Growing consumer awareness for A2 milk is projected to boost the growth of the global A2 milk market during the forecast period of 2018 to 2025.

Market Research Future (MRFR) announces the publication of its research report Global A2 milk Market, 2018–2025.

The awareness of A2 milk is increasing across the globe. A2 milk is easier to digest than conventional milk with A1 beta-casein protein which is driving the growth of the market. Moreover, A2 milk is gaining importance among infant formula manufacturers which is positively affecting the growth of the market.   

Asia-Pacific is expected to be the largest market for A2 milk and the regional market is projected to register a substantial CAGR of 14.5% during the forecast period. Australia & New Zealand is one of the leading markets in the region, accounting for the largest projected market share during the review period. However, the Indian market is expected to exhibit the highest growth rate of 15.3% during the forecast period. There are several small/medium-sized players such as Olitia Foods Pvt. Ltd and Provilac Dairy Farms Pvt. Ltd in India that have been the frontrunners in the currently niche market for A2 milk.      

North America held a prominent share of the global A2 milk market in 2017 and the regional market is projected to exhibit the highest CAGR during the forecast period. The US is the major contributor to the growth of the North American A2 milk market, followed by Canada. The inclination of dairy farmers toward breeding cattle such as Guernsey and Jersey as they predominantly produce A2 milk will positively affect the growth of A2 milk market in the US. Moreover, companies such as The a2 Milk Company are expanding their reach across the US with distribution networks in California, along with the North-East and South-East regions. Such expansion strategies by the global market players along with the growing number of regional players are expected to propel the growth of the A2 milk market in North America.

Europe is also expected to account for a significant share of the global A2 milk market and the regional market is projected to grow at a moderate pace during the forecast period. Europe is one of the largest dairy markets. However, there has been a continuous decline in dairy consumption due to the high prevalence of lactose intolerance in the region. Amidst the declining demand for animal-based dairy products, European multinationals such as Nestle have succeeded in strategically introducing A2 milk as a formula milk powder for infants. The declining sales in the dairy market are expected to recover in the coming years mainly due to the globalization of regional players and the market of A2 milk is expected to exhibit a steady growth rate during the forecast period.

South America accounted for the largest share of the market in the rest of the world in 2017 and the regional market is expected to register the highest CAGR during the forecast period. Moreover, the Middle East is a potential market for A2 milk with the recent profitable tie-up of Fonterra and The a2 Milk Company to expand retail operations in the region.

The global A2 milk market has also been segmented by category, packaging type, and distribution channel.

By category, the global A2 milk market has been classified as Guernsey, Jersey, Holstein, Brown Swiss, and others. The Holstein segment accounted for the majority market share in 2017 and is expected to be the fastest-growing segment during the forecast period. On the basis of packaging type, the market has been segregated into bottles, cartons, and others. The cartons segment accounted for the largest market share in 2017 and is projected to be the fastest-growing during the forecast period. The global A2 milk market has also been classified, on the basis of distribution channel, as store-based and non-store based. The store-based segment has further been categorized as supermarkets & hypermarkets, convenience stores, and others. The store-based segment accounted for the larger market share in 2017. However, the non-store-based segment is expected to exhibit the higher CAGR during the forecast period.

Some of the key players in the global A2 milk market are Nestlé S.A. (Switzerland), The a2 Milk Company Limited (New Zealand), Olitia Foods Pvt. Ltd (India), Provilac Dairy Farms Pvt. Ltd (India), Freedom Foods Group Limited (Australia), Ripley Farms LLC (US), Vinamilk (Vietnam), Taw River Dairy (UK), Gujarat Cooperative Milk Marketing Federation Ltd (India), and Urban Farms Milk (India).