Private Label and Bulk Ingredient Demand for Dairy Permeate
Introduction
Dairy permeate is a byproduct of the dairy industry, consisting of lactose, vitamins, and minerals that are separated from milk during the production of cheese or butter. In recent years, dairy permeate has gained popularity as an ingredient in a wide range of food products due to its functional properties and cost-effectiveness. This report will explore the growing demand for dairy permeate in both private label and bulk ingredient markets.
Private Label Market
Private label products are those manufactured by one company and sold under another company’s brand. In the dairy industry, private label products have seen significant growth as consumers become more price-conscious and seek value for money. Dairy permeate is often used in private label dairy products such as yogurt, ice cream, and flavored milk to enhance taste and texture while keeping production costs low.
According to a report by Grand View Research, the global private label market is expected to reach $240.7 billion by 2025, with the food and beverage sector accounting for a significant portion of this market. Dairy permeate is projected to be a key ingredient in the private label dairy products segment, driving demand for this byproduct in the coming years.
Bulk Ingredient Market
The bulk ingredient market for dairy permeate is another key driver of demand for this byproduct. Bulk ingredients are purchased in large quantities by food manufacturers and processors to be used as ingredients in a wide range of food products. Dairy permeate is valued for its functional properties, including its ability to improve the texture, flavor, and nutritional profile of food products.
In 2019, the global dairy permeate market was valued at $2.5 billion, with a projected compound annual growth rate (CAGR) of 5.2% from 2020 to 2027. The increasing demand for dairy permeate in the food and beverage industry, particularly in bakery, confectionery, and dairy products, is driving growth in the bulk ingredient market segment.
Industry Insights
Several key players in the dairy industry are capitalizing on the growing demand for dairy permeate in both the private label and bulk ingredient markets. Companies such as Saputo Inc., Lactalis Group, and Glanbia plc are investing in research and development to innovate new products and applications for dairy permeate.
Saputo Inc., a leading dairy company based in Canada, offers a range of dairy permeate products for use in various food applications. The company’s focus on sustainability and quality has positioned it as a key player in the dairy permeate market.
Lactalis Group, a global dairy company headquartered in France, has also recognized the potential of dairy permeate as a versatile ingredient for food manufacturers. The company’s extensive distribution network and strong presence in key markets have helped drive demand for dairy permeate in the bulk ingredient segment.
Glanbia plc, an Irish dairy company, has invested in state-of-the-art facilities for processing dairy permeate and other dairy byproducts. The company’s commitment to innovation and quality assurance has made it a preferred supplier of dairy permeate for food manufacturers worldwide.
Conclusion
In conclusion, the demand for dairy permeate in both the private label and bulk ingredient markets is on the rise, driven by its functional properties, cost-effectiveness, and versatility as an ingredient in a wide range of food products. With key players in the dairy industry investing in research and development, the future looks promising for dairy permeate as a sought-after ingredient in the global food and beverage industry. As consumer preferences continue to evolve, dairy permeate is poised to play a significant role in meeting the demand for innovative and high-quality food products.
