Organic Dairy Products Market Size, Share, Growth, Forecast 2032

Organic Dairy Products Market Insights

Zion Market Research has published a report on the global Organic Dairy Products Market, estimating its value at USD 4.45 Billion in 2023, with projections indicating that it will reach USD 6.73 Billion by 2032. The market is expected to expand at a compound annual growth rate (CAGR) of 4.7% over the forecast period 2024-2032. The report explores the factors fueling market growth, the hitches that could hamper this expansion, and the opportunities that may arise in the Organic Dairy Products Market industry. Additionally, it offers a detailed analysis of how these elements will affect market demand dynamics and market performance throughout the forecast period.

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Organic dairy products are produced through livestock that have been raised with organic farming methods. These products are preservative-free and high in anti-oxidants, vitamins, omega-3 fatty acids, and conjugated linoleic acid when compared to typical dairy products. Such products are known to provide a range of health benefits such as improved metabolism, lower risk of heart disease and others.

Increasing demand for organic dairy products can be primarily attributed to evolving food consumption habits of consumers, particularly in urban areas. Consumers are increasingly shifting to organic, unadulterated, farm-fresh dairy products owing to the rising awareness of health benefits from these products. Recently, new flavors and innovative variants of organic dairy products such as flavoured milk and flavoured yoghurt are being introduced by key players. E-commerce of organic dairy products is also on the rise as people continue to stay at home during the ongoing global pandemic.

Growth Factors

One of the primary factors fueling the growth of this market is the high nutritional value associated with organic dairy products. Increasing health consciousness among consumers has led them to adopt price-centric high-quality and expensive organic dairy products. Growing health concerns in individuals all over the world, such as cardiovascular illnesses, high blood pressure, and others are expected to positively impact the market's trajectory throughout the forecast period.

Furthermore, technological developments for producing innovative, low-fat, and low-sugar products are expected to fuel demand in the coming years. There has been a rise in ventures to facilitate the research activities to come up with new products in the market which can be expected to bolster growth of the global organic dairy products market.

Organic Dairy Products Market: Report Scope

Product Segment Analysis Preview

Milk segment held a share of around 45% in 2020. Organic milk is known for its nutritional properties and contains all the good stuff instead of pesticides or synthetic chemicals. In a number of studies, organic milk has shown to have a higher nutritional content, as well as more healthful omega-3 fatty acids and disease-fighting antioxidants than non-organic milk. Particularly for the healthy growth of children, parents prefer organic milk.

Distribution Channel Segment Analysis Preview

Offline segment will grow at a CAGR of around 4.7% from 2024 to 2032. In spite of the pandemic, supermarkets, hypermarkets and other offline retailers are expected to retain dominance in this segment. This is attributable to the availability of greater shelf space and a wider selection of products in local stores. Moreover, consumers find it more convenient to purchase fresh, organic dairy products at lower prices in these stores, which is also expected to propel the growth of this segment in the coming years.

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Key Market Players & Competitive Landscape

Some of key players in Organic Dairy Products Market are:

• Arla Foods
• Aurora Organic Dairy
• Organic Valley
• Danone S.A.
• General Mills Inc.
• Horizon Organic
• Whole Foods Market
• Kroger
• Royal FrieslandCampina N.V.
• Dairy Farmers of America Inc. among others.

Acquisitions have been a significant strategy for players in this market in order to grow their market share and stay competitive. To achieve a large market share, the major competitors in the organic dairy products market have emphasised on innovative product introduction as a crucial strategy.

Regional Analysis Preview

The North American region held a share of 31.25% in 2020. This is attributable to the presence of top companies such as Aurora Organic Dairy, General Mills Inc., Organic Valley among others. Due to the growing health consciousness, consumers in the region are switching to organically made dairy products. Furthermore, as people become more aware of the health benefits from these goods, demand is expected to rise in the region. Additionally, a well developed retail channel in the region has created the easy availability of organic dairy products across supermarkets, hypermarkets, grocery stores, convenience stores and others.

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The Asia Pacific region is projected to grow at a CAGR of around 4.7% over the forecast period. This can be attributed to the growing consumer preference for high-quality products, coupled with a rise in income levels. Moreover, there is growing concern among consumers regarding the presence of pesticides and GMOs in their food, causing them to turn to organic foods.

The global organic dairy products market is segmented as follows:

By Product

• Milk
• Yogurt
• Butter
• Cheese
• Others

By Distribution Channel

• Offline
• Online

By Region

• North America
  • The U.S.
  • Canada
• Europe
  • France
  • The UK
  • Spain
  • Germany
  • Italy
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Southeast Asia
  • Rest of Asia Pacific
• Latin America
  • Brazil
  • Mexico
  • Rest of Latin America
• Middle East & Africa
  • GCC
  • South Africa
  • Rest of Middle East & Africa