North America Dairy Products Market is Segmented By Type (Milk, Milk Powder, Cheese, Yogurt, Others), By Distribution Channel (Online Sales, Offline Sales), and By Country (The U.S., Canada, Mexico) – Share, Size, Outlook, and Opportunity Analysis, 2024-2031
North America Dairy Products Market Size
North America Dairy Products Market reached USD 92.5 million in 2022 and is expected to reach USD 127.57 million by 2030 growing with a CAGR of 4.1% during the forecast period 2024-2031.
Growing consumers demand for milk and milk-based products due to their health benefits helps to boost market growth over the forecast period. Ice cream is one of the most popular dairy products in North America. Ice cream is a frozen dessert made primarily from dairy ingredients, such as cream, milk, and sometimes butterfat. A rise in the consumer's demand for functional food such as dairy products helps to boost market growth.
Dairy alternatives are alternatives to traditional dairy products, especially for individuals who are lactose intolerant, have dairy allergies, or choose to eat as vegan diet. These substitutes are made from plants and can be used in the same way as milk. Some of the plant-based dairy alternatives are almond milk, rice milk, soy milk, coconut milk, oat milk, and cashew milk.
Market Summary
| Metrics | Details |
| CAGR | 4.1% |
| Size Available for Years | 2022-2031 |
| Forecast Period | 2024-2031 |
| Data Availability | Value (US$) |
| Segments Covered | Type, Distribution Channel and Country |
| Largest Market Share | United States |
| Report Insights Covered | Competitive Landscape Analysis, Company Profile Analysis, Market Size, Share, Growth, Demand, Recent Developments, Mergers and Acquisitions, New Product Launches, Growth Strategies, Revenue Analysis, Porter’s Analysis, Pricing Analysis, Regulatory Analysis, Supply-Chain Analysis and Other key Insights. |
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Market Dynamics
Rising Health Benefits Awareness of Consuming Dairy Products Helps to Boost Market Growth Over the Forecast Period
Dairy products are a rich source of calcium, which is essential for strong bones and teeth. Sufficient calcium intake, as part of a balanced diet, can help reduce the risk of osteoporosis and fractures, especially in older adults. Milk is a good source of high-quality protein, essential for growth, muscle repair, and overall body function. Dairy products, such as milk and yogurt, are rich in vitamins such as riboflavin (B2), B12, and pantothenic acid (B5). These vitamins play an important role in metabolism and energy production.
In addition to calcium, dairy products provide other essential minerals such as magnesium, potassium, phosphorus, and zinc, which are essential for bodily functions. Some studies suggest that the consumption of dairy products as part of a calorie-restricted diet can help regulate weight and help feelings of fullness. Certain dairy products, including yogurt and skim milk, contain probiotics, which are beneficial bacteria that support gut health and digestion.
Rising Innovative Product Launches in the Dairy Products Helps to Boost Market Growth Over the Forecast Period.
Innovative product launches in the North America market have a significant impact on dairy products market growth over the forecast period. Consumers in the market looking for new and exciting options for dairy products. Major key players in the industry invest in research and development to improve dairy products' quality. Rising demand for functional food in the region also helps to boost dairy products market growth.
Some of the major key players in the region launched new products in the market that helps to boost segment growth over the forecast period. For instance, On July 17, 2020, Halo Top, a food company launched butter tart, maple pecan, and chocolate honeycomb flavors for Canada. Halo Top is a brand of Wells Enterprises Inc. This product launch is in addition to the company's dairy and nondairy products.
The High Prices of Milk Products Hamper The Market Expansion.
If milk supply cannot keep up with the growing demand for milk, prices can rise due to scarcity. Factors such as seasonal changes, weather conditions, and diseases affecting dairy cattle can alter milk production, affecting the overall supply and consequently increasing the cost. Other factors such as animal feed, labor, and higher energy costs can increase production costs for dairy farmers, which are then passed on to consumers through higher prices.
Refrigerated transportation is often required for dairy products which are expensive due to this also prices of dairy products increase. Increased transportation costs can add to the final retail price of dairy products. On June 22, 2022, the milk prices in Canada rises by about two cents per litre. The milk prices rise by 2.5 %. This increased raise in milk is declared by Canadian Dairy Commission.
Market Segment Analysis
The North America dairy products market is segmented based on type, distribution channel, and region.
Increase in the Demand for Milk Due to its Health Benifits
The North America dairy products market by type has been segmented by milk, milk powder, cheese, yogurt and others.
Growing demand for milk in the major countries of the region such as the United States and Canada due to its health benefits helps to boost segment growth over the forecast period. United States milk production is increased due to the increase in dairy farms. In 2022, the top 5 major milk-producing states in the United States were California, Wisconsin, Idaho, Texas, and New York. These 5 states produced more than 50% of the United States milk supply.
An increase in the adoption of milk in various dairy products such as milk powder, butter, cheese, yogurt, and others also helps to boost segment growth over the forecast period. Some of the major key players in the region such as Nestlé S.A, Dairy Farmers of America, Inc., Danone S.A., Land O’Lakes, Inc., The Kraft Heinz Company, and Agropur Cooperative launched milk products which also helps to boost segment growth over the forecast period.
Market Geographical Share
The United States Held the Largest Share in North America Dairy Products Market.
The United States accounted largest market share in the region due to the increase in the disposable income of consumers. According to the dairy guidelines of Americans recommendation, eating dairy foods every day because of their association with health promotion and disease prevention. According to the data given by International Dairy Foods Association, the United States per capita dairy consumption raised to 12 lbs. per person in 2021.
According to the data given by USDA Economic Research Service (ERS), per capita dairy consumption grew by 12.4 pounds per person in 2021. The United States consumers consumed 667 pounds of dairy on a milkfat basis in 2021. Also, the consumption of milk, butter, cheese, and yogurt is increasing rapidly. Yogurt consumption is growing at the strongest growth rate. This, increase in the consumption of dairy products in the country helps to boost countries growth over the forecast period.
North America Dairy Products Market Companies
The major North America players include Nestlé S.A, Dairy Farmers of America, Inc., Danone S.A., Land O’Lakes, Inc., The Kraft Heinz Company, Agropur Cooperative, Lactalis Group, Inc., Dairy Management Inc., McKinsey & Company and Bergin Fruit & Dean Foods.
COVID-19 Impact Analysis
COVID-19 Impact
Consumer shopping patterns changed dramatically at the beginning of the pandemic. Restaurants, cafes and other food service establishments closed hence the demand for milk and milk products was decline. The pandemic led to disruptions in the supply chain and logistics, which caused a temporary shortage of dairy products in some regions.
However, despite the initial disruptions, the demand for dairy products remained resilient during the pandemic due to their essential nature and high nutritional value. With people staying at home more, cooking and baking at home has increased, leading to an increased demand for dairy products used in home cooking and baking. Moreover, the increasing health awareness among consumers during the pandemic led to a surge in demand for dairy products that are perceived to boost immunity and overall health.
By Type
- Milk
- Milk Powder
- Cheese
- Yogurt
- Others
By Distribution Channel
- Online Sales
- Offline Sales
Key Developments
- On March 18, 2020, NZ,a New Zealand based A2 milk company expanded into Canada. The company completed agreement with Canadian Agrifoods Cooperative for the distribution,production, sale and marketing of A2 milk for Canadian market.
- On November 28, 2020, Government of Canada announced investments to support dairy, poultry and egg farmers. The Government announced that $1.75 billion provided to the Canadian farmers.
- On May 18, 2023, Government of Canada, supported cheese factory in the Outaouais region. The Government announced the investment of $1,548,800 for company to increase production and productivity of the company.
Why Purchase the Report?
- To visualize the North America dairy products market segmentation based on type, distribution channel, and region, as well as understand key commercial assets and players.
- Identify commercial opportunities by analyzing trends and co-development.
- Excel data sheet with numerous data points of packaged currants market-level with all segments.
- PDF report consists of a comprehensive analysis after exhaustive qualitative interviews and an in-depth study.
- Product mapping available as excel consisting of key products of all the major players.
The North America dairy products market report would provide approximately 39 tables, 27 figures and 122 Pages.
Target Audience 2024
- Manufacturers/ Buyers
- Industry Investors/Investment Bankers
- Research Professionals
- Emerging Companies
