The global market of whey protein is expected to be over US$ 15 billion in 2018, with a projected CAGR of over 7.7% during the next five years.
The demand of whey protein is on the rise across a range of consumption segments, with baby food emerging as one of the key growth areas. Whey protein is also present in the breast milk, and therefore it is an essential ingredient to be present in the infant formula and other baby food products. With the growing trend of the baby food market, the demand for whey protein market in baby foods is also expected to grow.
Demand from emerging and growth markets has been increasing steadily over the last few years, driven by rising disposable income and changing consumer lifestyle. Asia Pacific is expected to record the highest growth with China, India, and Indonesia accounting for a major share of the overall opportunity. This is driven by the presence of a significant number of domestic and local baby food marketers, especially in China and India. Also, more females working in professional setups in the region is creating demand for whey-based formula milk.
The main whey ingredients used in infant formulas are demineralized whey powder, whey protein concentrate, and whey protein hydrolysate. Some of the key factors driving demand for whey protein in baby food include the following:
- Health benefits associated with the consumption of milk-based dairy products (infant formula) containing whey protein for babies and infants. Whey protein in baby foods assist in building muscle, regeneration process, a better immune system, and might help in reducing atopic dermatitis in infants.
- Working mothers induce the need to provide substitute infant formula milk to the babies
- Increasing number of ailments have resulted in lower breast milk supply, thus promoting substitute formula milk
- Consciousness towards looking good has influenced the young mothers to use substitute milk rather than their breast milk
- Increasing purchasing power of consumers
The baby food industry is a consistently growing market. In 2018, the infant milk formula market alone is estimated to reach about US$ 60-70 billion in sales. Toddler infant formula for the age group 1 to 3 years is the fastest growing segment.
To know more and get deeper understanding of market opportunities and risks in whey protein industry, click here.
