The dairy products market, which will be worth USD 649.88 billion in 2025, is expected to reach USD 813.58 billion by 2035, with a CAGR of 2.3% from 2025 to 2035.

Metrics	Values
Industry Size (2025E)	USD 649.88 billion
Industry Value (2035F)	USD 813.58 billion
CAGR (2025 to 2035)	2.3%

Semi-Annual Demand Space Update

Particular	Value CAGR
H1 (2024 to 2034)	2.7%
H2 (2024 to 2034)	2.8%
H1 (2025 to 2035)	2.3%
H2 (2025 to 2035)	2.4%

Segment-wise Analysis

Segment	Value Share (2025)
Milk (Product Type)	42.3%

Segment	Value Share (2025)
Convenience Store	66.6%

Country-wise Analysis

Countries	CAGR (2025 to 2035)
USA	4.8%
UK	3.6%
France	3.2%
Germany	3.5%
Italy	3.1%
South Korea	5.2%
Japan	2.9%
China	6.4%
Australia	4%
New Zealand	4.5%

Competitive Outlook

Company Name	Estimated Market Share (%)
Nestlé	20-24%
Danone	18-22%
Fonterra	14-18%
Arla Foods	10-14%
Lactalis	8-12%
Other Companies (Combined)	30-40%

The Dairy Market report segments the industry into Category (Butter, Cheese, Cream, Dairy Desserts, Milk, Sour Milk Drinks, Yogurt), Distribution Channel (Off-Trade, On-Trade), and Region (Africa, Asia-Pacific, Europe, Middle East, North America, South America). Includes five years of historical data and forecasts for the next five years.

The United States Dairy Market is segmented by Category (Butter, Cheese, Cream, Dairy Desserts, Milk, Sour Milk Drinks, Yogurt) and by Distribution Channel (Off-Trade, On-Trade). Market Value in USD and Volume are both presented. Key Data Points observed include Per capita consumption; Population; and Dairy production.

The international market for milk and milk products free from lactose in the year 2024 was estimated to be USD 13,874.3 million. The market for lactose free milk led to growth in 2025 and thus the overall world market was estimated to have been worth USD 14,581.8 million in 2025. Sales during the forecasting period (2025-2035) would be at a constant average rate of growth of 5.6 % CAGR, finally ending up with a value of USD 25,118.8 million in 2035.

Attributes	Description
Estimated Global Lactose Free Dairy Product Industry Size (2025E)	USD 14,581.8 million
Projected Global Lactose Free Dairy Product Industry Value (2035F)	USD 25,118.8 million
Value-based CAGR (2025 to 2035)	5.6 %

Semi-Annual Market Update

Particular	Value CAGR
H1	5.2 % (2024 to 2034)
H2	5.4 % (2024 to 2034)
H1	5.5 % (2025 to 2035)
H2	5.6 % (2025 to 2035)

Country-wise Insights

Country	CAGR (2025-2035)
USA	5.2%
Germany	4.8%
China	6.1%
Japan	4.5%
India	7.0%

Category-Wise Insights

Segment	Value Share (2025)
Milk (By Product Type)	48.7 %

Segment	Value Share (2025)
Organic (By Nature)	37.9%

According to Cognitive Market Research, the global Dairy Product market size will be USD 501241.5 million in 2024. It will expand at a compound annual growth rate (CAGR) of 8.00% from 2024 to 2031.

North America held the major market share for more than 40% of the global revenue with a market size of USD 200496.60 million in 2024 and will grow at a compound annual growth rate (CAGR) of 6.2% from 2024 to 2031.
Europe accounted for a market share of over 30% of the global revenue with a market size of USD 150372.45 million.
Asia Pacific held a market share of around 23% of the global revenue with a market size of USD 115285.55 million in 2024 and will grow at a compound annual growth rate (CAGR) of 10.0% from 2024 to 2031.
Latin America had a market share of more than 5% of the global revenue with a market size of USD 25062.08 million in 2024 and will grow at a compound annual growth rate (CAGR) of 7.4% from 2024 to 2031.
Middle East and Africa had a market share of around 2% of the global revenue and was estimated at a market size of USD 10024.83 million in 2024 and will grow at a compound annual growth rate (CAGR) of 7.7% from 2024 to 2031.
The Milk category is the fastest growing segment of the Dairy Product industry

Market Dynamics of Dairy Product Market

Key Drivers for Dairy Product Market

Growing Global Population to Boost Market Growth

a growing population, rising consumer personal disposable income, rising health consciousness, rising milk output in developing countries, and rising consumption of foods enhanced with protein. These are some of the elements driving the market's expansion in demand for dairy products. By 2050, there will be 9.9 billion people on the planet, according to the Population Reference Bureau. Due to population expansion, there is a significant demand for dairy products, including milk, butter, yoghurt, and other dairy products. Customers directly use these products for a number of reasons. Cheese is good for the heart, according to studies, and demand for dairy products is rising globally as more people become aware of its health advantages. As consumers switch from eating meat to dairy-based products for micronutrients and proteins, the demand for dairy-based products is predicted to increase dramatically over the coming years.

Increase in Government Programs and Activities to Drive Market Growth

The industry is anticipated to expand as a result of government programs and activities targeted at enhancing the output of milk and livestock. For example, the National Dairy Program of the Indian Government seeks to increase milk and cattle production. The growing popularity of fast-food restaurants has significantly increased the consumption of cheese, dairy desserts, and butter. The consumption of dairy products in households is being driven by their wonderful taste and high protein content. They are frequently used in a variety of foods, such as pizza, burgers, and pasta. Furthermore, most households today consider milk to be a daily and necessary product. Consequently, it is anticipated that the global market for dairy products will expand significantly throughout the forecast period.

Restraint Factor for the Dairy Product Market

Rise of Plant-Based Alternatives Will Limit Market Growth

Consumers' increased concern for animal welfare is driving up demand for plant-based food substitutes. Soy milk, almond milk, non-dairy ice creams, cheese substitutes, and whipped cream are examples of plant-based dairy products that are quickly making their way into the mainstream retail market because of the rising belief that they are safer and healthier. It is anticipated that the fast growing dairy substitutes market, which includes new product innovations including non-dairy ice creams, cheese substitutes, and whipped creams, will impede the expansion of the global dairy products market. One significant issue impeding the growth of the global dairy products market is the growing number of people who do not ingest lactose.

Impact of Covid-19 on the Dairy Product Market

The coronavirus epidemic has had an impact on the world economy since governments all around the world implemented lockdowns to restrict travel. International travel and industrial operations were suspended as a result of these lockdowns. Nearly every industrial sector suffered greatly as a result of these actions. Labour shortages and supply chain failures also affect...

The India Dairy Market is segmented by Category (Butter, Cheese, Cream, Dairy Desserts, Milk, Sour Milk Drinks, Yogurt) and by Distribution Channel (Off-Trade, On-Trade). Market Value in USD and Volume are both presented. Key Data Points observed include Per capita consumption; Population; and Dairy production.

The global dairy products market size was valued at around USD 526.83 billion in 2024 and is projected to grow at a CAGR of around 3.3%, reaching USD 803.48 billion revenue by 2037. Milk segment is likely to attain 65% share by 2037, fueled by increase in milk consumption in emerging nations, attributed to its high nutritional value, providing ample protein and calcium.

This statistic depicts the forecasted market value of fortified dairy products worldwide from 2017 to 2026. In 2017, the estimated global market value of fortified dairy products was some 83.7 billion U.S. dollars, and is forecasted to increase to 150 billion U.S. dollars by 2026.

The global dairy foods market size was valued at USD 771.73 billion in 2021 and is expected to grow at a compound annual growth rate (CAGR) of 6.5% from 2022 to 2030.

The North America Dairy Market is segmented by Category (Butter, Cheese, Cream, Dairy Desserts, Milk, Sour Milk Drinks, Yogurt), by Distribution Channel (Off-Trade, On-Trade) and by Country (Canada, Mexico, United States). Market Value in USD and Volume are both presented. Key Data Points observed include Per capita consumption; Population; and Dairy production.

The functional dairy products market is expected to witness steady growth between 2025 and 2035, driven by rising consumer demand for nutrient-rich dairy products with health benefits. The market was valued at USD 48,600 million in 2025 and is projected to reach USD 74,100 million by 2035, reflecting a compound annual growth rate (CAGR) of 4.5% over the forecast period.

Metric Overview

Metric	Value
Market Size (2025E)	USD 48,600 million
Market Value (2035F)	USD 74,100 million
CAGR (2025 to 2035)	4.5%

Country-wise Outlook

Country	CAGR (2025 to 2035)
United States	4.2%

Country	CAGR (2025 to 2035)
United Kingdom	3.9%

Country	CAGR (2025 to 2035)
European Union	4.1%

Country	CAGR (2025 to 2035)
Japan	3.8%

Country	CAGR (2025 to 2035)
South Korea	4.3%

Competitive Outlook

Company Name	Estimated Market Share (%)
Danone S.A.	20-24%
Nestlé S.A.	15-19%
Yakult Honsha Co., Ltd.	12-16%
Arla Foods	10-14%
Other Companies (Combined)	30-40%

Global Dairy Products market size is expected to reach $657.27 billion by 2029 at 4.6%, surging demand propels growth in the dairy products market

The Europe Dairy Market is segmented by Category (Butter, Cheese, Cream, Dairy Desserts, Milk, Sour Milk Drinks, Yogurt), by Distribution Channel (Off-Trade, On-Trade) and by Country (Belgium, France, Germany, Italy, Netherlands, Russia, Spain, Turkey, United Kingdom). Market Value in USD and Volume are both presented. Key Data Points observed include Per capita consumption; Population; and Dairy production.

The volume is forecast to experience significant growth in all segments in 2030. Especially notable is the remarkably robust growth observed in the Milk segment as we approach the end of the forecast period. This value, reaching ***** thousand tons, stands out significantly compared to the average changes, which are estimated at ******** thousand tons. Find further statistics on other topics such as a comparison of the volume in Egypt and a comparison of the average volume per capita in Belgium. The Statista Market Insights cover a broad range of additional markets.

According to Cognitive Market Research, the global Dairy Industry Market size will be USD 891254.2 million in 2024 and will expand at a compound annual growth rate (CAGR) of 4.60% from 2024 to 2031.

North America held the major market of more than 40% of the global revenue with a market size of USD 356501.68 million in 2024 and will grow at a compound annual growth rate (CAGR) of 2.8% from 2024 to 2031.
Europe accounted for a share of over 30% of the global market size of USD 267376.26 million.
Asia Pacific held the market of around 23% of the global revenue with a market size of USD 204988.47 million in 2024 and will grow at a compound annual growth rate (CAGR) of 6.6% from 2024 to 2031.
The Latin America market will account for more than 5% of global revenue and have a market size of USD 44562.71 million in 2024. It will grow at a compound annual growth rate (CAGR) of 4.0% from 2024 to 2031.
The Middle East and Africa held the major markets, accounting for around 2% of the global revenue. The market was USD 17825.08 million in 2024 and will grow at a compound annual growth rate (CAGR) of 4.3% from 2024 to 2031.
The Bakery & Confectionery held the highest Dairy Industry Market revenue share in 2024.

Key Driver for the Dairy Industry Market

Income Growth and Urbanization to Increase the Demand Globally

As income levels rise and urbanization accelerates worldwide, the demand for dairy products, including cheese, is expected to increase significantly. Urbanization brings about changes in lifestyle and dietary habits, with urban populations often having greater purchasing power and access to a wider variety of food options. With more people living in urban areas, there is a higher demand for convenient and processed foods, including cheese, which is versatile and widely enjoyed in various cuisines.

Additionally, as disposable incomes increase, consumers are more likely to incorporate dairy products into their diets as part of a more diverse and nutritionally rich food intake. These factors create a conducive environment for the growth of the cheese segment within the dairy industry, with opportunities for producers to innovate, expand their product offerings, and tap into new markets both domestically and internationally.

Population Growth to Propel Market Growth

Population growth is a significant driver propelling market growth across various industries, including the dairy sector. As the global population continues to expand, particularly in emerging economies, the demand for dairy products is expected to rise steadily. With more mouths to feed, there is an increased need for staple foods like dairy, which provides essential nutrients such as protein, calcium, and vitamins. Moreover, population growth often correlates with urbanization, as more people move to cities in search of better opportunities. Urban populations tend to have higher purchasing power and access to a diverse range of food products, including dairy items like milk, cheese, and yogurt.

Furthermore, population growth isn't just about quantity but also demographic shifts. Changes in age demographics, such as an aging population in some regions, can also impact dairy consumption patterns. Older adults may seek dairy products for their calcium content to support bone health, contributing to sustained demand for dairy products.

Restarint Analysis for Dairy Industry Market

Health Concerns and Dietary Shifts to Limit the Sales

While population growth is a significant driver of market growth in the dairy industry, it's essential to recognize that health concerns and dietary shifts can act as limiting factors, impacting sales. In recent years, there has been a growing awareness of health issues related to dairy consumption, including lactose intolerance, concerns about cholesterol levels, and saturated fats. These health concerns have prompted some consumers to reduce their intake of dairy products or seek alternatives.

Additionally, dietary shifts towards plant-based diets and veganism have gained traction, driven by concerns about animal welfare, environmental sustainability, and perceived health benefits. As a result, many consumers are opting for plant-based dairy alternatives such as almond milk, soy milk, and oat milk, which offer similar nutritional profiles without the drawbacks associated with dairy consumption.

Impact of COVID-19 on the Dairy Industry Ma...

The Saudi Arabia Dairy Market is segmented by Category (Butter, Cheese, Cream, Dairy Desserts, Milk, Sour Milk Drinks, Yogurt) and by Distribution Channel (Off-Trade, On-Trade). Market Value in USD and Volume are both presented. Key Data Points observed include Per capita consumption; Population; and Dairy production.

Dairy Products Market is growing at a CAGR of 3.2% during the forecast period 2024-2031

The global lactose-free dairy products market was valued at $14,653.5 million in 2023 and is expected to reach $29,158.8 million by 2033, growing at a CAGR of 7.12%.

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 size of the United States Dairy Market was valued at USD XX Million in 2023 and is projected to reach USD XXX Million by 2032, with an expected CAGR of 4.30% during the forecast period. The dairy industry in the United States includes the manufacturing, circulation, and promotion of milk and various dairy goods like cheese, butter, yogurt, and ice cream. The market is enjoying consistent expansion, fueled by rising health-conscious customers and high per capita personal income. Dairy Farmers of America, Dean Foods, and Danone are dominating the market with large product offerings and strong distribution systems. The increasing popularity of high-protein diets and the use of dairy in a variety of food products are driving the growth in demand for dairy products. In spite of obstacles like varying milk prices and strict regulations, the market is optimistic due to continuous research and development endeavors. This path underscores the crucial importance of dairy items in the American diet and their possibility for continuous expansion in the U.S. market. Recent developments include: December 2022: Lactalis Canada acquired Kraft Heinz's Grated Cheese business in Canada, marking its entry into the ambient category.November 2022: The Kraft Heinz Company launched the cheesecake kit Philly Handbag.August 2022: Dairy Farmers of America acquired two shelf-extended facilities of SmithFoods. The strategy of this acquisition was to assist the corporation in capitalizing on the market's growing demand for products with extended shelf lives.. Key drivers for this market are: Growing Demand for Cocoa Butter Equivalents Among Food Manufacturers, Rising Application in Food Industry. Potential restraints include: Health Concerns Pertaining to the Excessive Consumption of Fats and Oils. Notable trends are: OTHER KEY INDUSTRY TRENDS COVERED IN THE REPORT.