In 2023, the A2 milk market is estimated to expand from US$ 2036.6 million. The market is expected to exceed US$ 5120.9 million by 2033, growing at a 9.5% CAGR during the forecast period.
The rising dairy sector and increased access to dairy products are driving the expansion of the A2 milk market. Consumer concerns about the gastrointestinal difficulties associated with ordinary milk containing A1 beta-casein protein, combined with an increasing number of people worried about their health, are moving the A2 milk sector forward. A2 milk is popular among consumers who have difficulty digesting milk and experience bloating since it is easier to digest and contains A2 beta-casein protein.
People are increasingly preferring full-flavored, easy-to-digest dairy products, which is driving A2 Milk Market growth. Some people believe that A2 beta-casein protein, which is found in certain cow milk, is easier to digest than A1 protein. Consumer demand for natural and healthy products, as well as increased awareness of lactose intolerance, are propelling market growth.
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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.
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.
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Recent Development:
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
- Store-based Retailing
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Author
Nandini Roy Choudhury (Client Partner for Food & Beverages at Future Market Insights, Inc.) has 7+ years of management consulting experience. She advises industry leaders and explores off-the-eye opportunities and challenges. She puts processes and operating models in place to support their business objectives.
She has exceptional analytical skills and often brings thought leadership to the table.
Nandini has vast functional expertise in key niches, including but not limited to food ingredients, nutrition & health solutions, animal nutrition, and marine nutrients. She is also well-versed in the pharmaceuticals, biotechnology, retail, and chemical sectors, where she advises market participants to develop methodologies and strategies that deliver results.
Her core expertise lies in corporate growth strategy, sales and marketing effectiveness, acquisitions and post-merger integration and cost reduction. Nandini has an MBA in Finance from MIT School of Business. She also holds a Bachelor’s Degree in Electrical Engineering from Nagpur University, India.
Nandini has authored several publications, and quoted in journals including Beverage Industry, Bloomberg, and Wine Industry Advisor.
About Future Market Insights (FMI)
Future Market Insights, Inc. (ESOMAR certified, recipient of the Stevie Award, and a member of the Greater New York Chamber of Commerce) offers profound insights into the driving factors that are boosting demand in the market. FMI stands as the leading global provider of market intelligence, advisory services, consulting, and events for the Packaging, Food and Beverage, Consumer Technology, Healthcare, Industrial, and Chemicals markets. With a vast team of over 5000 analysts worldwide, FMI provides global, regional, and local expertise on diverse domains and industry trends across more than 110 countries.
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