According to the latest report by Renub Research, titled "Organic Dairy Market Global Analysis by Region, Product, Channel Distribution, Companies" Milk is an essential item for the proper growth of kids as it helps in building strong bones and healthy muscles with vitamins and nutrients present. For maximum health benefits, organic milk is best as it doesn't contain any antibiotics, pesticides and synthetic hormones for growth of animals, and the farmer who grows the crop and animal feed doesn't use any chemicals. Finally, the milk is produced by such cows is organic milk.
Organic milk helps provide all the essentials nutrients like omega-3 fatty acids and antioxidants to prevent disease. Omega-3 and omega-6 are important nutrients for healthy growth. These two nutrients cannot be produced by the human body, which is taken from outside through diet. Organic milk is one of the best sources of these fatty acids in proper proportion. Organic milk prevents various diseases such as osteoporosis, autoimmune and inflammatory diseases, cardiovascular, asthma, breast cancer and prostate cancer.
Government of various countries are launching education campaigns as well as providing financial and technological assistance to farmers to move from traditional farming to organic farming. Organic milk is also helpful for infants, and it is used for various products such as Milk Powder, Ice Cream, Infant Formula, Cheese, and Yogurt.
The market of organic dairy is increasing year on year, and consumers are moving to organic food and milk for their health benefits. According to Renub Research analysis, the Global Organic Dairy Market is expected to be US$ 54.4 Billion by the end of the year 2025. The major growth factors for this growth of the organic dairy market are increasing health awareness among dairy consumers, health benefits of organic milk over traditional milk, the better supply chain of organic milk producers, initiatives of organic dairy companies such as Dairy Farmers of America (DFA), Organic Valley, Arla Foods, SunOpta Inc, China Shengmu Organic Milk Limited.
Pandemic COVID-19 effect on Organic Dairy Market
Coronavirus pandemic is causing a massive rethink; on what we eat or drink. According to our research, demand for organic food & beverages, especially vegetarian food & dairy, without a doubt going to rise exponentially in a world. We expect that there will be an uptick in the consumer purchasing patterns about organic dairy in the year 2020. The battles of the future will not be won by those who are with guns, but with those who are with food.
Growth Drivers & Challenges of Organic Dairy Industry
Awareness rising among consumers regarding health is one of the main driving factors for this sector. Besides, the other significant factors leading to the growth of this market are food safety, environmental protection, animal welfare, and increased use of natural and organic produce. Growing consumer purchasing power, increasing living standards, and rising government association’s initiatives such as low-interest rates and loan facilities are also driving this market's growth in developing countries.
The increase in demand for organic milk and the availability of a range of organic dairy products, together with the development of new and innovative products in this segment provide enormous opportunities for the growth of the market for organic dairy foods and drinks.
High prices of organic dairy products, private labels that fake organic dairy product labels, lack of promotion, and higher R&D costs hamper this market growth.
Companies’ Strategy to gain Market Share
Companies in the organic dairy food and beverage industry have embraced the acquisition as their primary strategy to increase their market share and stay competitive in the market. Also, the leading companies in the market for organic dairy food and drinks have concentrated on product launch as their key strategy for gaining significant market share globally.
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Market Summary:
The organic dairy market is segmented by region/country into North America (the United States, Others), Europe (Netherlands, Germany, United Kingdom, France, Others), Asia Pacific (China, India, Others), Australia, Latin America, Middle East & Africa, Rest of the World.
The organic dairy market is categorized by product; milk powder, cheese, ice cream, yogurt, infant formula, meat, and others. Yogurt has the largest market share.
The market is fragmented by Retailers, Discounters, Supermarkets / Hypermarkets, Online Grocery Retailers, Internet Retailers, Others. Channel Distribution's supermarket/hypermarket demand is quite strong, and its sales are growing at a rapid pace.
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