Skimmed Milk Market Size Estimated to Reach $16.7 Billion by 2027

Skimmed Milk Market Size Estimated to Reach $16.7 Billion by 2027

“Skimmed Milk Market”
An Increase in the Disease Burdens Along With the Preference To Consume a Low-Fat Diet Has Been the Prime Factor Driving the Skimmed Milk Market.

The Skimmed Milk Market size is estimated to reach $16.7 billion by 2027. Furthermore, it is poised to grow at a CAGR of 7.4% over the forecast period of 2022-2027. Milk has been a prevalent part of one’s nutrition, from when they were a child. However, the less processed or whole fat milk posed a certain unique set of challenges, resulting in various cardiovascular diseases. The skim milk is also labeled as non-fat milk and is not creamy at all. Unlike whole fat milk which has at least 3.25% of fat, and none of which is removed during processing-skimmed milk is kept aloof from such fats. For a long time, non-fat milk or skimmed milk is gaining traction, especially by the label-conscious consumers wary about the high-fat content and associated diseases. Since fats present in whole milk can significantly impact and increase the LDL or bad cholesterol, skimmed milk is preferred by the geriatric and young alike. Skimmed milk is mostly preferred in preparing the famous Fillmjolk, one of the prominent selling products in Nordic. The millennials have started to adopt cheese or yogurt which are made from skimmed milk or skimmed powdered milk owing to its taste-clean labels-and health governing principles. Skim milk has been gaining popularity as the overall protein content doesn’t reduce even after fortification and provides 10% of RDV, the same as whole fat or reduced-fat milk. An increase in the disease burdens along with the preference to consume a low-fat diet has been the prime factor driving the skimmed milk industry forward in the projected period of 2022-2027.

Skimmed Milk Market Segmentation Analysis- By Form

The skimmed milk market based on the form can be further segmented into powder and liquid. Liquid held a dominant market share in the year 2021. It is owing to the presence of robust household demand. Skimmed milk in liquid form is consumed by adults-infants-and millennials alike, thereby uplifting the demand from the said segment. As per US CDC, the geriatric population should consume a minimum of 700 grams of calcium in a day to keep the orthopedic ailments away. Currently, around 10% of the entire living population is above the age of 65, and veterans believe the population to increase multi-fold in the coming times.

However, the Powder segment is estimated to be the fastest-growing with a CAGR of 8.1% over the forecast period of 2022-2027. It is owing to its chemical properties which extend its shelf life, further, no water is present which substantially results in longer shelf-stable life. Lastly, supply chain barriers can be mitigated by using the powdered form.

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Skimmed Milk Market Segmentation Analysis- By Distribution Channel

The skimmed milk market based on distribution channels can be further segmented into Offline and Online. Offline held a dominant market share in the year 2021. Skimmed milk has been consumed primarily in households as a staple, and moreover, as an ingredient, it is being used to make various confectionaries- and prepared mixes items. Additionally, new brands prefer to start promoting via the offline channel to gain customers’ confidence, while also allowing for “tasting” the said product. Retail surveys have found the following strategy to work for every 7 in 10 instances, while consumers who opted for such products tend to stay for a longer period of time than those who just purchase without paying heed.

However, the Online segment is estimated to be the fastest-growing, with a CAGR of 8.2% over the forecast period of 2022-2027. It is owing to the rapid urbanization trends which force the consumers to tend the online routes owing to conveyance and ease. Furthermore, online retailers or third-party sellers are in-cashing volume sales advantages by inducing discounts and cash-back offers.

Skimmed Milk Market Segmentation Analysis- By Geography

The skimmed milk market based on Geography can be further segmented into North America, Europe, Asia-Pacific, South America, and the Rest of the World. Europe held a dominant market share of 37% in the year 2021. The European region produced close to 160.1 million tons of raw milk in the year 2020, while the overall milk yield per cow touched 7,509 kgs. Additionally, the bakery and confectionary domain of Europe has been a major stakeholder, thereby requiring skimmed milk in both forms.

However, Asia-Pacific is expected to offer lucrative growth opportunities to marketers in the projected period of 2022-2027. It is owing to the rising disease burden and westernization trends uplifting the population to choose healthy dietary options. Moreover, as high as 135 million of the Indian population is Obese for whom skimmed milk can be a haven. Lastly, the processing and manufacturing activities of China, Japan, and South Korea would allow for better development.

Skimmed Milk Market Drivers

The growing health awareness pertaining to reducing overall fat consumption has helped the market growth.

The word fat has been long debated for its non-health or health benefits. Researchers have claimed that it is important to know about the type of fat you are consuming, as not all fats belong in the disease-creation category. However, consumers tend to avoid the consumption of milk in its very nature. Skimmed milk rightly hits the market sentiment as consumers who are avid milk lovers might just stick to skimmed milk, if not whole milk. Moreover, the health benefits of skimmed milk supersede its former form. For example, the overall protein intake from 200ml of whole milk is close to 7 grams, however, from skimmed milk, it is close to 7.4 grams. Additionally, skimmed milk contains eighteen amino acids which allow for building muscle mass. Further, calcium in skimmed milk is 20ml more than whole milk. And lastly, skimmed milk has a difference of 50% in terms of calories, which becomes a significant selling point for marketers. Within the US, around 42.7% belong in the category of overweight or obese, thereby looking to avoid extra calories.

The urbanization trends impacting women have made the overall case of skimmed milk stronger.

The working women population is on the rise, especially amongst the low- or middle-income countries as women try to make financial ends meet, while also fulfilling the demand of their infants. Skimmed milk powder is extensively used in infant nutrition as the overall macronutrient lies on the same line as breast milk. As per the US Bureau of Statistics, in 2019, 57.4% of women participated in the labor force and the said ratio was close to 57.1% in 2018. Additionally, in low- and middle-income countries of Asia-Pacific, the region has been seeing a growing working women population, thereby supplementing the skimmed milk powder demand.

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Skimmed Milk Market Challenges

The heightened population of lactose intolerants along with the substantial growth of plant-based milk has impeded the overall market growth.

As the population is booming, so is the number of lactose-intolerant people across the globe. Skimmed milk contains no fat but has sugar alcohol or lactose nutrient thereby causing various substantial issues. As recent data reveal, 68% of the world population is lactose intolerant. Moreover, plant-based milk has been aggressively growing and taking hold of that 68%, while luring the remaining 32% with attractive nutrient composition. For example, Pea milk has 4-8grams of protein per cup, while soy milk can provide 7-20 grams depending on the brand. Owing to such factors, the overall market growth has been impeded.

Skimmed Milk Market Competitive Landscape

Product launches, mergers and acquisitions, joint ventures, and geographical expansions are key strategies adopted by players in the Skimmed Milk Market. The top 10- Skimmed Milk Market companies are-

Fonterra Co-Operative Group,

LACTALIS Ingredients,

Schrieber Foods Inc,

Danone Inc,

Saputo Inc.

Alpen Dairies



Dairy America

Nestle S.A.

Recent Developments

In May 2020, the European Commission issued the regulation 2020/598 which would subjugate in aiding the storage of skimmed milk powder. Under the said mechanisms, local producers of skimmed milk powder are granted aid in return for temporarily withdrawing a minimum of 10 tons of the subject good from the market. The subject good must be withdrawn from the market for a period between a minimum of 90 days and a maximum of 180 days. The total aid granted is EUR 5.11 (USD 5.57) per ton covering fixed storage costs and EUR 0.13 (USD 0.14) per ton per day for contractual storage. 

In June 2020, Lactalis Ingredients launched skimmed milk powder for condensed milk. The product is high heat-heat stable skimmed milk powder for condensed milk producers around the globe. The powder is made by drying fresh pasteurized skimmed milk, which undergoes a specific heat treatment. The goal of this heat treatment is to denature the protein to obtain a heat-stable powder and prevent the coagulation of the protein during the production of condensed milk.

In January 2019, European Council modified the skimmed milk powder intervention rule to help the overall market. The amendments were seen in the so-called, Fixing Regulation. The said regulation measures of fixing certain aids and refunds which are related to the common market organization. The pressure on the market was rising, as close to 400,000 tons in 2017 were SMP thereby creating negative medical pressure on the market.

Key Takeaways

Geographically, Europe’s skimmed milk market held a dominant market share in the year 2021. It is owing to the rising inclination of the consumers to consume no-fat milk supplemented by an increasing milk-cow yield. Further, the region has some of the highest consumption patterns which would allow it to hold a lion’s share in the projected period. However, Asia-Pacific is expected to offer lucrative growth opportunities to the marketers in the projected period owing to a substantial increment in the knowledge base pertaining to health-conscious food, without leaving milk as a whole.

An increase in the disease burdens along with the preference to consume a low-fat diet has been the prime factor driving the skimmed milk market. However, an uprising of plant-based milk has impeded the overall market growth.

A detailed analysis of strengths, weaknesses, opportunities, and threats will be provided in the Skimmed Milk Market Report.

Relevant Titles

Powdered Milk Market

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