A2 Milk Market Challenges, Future Outlook, Risks and Opportunities by 2032

The A2 milk market was valued at USD 1,984.20 Million in 2022 and is expected to reach USD 4,947.70 Million by 2032, registering a CAGR of 9.6% from 2022 to 2032.

The burgeoning dairy industry and the increase in the number of dairy products are the primary drivers of the A2 milk market growth. The growing health-conscious population and consumer concerns about the gastrointestinal problems associated with conventional milk containing A1 beta-casein protein are driving the A2 milk market growth. Many consumers who have problems digesting milk and experience bloating choose A2 milk because it is easy to digest and contains A2 beta-casein protein.

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Other factors, such as rising disposable income and increased awareness of the health benefits of A2 milk, such as boosting immunity, increasing metabolic rate, promoting mental growth, and use in bakeries and confectioneries, will all contribute to the A2 milk market growth. Moreover, the expansion of the A2milk product portfolio and the increase in hypermarkets, supermarkets, and online stores are expected to create a lucrative A2 milk market opportunity. The limited market presence of A2 milk is expected to create opportunities in this market as distribution can be expanded globally.

Restraints to A2 milk market growth include:

• The high cost of A2 milk.
• The availability of cheaper and vegan alternatives.
• A lack of proper evidence regarding the benefits of A2 milk.
• A lack of consumer awareness complicates the issue.

FMI envisions North America will persist to rank among the top economies throughout the forecast period. In the United States, manufacturers’ ingredients are getting more attention. The growing popularity of healthy foods has prompted companies in the United States to diversify their portfolios. The trend of smaller companies being acquired at a lower cost is likely to continue soon.

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Key Takeaways:

• The liquid form of A2 milk could account for 84.6% of the form segment A2 milk market.
• For the end use application segment, infant formula accounted for 22.40% of the A2 milk market.
• Carton packaging comprises 57.9% of the A2 milk market’s packaging segment.
• The United States may have a monopoly on the A2 milk market, accounting for 35% of the total.
• Japan regulates 10% of the A2 milk market.
• Australia handles 2.3% of the A2 milk market.
• During the projected period, the China market is anticipated to expand at a CAGR of 9.1%.
• During the projected period, the India market is anticipated to expand at a CAGR of 8.7%.
• During the projected period, the U.K. market is anticipated to expand at a CAGR of 7.8%.
• Germany has a 31% market share in the A2 milk market.

Competitive Landscape:

Companies are making an investment more in R&D to introduce new flavours into the A2 milk market. Aside from that, players are diversifying their product portfolios by expanding their global operations and strengthening their distribution channels.

Fonterra Co-operative Group Limited, The A2 Milk Company Limited, PURA, Dairy Farmers, Jersey Dairy, Vietnam Dairy Products Joint Stock Company, Freedom Foods Group Limited, Gujarat Cooperative Milk Marketing Federation Ltd., Vedaaz Organics Pvt. Ltd., and Provilac Dairy Farms Private Limited seem to be just a few of the major players of the A2 milk market.

Recent Development:

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Key Segments

Nature:

• Organic
• Conventional

Form:

• Liquid
• Powder

Application:

• Infant Formula
• Dairy Product
  • Butter
  • Cheese
  • Yogurt
  • Milk Powder
  • Ice Cream
  • Others
• Bakery & Confectionery
• Milk & Milk-based Beverages

Packaging:

• Glass Bottles
• Plastic Bottles & Pouches
• Carton Packaging
• Cans

Distribution Channel:

• B2B
• B2C
  • Store-based Retailing
    • Hypermarkets/Supermarkets
    • Grocery Stores
    • Convenience Stores
    • Specialty Stores
  • Online Retailing

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Future Market Insights, Inc. (ESOMAR certified, Stevie Award – recipient market research organization, and a member of Greater New York Chamber of Commerce) provides in-depth insights into governing factors elevating the demand in the market. It discloses opportunities that will favor the market growth in various segments on the basis of Source, Application, Sales Channel, and End Use over the next 10 years.

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