The global dairy market size reached USD 991.5 Billion in 2024. Looking forward, IMARC Group expects the market to reach USD 1,505.8 Billion by 2033, exhibiting a growth rate (CAGR) of 4.75% during 2025-2033. The rapid urbanization, increasing awareness about health and nutrition, significant technological advancements, rising popularity of dairy-based snacking, shifting dietary preferences and favorable government policies and regulations are some of the major factors propelling the market.
Report Attribute
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Key Statistics
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Base Year
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2024
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Forecast Years
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2025-2033
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Historical Years
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2019-2024
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Market Size in 2024 | USD 991.5 Billion |
Market Forecast in 2033 | USD 1,505.8 Billion |
Market Growth Rate 2025-2033 | 4.75% |
Rising Population Growth
As the global population continues to grow, so does the demand for essential nutrients, such as calcium and protein, which are abundantly found in dairy products. For example, as per the U.S. Census Bureau, after a historically low rate of change between 2020 and 2021, the US resident population increased by 0.4%, or 1,256,003, to 333,287,557 in 2022. Additionally, more people are transitioning from traditional diets to modern ones that include processed foods and dairy products, which is bolstering the market growth.
Rapid Urbanization
With more and more people are moving to cities for opportunities and leading busy lifestyles, convenience has become a key factor in food choices. According to United Nations Conference on Trade and Development (UNCTAD), the share of urban population has projected to increase to 56.9% in 2022. It is higher in the developed parts (79.7%) than in the developing regions (52.3%). Besides this, dairy companies have capitalized on this trend by offering a wide range of packaged, ready-to-eat (RTE), and on-the-go dairy options. Urban consumers are increasingly looking for quick and nutritious meals, making dairy an attractive choice due to its nutritional content and versatility in various recipes. As a result, the urbanization trend is propelling the future of global dairy market.
Increasing Health and Nutrition Awareness
Dairy products play a pivotal role in a balanced diet due to their rich calcium content and assistance in bone health and development. Additionally, dairy is a valuable source of protein, vitamins (such as vitamin D and B12), and minerals (like potassium and magnesium). As consumers are becoming more health-conscious and seeking wholesome and nutrient-dense foods, the global dairy market demand increases. In addition to this, the growing awareness about lactose intolerance and milk allergies is resulting in the growing need for lactose-free and plant-based dairy alternatives, thereby shaping the market dynamics. Dairy companies operating in the industry are also responding by fortifying products with additional nutrients, catering to the demand for functional foods that support overall well-being. For instance, on 17 August 2023, Skyrrup announced the launch of lactose free Greek yogurt with a protein content of 7.5 grams. It is made from A2 cow milk and not only provides essential nourishment but also offers a delightful taste.
IMARC Group provides an analysis of the key trends in each segment of the market, along with forecasts at the global and country levels for 2025-2033. Our report has categorized the market based on product type.
Breakup by Product Type:
Liquid milk accounts for the majority of the market share
The report has provided a detailed breakup and analysis of the market based on the product type. This includes liquid milk, flavored milk, cream, butter, cheese, yoghurt, ice cream, anhydrous milk fat (AMF), skimmed milk powder (SMP), whole milk powder (WMP), whey protein, lactose powder, curd, and paneer. According to the report, liquid milk represented the largest segment.
Liquid milk is the largest segment in the global dairy market analysis due to its widespread consumption among individuals worldwide. As a primary dairy product, liquid milk is sourced directly from mammals like cows, goats, and sheep, making it readily available and accessible to consumers. One of the key factors driving the dominance of liquid milk is its versatility. It serves as a standalone beverage, a vital ingredient in various recipes, and a base for producing other dairy products like butter, cheese, and yogurt. It is widely utilized in cooking, baking, and preparing dairy derivatives. Furthermore, liquid milk is perceived as a wholesome and nutritious option, rich in calcium, protein, vitamins, and minerals, all of which are essential for human growth and development. The availability of different milk variants, such as whole, skimmed, and lactose-free milk, caters to a broader consumer base with varying dietary preferences. As a result, there is a rise in the demand for liquid milk for various purposes among individuals. For instance, according to The Organization for Economic Cooperation and Development (OECD), world milk production is projected to grow at 1.6% per annum over the projection period (2020-2029) to 997 Mt by 2029, faster than most other main agricultural commodities.
Breakup by Region:
India leads the market, accounting for the largest dairy market share
The report has also provided a comprehensive analysis of all the major country markets, which include the United States, China, India, Japan, Germany, France, the United Kingdom, Italy, Spain, Australia, New Zealand, Canada, Brazil, Mexico, and Turkey. According to the report, India represents the largest regional market for dairy.
With over 1.3 billion people, there is a massive consumer base for dairy products in India. As the population continues to rise, the demand for essential nutrients provided by dairy products also accelerates. Besides this, the agricultural nature of the country ensures a significant presence of livestock, particularly cows and buffaloes. This abundance of milk-producing animals facilitates a steady supply of raw milk for dairy processing and production. Additionally, the Indian dairy industry has witnessed significant modernization and infrastructure development, which has enhanced milk collection, processing, and distribution capabilities. This has made dairy products more accessible to consumers across urban and rural areas, driving the global dairy market outlook. Moreover, the Government of India is providing various schemes, subsidies, and incentives related to dairy, which is supporting the global dairy market growth. For example, the Government of India launched National Programme for Dairy Development (NPDD) scheme to improve the quality of milk and its products and increase share of organized milk procurement. The scheme will be implemented in India for the period of five year from 2021-22 to 2025-26.
Report Features | Details |
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Base Year of the Analysis | 2024 |
Historical Period | 2019-2024 |
Forecast Period | 2025-2033 |
Units | Tons, Billion USD |
Scope of the Report | Exploration of Historical Trends and Market Outlook, Industry Catalysts and Challenges, Segment-Wise Historical and Future Market Assessment:
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Product Types Covered | Liquid Milk, Flavored Milk, Cream, Butter, Cheese, Yoghurt, Ice Cream, Anhydrous Milk Fat (AMF), Skimmed Milk Powder (SMP), Whole Milk Powder, (WMP), Whey Protein, Lactose Powder, Curd, Paneer |
Countries Covered | United States, China, India, Japan, Germany, France, United Kingdom, Italy, Spain, Australia, New Zealand, Canada, Brazil, Mexico, Turkey |
Companies Covered | Nestlé S.A., Fonterra Cooperative Group, Royal FrieslandCampina N.V., Arla Foods amba, Danone S.A., Lactalis Group, etc. |
Customization Scope | 10% Free Customization |
Post-Sale Analyst Support | 26 Weeks |
Delivery Format | PDF and Excel through Email (We can also provide the editable version of the report in PPT/Word format on special request) |
The global dairy market was valued at USD 991.5 Billion in 2024.
We expect the global dairy market to exhibit a CAGR of 4.75% during 2025-2033.
The rising consumer awareness towards several health benefits of consuming dairy and dairy-based products, such as supporting body growth, building and repairing muscle tissues, maintaining strong bones, and regulating blood pressure, is primarily driving the global dairy market.
The sudden outbreak of the COVID-19 pandemic has led to the changing consumer inclination from conventional brick-and-mortar distribution channels towards online retail platforms for the purchase of dairy and dairy-based products.
Based on the product type, the global dairy market can be bifurcated into liquid milk, flavored milk, cream, butter, cheese, yoghurt, ice cream, Anhydrous Milk Fat (AMF), Skimmed Milk Powder (SMP), Whole Milk Powder (WMP), whey protein, lactose powder, curd, and paneer. Currently, liquid milk exhibits a clear dominance in the market.
On a regional level, the market has been classified into United States, China, India, Japan, Germany, France, United Kingdom, Italy, Spain, Australia, New Zealand, Canada, Brazil, Mexico, and Turkey, where India currently dominates the global market.
Some of the major players in the global dairy market include Nestle, Fonterra, FriesandCampina, Arla Foods, Danone, Lactalis, etc.