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South Korea A2 Milk Market

ID: MRFR/FnB/46630-HCR
200 Pages
Varsha More
February 2026

South Korea A2 Milk Market Size, Share, Industry Trend & Analysis Research Report By Category (Guernsey, Jersey, Holstein, Brown Swiss), By Packaging Type (Bottles, Cartons, Others) and By Distribution Channel (Store-Based, Non-Store-Based)-Forecast to 2035

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South Korea A2 Milk Market Infographic
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South Korea A2 Milk Market Summary

As per Market Research Future analysis, the South Korea A2 Milk Market size was estimated at 526.54 USD Million in 2024. The A2 Milk market is projected to grow from 587.14 USD Million in 2025 to 1745.0 USD Million by 2035, exhibiting a compound annual growth rate (CAGR) of 11.5% during the forecast period 2025 - 2035

Key Market Trends & Highlights

The South Korea a2 milk market is experiencing robust growth driven by health trends and consumer awareness.

  • Health consciousness is significantly driving demand for a2 milk products in South Korea.
  • The lactose intolerance segment remains the largest, while the health-conscious segment is the fastest-growing.
  • Innovative product offerings are emerging to cater to diverse consumer preferences and dietary needs.
  • Rising health trends and increased availability of lactose-free alternatives are key market drivers influencing growth.

Market Size & Forecast

2024 Market Size 526.54 (USD Million)
2035 Market Size 1745.0 (USD Million)
CAGR (2025 - 2035) 11.51%

Major Players

a2 Milk Company (NZ), Murray Goulburn Co-operative Co. Limited (AU), Lactalis Ingredients (FR), Fonterra Co-operative Group Limited (NZ), Nestle S.A. (CH), Danone S.A. (FR), Horizon Organic (US), Organic Valley (US)

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South Korea A2 Milk Market Trends

The South Korea A2 Milk Market in South Korea is experiencing notable growth, driven by increasing consumer awareness regarding health benefits associated with a2 milk. This type of milk, which contains only the a2 beta-casein protein, is perceived as easier to digest for many individuals, particularly those who experience discomfort with conventional milk. As a result, a2 milk is gaining traction among health-conscious consumers, leading to a shift in purchasing preferences. Retailers are responding to this trend by expanding their product offerings, ensuring that a2 milk is readily available in various formats, including liquid and powdered forms. Moreover, the rise of lactose intolerance awareness in South Korea is influencing the demand for a2 milk. Many consumers are seeking alternatives that do not cause digestive issues, and a2 milk appears to be a favorable option. The market is also witnessing an increase in marketing efforts aimed at educating consumers about the benefits of a2 milk, which may further enhance its appeal. As the trend continues, it is likely that the a2 milk market will see further innovations and product developments to cater to the evolving preferences of South Korean consumers.

Health Consciousness Driving Demand

The growing awareness of health and wellness among South Korean consumers is significantly influencing the a2 milk market. Individuals are increasingly seeking products that align with their health goals, and a2 milk is perceived as a healthier alternative to traditional milk. This trend is likely to continue as more consumers prioritize nutrition and digestive health.

Lactose Intolerance Awareness

As lactose intolerance becomes more recognized in South Korea, the demand for a2 milk is expected to rise. Many individuals who experience discomfort with regular milk are turning to a2 milk as a suitable alternative. This shift indicates a broader trend towards seeking dairy products that are easier to digest.

Innovative Product Offerings

The a2 milk market is witnessing a surge in innovative product offerings, including flavored and fortified varieties. Manufacturers are responding to consumer preferences by diversifying their product lines, which may enhance market growth. This trend reflects a commitment to meeting the evolving needs of health-conscious consumers.

South Korea A2 Milk Market Drivers

Rising Health Trends

The a2 milk market in South Korea is experiencing a notable shift as consumers increasingly prioritize health and wellness. This trend is reflected in the growing demand for products perceived as healthier alternatives. A2 milk, known for its potential digestive benefits, aligns well with this consumer preference. Recent surveys indicate that approximately 60% of South Korean consumers are actively seeking dairy products that are easier to digest. This shift is likely to drive the a2 milk market forward, as more individuals opt for products that support their health goals. Furthermore, the increasing awareness of nutrition and its impact on overall well-being suggests that the a2 milk market could see sustained growth as health-conscious consumers continue to seek out beneficial dairy options.

Lactose-Free Alternatives

The a2 milk market is benefiting from the rising demand for lactose-free alternatives among South Korean consumers. With an estimated 30% of the population experiencing some level of lactose intolerance, the appeal of lactose-free products is significant. A2 milk, which contains only the A2 beta-casein protein, is often perceived as a suitable option for those who struggle with traditional dairy. This perception is likely to enhance the market's growth, as consumers increasingly turn to a2 milk as a viable alternative. Additionally, the lactose-free segment of the dairy market has been expanding, with sales projected to increase by 15% annually. This trend indicates a strong potential for the a2 milk market to capture a larger share of the dairy industry in South Korea.

Increased Availability of Products

The a2 milk market is witnessing an expansion in product availability across various retail channels in South Korea. As consumer interest in a2 milk grows, retailers are responding by increasing their stock of a2 milk products. This includes not only traditional a2 milk but also a range of derivatives such as yogurt and cheese. The convenience of access to these products is likely to enhance consumer purchasing behavior. Recent data suggests that the number of retail outlets offering a2 milk has increased by 25% over the past year. This trend indicates that as more consumers become aware of a2 milk's benefits, the market is poised for further growth, driven by improved accessibility and variety.

Influence of Social Media and Marketing

The a2 milk market is significantly influenced by social media and targeted marketing strategies. In South Korea, social media platforms play a pivotal role in shaping consumer perceptions and preferences. Brands that effectively utilize these platforms to promote the benefits of a2 milk are likely to capture the attention of health-conscious consumers. Recent studies suggest that approximately 70% of consumers are influenced by social media when making food choices. This trend indicates that effective marketing campaigns can enhance brand visibility and drive sales in the a2 milk market. As companies invest in digital marketing strategies, the potential for growth in this sector appears promising, particularly among younger demographics who are more engaged with online content.

Growing Interest in Sustainable Products

Sustainability is becoming a crucial factor influencing consumer choices in the a2 milk market. South Korean consumers are increasingly concerned about the environmental impact of their food choices, leading to a preference for products that are produced sustainably. A2 milk, often marketed as a more environmentally friendly option due to its production methods, is likely to attract this demographic. Research indicates that around 40% of consumers are willing to pay a premium for sustainably sourced products. This willingness to invest in sustainable options could provide a significant boost to the a2 milk market, as brands that emphasize their commitment to sustainability may find a receptive audience among eco-conscious consumers.

Market Segment Insights

By Category: Guernsey (Largest) vs. Jersey (Fastest-Growing)

In the South Korea a2 milk market, the market share distribution among various categories reveals that Guernsey milk holds the largest share, appealing to consumers seeking rich flavor and high nutritional value. In contrast, Jersey milk has been emerging rapidly, gaining traction among health-conscious consumers looking for alternatives to conventional milk due to its higher content of beneficial nutrients. The growth trends within the category segment demonstrate a shift in consumer preferences towards premium and healthier dairy options. The increasing awareness regarding the health benefits of a2 milk, coupled with rising disposable incomes, has fueled the demand for Jersey milk, making it the fastest-growing segment. Furthermore, marketing strategies emphasizing the unique qualities of these milk types continue to drive growth in this competitive market.

Guernsey (Dominant) vs. Jersey (Emerging)

Guernsey milk is recognized as the dominant category in the South Korea a2 milk market, known for its creamy texture and rich flavor profile, which resonates well with traditional dairy consumers. Its substantial market share is attributed to longstanding consumer trust and preference for its nutritional benefits. On the other hand, Jersey milk is considered an emerging segment, appealing to a younger, health-oriented demographic. It differentiates itself through higher concentrations of beneficial components such as protein and fatty acids, catering to the increasing demand for functional foods. This dynamic creates a competitive environment where both categories successfully target distinct consumer segments, thus enhancing market diversity.

By Packaging Type: Bottles (Largest) vs. Cartons (Fastest-Growing)

In the South Korea a2 milk market, Bottles dominate the packaging type segment, capturing a significant market share due to consumer preference for convenience and portability. Cartons, while smaller in share, are gaining traction among environmentally conscious consumers and those seeking shelf-stable options, leading to a dynamic competition in the segment. Growth trends indicate that the Carton packaging type is emerging as a key player, fueled by increased demand for sustainable packaging solutions. As consumers become more aware of environmental issues, brands are shifting towards eco-friendly materials. This shift, combined with innovative packaging designs, is helping Cartons to secure their position as the fastest-growing segment in the market, appealing to a broader demographic that values sustainability.

Bottles: Dominant vs. Cartons: Emerging

Bottles have established themselves as the dominant packaging type in the South Korea a2 milk market, characterized by their convenience and visual appeal. With consumers gravitating towards on-the-go options, Bottles provide a practical solution for busy lifestyles. In contrast, Cartons represent the emerging segment, driven by the rising demand for sustainable and recyclable packaging. While Bottles highlight convenience, Cartons focus on eco-friendliness and product protection, making them increasingly appealing. As brands adapt to consumer preferences, the competition between these two segments will likely intensify, with innovation and sustainability at the forefront of their strategies.

By Distribution Channel: Store-Based (Largest) vs. Non-Store-Based (Fastest-Growing)

In the South Korea a2 milk market, the distribution channels are primarily dominated by store-based outlets, which capture a significant share of the overall market. This includes supermarkets, convenience stores, and hypermarkets, where consumers prefer to purchase a2 milk due to the convenience of physical access and the ability to evaluate products before buying. On the other hand, non-store-based channels, such as e-commerce platforms, are gradually gaining traction among consumers, especially younger demographics who value online shopping due to its convenience and time-saving benefits. The growth trends in this segment indicate a shift towards increasing adoption of non-store-based channels, driven by the rising popularity of online shopping and the growing internet penetration in the region. The COVID-19 pandemic has accelerated this shift, as consumers became more accustomed to purchasing products online. Moreover, the increasing availability of various a2 milk products on e-commerce sites has catered to the changing preferences of health-conscious consumers looking for quality and convenience, propelling the growth of the non-store-based segment further.

Store-Based (Dominant) vs. Non-Store-Based (Emerging)

Store-based distribution is the dominant channel in the South Korea a2 milk market, accounting for a substantial portion of the total sales. Consumers prefer purchasing from established supermarkets and convenience stores due to the immediacy of product access and the assurance of quality that comes from buying in-person. Store-based outlets also offer promotional discounts and offers, which enhance their appeal to budget-conscious shoppers. In contrast, non-store-based channels are emerging rapidly, appealing particularly to tech-savvy consumers who favor online shopping. While still smaller in market share compared to store-based outlets, non-store-based channels are characterized by their flexibility, exclusive online deals, and a broader variety of a2 milk products, positioning them favorably for future growth in the evolving retail landscape.

Get more detailed insights about South Korea A2 Milk Market

Key Players and Competitive Insights

The a2 milk market in South Korea is characterized by a competitive landscape that is increasingly shaped by innovation, consumer preferences for health-oriented products, and strategic partnerships. Key players such as a2 Milk Company (NZ), Fonterra Co-operative Group Limited (NZ), and Danone S.A. (FR) are actively positioning themselves to capitalize on these trends. a2 Milk Company (NZ) focuses on promoting the health benefits of a2 protein, leveraging its unique product differentiation to attract health-conscious consumers. Meanwhile, Fonterra Co-operative Group Limited (NZ) emphasizes sustainability in its operations, aiming to enhance its brand image and appeal to environmentally aware consumers. Danone S.A. (FR) is also investing in digital transformation to streamline its supply chain and improve customer engagement, thereby enhancing its competitive edge.The business tactics employed by these companies include localizing manufacturing to reduce costs and optimize supply chains. The market structure appears moderately fragmented, with several players vying for market share. However, the collective influence of these key players is significant, as they drive innovation and set industry standards that smaller competitors may struggle to match.

In October a2 Milk Company (NZ) announced a partnership with a leading South Korean health food retailer to expand its distribution network. This strategic move is likely to enhance its market penetration and increase brand visibility among local consumers, thereby solidifying its position in the competitive landscape. The partnership may also facilitate the introduction of new product lines tailored to local tastes, further driving growth.

In September Fonterra Co-operative Group Limited (NZ) launched a new sustainability initiative aimed at reducing its carbon footprint by 30% by 2030. This initiative underscores the company's commitment to environmental stewardship and may resonate well with the growing segment of eco-conscious consumers in South Korea. By aligning its operational practices with sustainability goals, Fonterra could enhance its brand loyalty and attract new customers.

In August Danone S.A. (FR) unveiled a digital platform designed to enhance consumer engagement through personalized nutrition advice and product recommendations. This platform is expected to leverage AI technology to analyze consumer preferences and behaviors, thereby allowing Danone to tailor its marketing strategies more effectively. Such digital initiatives may provide a competitive advantage in an increasingly tech-savvy market.

As of November the competitive trends in the a2 milk market are heavily influenced by digitalization, sustainability, and the integration of AI technologies. Strategic alliances are becoming more prevalent, as companies seek to enhance their capabilities and market reach. The shift from price-based competition to a focus on innovation, technology, and supply chain reliability is evident. Moving forward, differentiation will likely hinge on the ability to innovate and respond to consumer demands for healthier, more sustainable products.

Key Companies in the South Korea A2 Milk Market include

Industry Developments

The South Korea A2 milk market has been witnessing notable developments with increasing consumer interest in healthier dairy options. In August 2023, the A2 Milk Company reported a rise in sales due to heightened awareness of lactose intolerance and the benefits of A2 milk. Local players such as Lotte Dairy and Pulmuone have also expanded their A2 milk product lines to cater to this growing demand. In September 2023, a strategic partnership was announced between Cow and Gate and Namilak to enhance distribution channels and accessibility of A2 milk products in the country.

Future Outlook

South Korea A2 Milk Market Future Outlook

The A2 Milk Market in South Korea is projected to grow at 11.51% CAGR from 2025 to 2035, driven by rising health awareness and demand for lactose-free products.

New opportunities lie in:

  • Expansion of a2 milk product lines to include flavored options
  • Development of subscription-based delivery services for regular consumers
  • Partnerships with health-focused retailers to enhance market reach

By 2035, the a2 milk market is expected to achieve substantial growth and increased consumer adoption.

Market Segmentation

South Korea A2 Milk Market Category Outlook

  • Guernsey
  • Jersey
  • Holstein
  • Brown Swiss

South Korea A2 Milk Market Packaging Type Outlook

  • Bottles
  • Cartons
  • Others

South Korea A2 Milk Market Distribution Channel Outlook

  • Store-Based
  • Non-Store-Based

Report Scope

MARKET SIZE 2024 526.54(USD Million)
MARKET SIZE 2025 587.14(USD Million)
MARKET SIZE 2035 1745.0(USD Million)
COMPOUND ANNUAL GROWTH RATE (CAGR) 11.51% (2025 - 2035)
REPORT COVERAGE Revenue Forecast, Competitive Landscape, Growth Factors, and Trends
BASE YEAR 2024
Market Forecast Period 2025 - 2035
Historical Data 2019 - 2024
Market Forecast Units USD Million
Key Companies Profiled a2 Milk Company (NZ), Murray Goulburn Co-operative Co. Limited (AU), Lactalis Ingredients (FR), Fonterra Co-operative Group Limited (NZ), Nestle S.A. (CH), Danone S.A. (FR), Horizon Organic (US), Organic Valley (US)
Segments Covered Category, Packaging Type, Distribution Channel
Key Market Opportunities Growing consumer preference for lactose-free products presents opportunities in the a2 milk market.
Key Market Dynamics Rising consumer preference for a2 milk drives market growth amid increasing health awareness in South Korea.
Countries Covered South Korea
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FAQs

What is the estimated market size of the South Korea A2 Milk Market in 2024?

The South Korea A2 Milk Market is estimated to be valued at 400.0 USD Million in 2024.

What is the expected market value of the South Korea A2 Milk Market by 2035?

By 2035, the South Korea A2 Milk Market is expected to reach a value of 2300.0 USD Million.

What is the expected CAGR for the South Korea A2 Milk Market from 2025 to 2035?

The expected compound annual growth rate (CAGR) for the South Korea A2 Milk Market from 2025 to 2035 is 17.236%.

Which category within the South Korea A2 Milk Market is projected to have the highest value in 2035?

In 2035, the Holstein category is projected to have the highest value at 800.0 USD Million.

What is the market value of the Jersey category in 2024?

The Jersey category is valued at 95.0 USD Million in the South Korea A2 Milk Market in 2024.

Which key players compete in the South Korea A2 Milk Market?

Major players in the South Korea A2 Milk Market include A2 Milk Company, Lotte Dairy, and Pulmuone, among others.

How much is the Guernsey category valued at in 2035?

The Guernsey category is projected to be valued at 400.0 USD Million in 2035.

What is the projected market value of the Brown Swiss category by 2035?

The Brown Swiss category is expected to reach a market value of 500.0 USD Million by 2035.

What opportunities exist in the South Korea A2 Milk Market for growth?

The growth drivers include rising health consciousness and an increasing demand for lactose-free dairy alternatives.

What challenges does the South Korea A2 Milk Market face currently?

Challenges include intense competition, fluctuating raw material prices, and consumer awareness regarding A2 milk benefits.

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