“Global Buttermilk Powder Market to reach a market value of USD 5.4 Billion by 2031 growing at a CAGR of 7.5%”
The Global Buttermilk Powder Market size is expected to reach $5.4 billion by 2031, rising at a market growth of 7.5% CAGR during the forecast period. In the year 2023, the market attained a volume of 157,161.9 Tonnes experiencing a growth of 14.5% (2020-2023).
With an increasing preference for shelf-stable dairy alternatives, this powder fits well into this market trend. It provides an alternative to refrigerated dairy products, catering to consumers who value long shelf life and the convenience of not refrigerating their dairy ingredients. Thus, Dairy Products segment captured $578.2 Million revenue in the market in 2023. Also, Dairy Products would utilize 29,888.85 tonnes in 2023. Its ability to be reconstituted quickly into a usable form without refrigeration aligns perfectly with the modern consumer’s desire for quick, hassle-free food preparation. This powder’s long shelf life and stability make it suitable for emergency preparedness and disaster relief scenarios.
This powder is versatile in various processed products, including baked goods, snack foods, sauces, dressings, and instant mixes. The rising popularity of these products drives demand for this powder as it enhances flavour, texture, and nutritional content. This powder contributes to desirable attributes such as creaminess, tanginess, and moisture control in processed foods. Thus, the growing demand for processed foods drives the market's growth.
Additionally, the dairy industry is characterized by continuous innovation and the development of new products to meet changing consumer preferences. This includes the creation of new dairy-based formulations and specialty products that often incorporate this powder. In conclusion, the dairy sector and dairy ingredients industry drives the market's growth.
The primary raw material for this powder is dairy, specifically buttermilk. The price of raw milk and buttermilk can fluctuate due to supply and demand, weather conditions, and feed costs for dairy cows. These fluctuations can increase production costs for this powder manufacturers. The need for additional ingredients or additives to maintain product quality can further drive up costs. Thus, high production costs of this powder are hampering the market's growth.
By application, this market is divided into food & beverages, foodservice, and household. The foodservice segment acquired 23% revenue share in this market in 2023. In 2023, the segment recorded a volume of 35,394.1 tonnes in 2023. Buttermilk powder offers significant convenience for foodservice operations. Unlike liquid buttermilk, which requires refrigeration and has a limited shelf life, buttermilk powder has a long shelf life and does not need refrigeration. This makes it easier to store, handle, and use in large quantities, particularly in commercial kitchens and foodservice settings where space and storage efficiency are crucial.
On the basis of distribution channel, this market is segmented into B2B and B2C. The B2C segment recorded 72% revenue share in this market in 2023. In terms of volume, the segment recorded 34,935.2 tonnes in 2023. This powder has a longer shelf life and is easier to store, making it a convenient option for household consumers. It can be used in various home cooking and baking applications, such as pancakes, biscuits, and sauces, appealing to home cooks. Buttermilk powder is often perceived as a healthy ingredient, rich in calcium and probiotics, which appeals to health-conscious consumers.
Based on nature, this market is divided into conventional and organic. The organic segment attained 20% revenue share in this market in 2023. Increasing health and wellness awareness drives consumers to choose organic products, perceived as healthier and free from harmful chemicals and pesticides. Many consumers believe organic powder offers superior nutritional benefits to conventional options, further boosting demand. Organic farming practices are seen as more environmentally friendly and sustainable. Consumers who prioritize sustainability are more likely to choose organic buttermilk powder.
Free Valuable Insights: Global Buttermilk Powder Market size to reach USD 5.4 Billion by 2031
Region-wise, the buttermilk powder market is analyzed across North America, Europe, Asia Pacific, and LAMEA. In 2023, the Asia Pacific region generated 26% revenue share in this market. The Asia Pacific region is seeing growth in dairy production and processing, leading to an increased supply and use of dairy ingredients, including buttermilk powder. Significant investments in dairy infrastructure and technology improve the production and availability of buttermilk powder in the region. The bakery and confectionery sector in the Asia Pacific region is expanding, with a higher demand for ingredients that improve the taste and texture of products like cakes, pastries, and cookies.
| Report Attribute | Details |
|---|---|
| Market size value in 2023 | USD 3 Billion |
| Market size forecast in 2031 | USD 5.4 Billion |
| Base Year | 2023 |
| Historical Period | 2020 to 2022 |
| Forecast Period | 2024 to 2031 |
| Revenue Growth Rate | CAGR of 7.5% from 2024 to 2031 |
| Quantitative Data | Volume in Tonnes, Revenue in USD Billion, and CAGR from 2020 to 2031 |
| Number of Pages | 458 |
| Number of Tables | 1050 |
| Report coverage | Market Trends, Revenue Estimation and Forecast, Segmentation Analysis, Regional and Country Breakdown, Porter’s 5 Forces Analysis, Company Profiling, Companies Strategic Developments, SWOT Analysis, Winning Imperatives |
| Segments covered | Nature, Distribution Channel, Application, Region |
| Country scope |
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| Companies Included | Fonterra Co-operative Group Limited, Dairy Farmers of America, Inc., Arla Foods amba, Agropur Dairy Cooperative, Kerry Group plc., NOW Foods, Inc., Uelzena Group, Valio Ltd., North Cork Creameries Ltd., and Numidia B.V. |
By Distribution Channel (Volume, Tonnes, USD Billion, 2020-2031)
By Nature (Volume, Tonnes, USD Billion, 2020-2031)
By Application (Volume, Tonnes, USD Billion, 2020-2031)
By Geography (Volume, Tonnes, USD Billion, 2020-2031)
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