Lactose-Free Probiotic Yogurt Market to Reach USD 25.05 Billion by 2032 with 6.3% CAGR

The Lactose-Free Probiotic Yogurt Market has witnessed remarkable growth in recent years, catering to the growing demand from lactose-intolerant consumers seeking healthy dairy alternatives. This specialized yogurt variant offers the goodness of probiotics without triggering discomfort caused by lactose intolerance. The market is driven by health-conscious consumers embracing gut-friendly products that promote digestive health and overall well-being.

The global lactose free probiotic yogurt industry is forecasted to be appraised at US$ 25.05 billion by 2032, up from US$ 13.6 billion in 2022, advancing at a CAGR of 6.3% during the forecast period.

Lactose free probiotic yogurt is made without milk’s sugar lactose, and the market includes cheese, yogurt, desserts, and ice creams that are comprised of very less or no lactose content. These products offer nutritional advantages, and the market demand for lactose free probiotic yogurt is likely to get spiked by its rising use by consumers.

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Lactose Free Probiotic Yogurt Market- Notable Highlights

Some of the leading players in the lactose free probiotic yogurt industry are Dean Foods, Nestle, Arla Foods, The Danone Company Inc., Green Valley Organics, Kerry Group, Crowley Foods, Shamrock Foods Company, McNeil Nutritionals, Doves Farm Foods, Galaxy Nutritional Foods, Cargill, Daiya Foods, and Edlong Dairy Technologies.

  • Danone North America has opened new facility to increase production of its plant-based food products. The facility is likely to produce Vega yogurt alternatives and nutritional powder, along with Silk yogurt alternatives.
  • Nongfu Spring has launched vegan yogurt product in China. This product is the first mainstream plant-based yogurt in the country.
  • Oatly, a Swedish vegan brand has introduced a drinkable yogurt made using fermented oats. The new product known as Oatgurt will be provided in four flavors including strawberry, vanilla, lemon elderflower, and natural.

Lactose Free Probiotic Yogurt Market Dynamics

Rising Levels of Lactose Intolerance Driving Lactose Free Probiotic Yogurt industry

Some ethnic groups across countries are more lactose intolerant than others. According to the National Institutes of Health, around 65% of the global population is lactose intolerance. This is driving the demand for lactose free food products including lactose free probiotic yogurt. In response to growing demand for lactose free yogurt and other dairy products, food producers are focusing on using vegan milks made from peanuts, hazelnuts, rice, coconuts to produce lactose free probiotic yogurt.

Manufacturers in lactose free probiotic yogurt market are using lactases, neutral lactases is mostly used for production of lactose-free dairy products. Moreover, starter culture of live bacteria is also added in lactose free yogurt to enhance the probiotic content. Although yogurt naturally contain various types of probiotics, some manufacturers are adding additional probiotics which may include Lactobacillus acidophilus as it helps in reducing lactose, making it easy to consume probiotic yogurt for people with lactose intolerance.

Coconut Milk Yogurt Gaining Popularity in Lactose Free Probiotic Yogurt Market

Coconut milk yogurt has emerged as one of the top dairy free and lactose free source of probiotics. While Greek yogurt contains less lactose as compared to traditional milk yogurt, majority of the people with lactose intolerance are avoiding these yogurt products while switching to vegan style and lactose free probiotic yogurt such as coconut milk based yogurt. The probiotics in coconut milk yogurt offers probiotics that help to regulate digestive health by providing healthy gut bacteria. Manufacturers in lactose free probiotic yogurt market are combining coconut milk with flavorings, fruits, and active cultures in order to produce vegan yogurt with nutritional benefits. Consumers are also making their own coconut milk yogurt using canned coconut milk and powdered probiotics.

Soy, almond, and coconut are popular dairy-free yogurt bases. A few years back soy used to be popular base for dairy-free yogurt, however, food producers are providing consumers with new option, this has increased the popularity of coconut milk used as a base for yogurt.

High Cost and Poor Taste to Challenge Growth in the Lactose Free Probiotic Yogurt Market

Driven by consumer perception of dairy-free products as healthier alternatives to dairy products along with the rise in vegan population, dairy-free products made using plant-based sources are gaining popularity. However, low on taste and high cost of dairy-free products including lactose free probiotic yogurt are emerging as the challenges.

Specialty products such as non-dairy cheese and lactose free probiotic yogurt are expansive as compared to lactose containing products. Owing to the complex resources and manufacturing process, the cost of lactose-free probiotic yogurt is high. Moreover, high price of alternate milk sources also adds to the cost of lactose-free probiotic yogurt. In terms of taste, dairy-free products such as lactose free probiotic yogurt often taste different than regular dairy products. However, food producers are focusing on the ingredients in these products in order to enhance the taste and texture of lactose-free dairy products.

The report on the lactose free probiotic yogurt market is a compilation of first-hand information, qualitative and quantitative assessment by industry analysts, inputs from industry experts and industry participants across the value chain of the global lactose free probiotic yogurt market. The report provides an in-depth analysis of parent market trends, macroeconomic indicators and governing factors along with lactose free probiotic yogurt market attractiveness as per segments. The report also maps the qualitative impact of various factors on lactose free probiotic yogurt market segments and geographies.

Lactose-Free Probiotic Yogurt Market Segmentation

Based on the distribution channel, the lactose free probiotic yogurt market is segmented into

  • Hypermarket/supermarket
  • Convenience stores
  • Specialty stores
  • E-retailers

Based on the nature, the lactose free probiotic yogurt market is segmented into 

  • Conventional
  • Organic

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Report Highlights:

  • A detailed overview of parent market
  • Changing lactose free probiotic yogurt market dynamics in the industry
  • In-depth lactose free probiotic yogurt market segmentation
  • Historical, current, and projected lactose free probiotic yogurt market size regarding volume and value
  • Recent industry trends and developments in lactose free probiotic yogurt market
  • Competitive landscape of the lactose free probiotic yogurt industry
  • Strategies for key players and products offered in the lactose free probiotic yogurt market
  • Potential and niche segments, geographical regions exhibiting promising growth in lactose free probiotic yogurt market
  • A neutral perspective on lactose free probiotic yogurt market performance
  • Must-have information for lactose free probiotic yogurt market players to sustain and enhance their market footprint

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About the Author

Nikhil Kaitwade

Associate Vice President at Future Market Insights, Inc. has over a decade of experience in market research and business consulting. He has successfully delivered 1500+ client assignments, predominantly in Automotive, Chemicals, Industrial Equipment, Oil & Gas, and Service industries.
His core competency circles around developing research methodology, creating a unique analysis framework, statistical data models for pricing analysis, competition mapping, and market feasibility analysis. His expertise also extends wide and beyond analysis, advising clients on identifying growth potential in established and niche market segments, investment/divestment decisions, and market entry decision-making.
Nikhil holds an MBA degree in Marketing and IT and a Graduate in Mechanical Engineering. Nikhil has authored several publications and quoted in journals like EMS Now, EPR Magazine, and EE Times.

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