by The A2 milk market contains milk products that only contain the A2 beta-casein protein and not the more prevalent A1 beta-casein. A2 milk is considered easier to digest compared to regular milk by some people. The demand for A2 milk has grown substantially owing to perceived health benefits and the avoidance of any discomfort experienced by people who are sensitive to A1 protein. The global market for A2 milk has witnessed significant growth in the last decade due to rising lactose intolerance levels and growing consumer preference for nutritional food and beverages. A2 milk products command a premium price in the market.
The global A2 Milk Market is estimated to be valued at US$ 2036.6 Mn in 2023 and is expected to exhibit a CAGR of 5.4% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
One of the key trends witnessed in the A2 milk market is the significant rise in the number of product launches catering to the changing consumer preferences. Several dairy producers are focusing on developing various A2 milk products like flavored milk, yogurt, cheese, infant formula, and other packaged products to expand their portfolio and tap the potential growth opportunities. There is also a growing inclination towards organic A2 milk owing to increasing health consciousness. Major players are diversifying their product range through organic certification to gain traction in the premium segment. Rising e-commerce penetration is another major factor fueling the sales of A2 milk products through online retailing platforms.
Porter’s Analysis
Threat of new entrants: The Global A2 Milk Market has moderate barriers to entry due to established key players domination and requirements of large capital investments for processing plants.
Bargaining power of buyers: Buyers have moderate bargaining power due to availability of substitutes however growing health awareness is increasing buyer’s interest in A2 milk.
Bargaining power of suppliers: Few global players manage A2 milk supply chain limiting discretion of suppliers.
Threat of new substitutes: Soy milk, almond milk, oat milk are alternatives however health advantages of A2 milk positions it uniquely.
Competitive rivalry: Intense competition due to presence of large private label producers and regional players differentiating through value additions like formats and flavors.
Key Takeaways
The global A2 milk market is expected to witness high growth over the forecast period driven by increasing awareness regarding A2 protein benefits. Oceania dominates current demand owing to early commercialization in Australia and New Zealand.
The global A2 Milk Market is estimated to be valued at US$ 2036.6 Mn in 2023 and is expected to exhibit a CAGR of 5.4% over the forecast period 2023 to 2030.
Regional analysis: Oceania leads the A2 milk market with Australia and New Zealand contributing over 80% share due to commercialization from 1990s. North America and Europe are growing rapidly due to health and wellness trends while China, Southeast Asia and India represent new emerging markets.
Key players: Key players operating in the A2 milk market include The a2 Milk Company, Fonterra Co-operative Group Limited, MLK A2 Cow Milk, Jersey Dairy, Pura, and Dairy Farmers. The a2 Milk Company leads global production while regional players are differentiating through customized products.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
