genetically modified organisms. This approach not only enhances the quality of the milk produced but also aligns with the values of consumers who are increasingly concerned about the ethical implications of their food choices. As such, the organic dairy sector is not just about providing healthier options but also about fostering a more sustainable and ethical food system.

Regionally, North America and Europe dominate the organic dairy products market, driven by high consumer awareness and stringent regulatory standards for organic certification. In North America, particularly in the United States, the market is bolstered by a robust retail network and substantial investments in organic farming. Europe, on the other hand, benefits from a long-standing tradition of organic agriculture and strong consumer demand for organic products. The Asia Pacific region is emerging as a significant market due to the growing middle class, increasing disposable incomes, and rising health consciousness. Countries like China and India are witnessing rapid growth in the organic dairy sector, supported by government initiatives and increasing consumer preference for organic products.

Product Type Analysis

The organic milk segment is one of the most significant contributors to the organic dairy products market. Organic milk, being a staple in many households, is witnessing robust demand due to its perceived health benefits over conventiona