Market Overview:
A2 milk contains only the A2 beta-casein protein, which is claimed to be easier to digest than regular cow’s milk containing both A1 and A2 beta-casein. Some consumers purchase A2 milk claiming it causes fewer digestive issues such as bloating, gas, and even diarrhea. A2 milk is mainly consumed as fluid milk and is used in production of various dairy products such as yogurt, butter, and cheese.
Market Dynamics:
The global A2 milk market is driven by rising health consciousness among consumers regarding digestive health issues caused due to consumption of regular cow milk containing A1 beta-casein protein. Furthermore, increasing research activities proving health benefits of A2 milk protein over A1 beta-casein protein is also expected to support market growth over the forecast period. Additionally, launch of variety of fortified dairy products incorporated with A2 milk by key players is further expected to boost the A2 milk market growth between 2023 and 2030. However, high cost of A2 milk production due to extensive cattle breeding programs and lower milk yields is expected to hinder the market growth.
The global A2 Milk Market Trends is estimated to be valued at US$ 2036.6 Mn in 2023 and is expected to exhibit a CAGR of 9.5% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
SWOT Analysis
Strength: The A2 Milk Market has high growth potential due to increasing health consciousness among consumers. It is easier for digestion and has various health benefits. Many consumers prefer A2 milk due to the belief that it is better tolerated by some people.
Weakness: Production of A2 milk requires separate processing which increases costs for the companies. Some studies have found no significant health benefits of A2 milk compared to regular milk.
Opportunity: Rising disposable income and growing health awareness in developing countries offer significant growth prospects. Many local and small players are entering the market to gain from the opportunity.
Threats: Stringent regulations regarding labelling and marketing claims of A2 milk products. Regular milk producers are introducing similar products to compete with A2 milk producers.
Key Takeaways:
The global A2 Milk Market is expected to witness high growth, exhibiting CAGR of 9.5% over the forecast period, due to increasing health consciousness among consumers. The market believes A2 milk is easier to digest and provides various health benefits.
Regional analysis
The Asia Pacific region dominates the global A2 Milk Market and is expected to grow at the fastest pace during the forecast period. Countries like China, India, and Japan are major contributors to the regional market. Increasing disposable income and growing health awareness are driving the market in the region.
Key players
Key players operating in the A2 Milk Market are The A2 Milk Company Limited, FREEDOM FOODS GROUP LIMITED, Fonterra Cooperative Group Limited, Vietnam Dairy Products Joint Stock Company, Gujarat Cooperative Milk Marketing Federation Ltd, Provilac Dairy Farms Private Limited, Vedaaz Organics Pvt. Ltd , Ratnawali Dairy Products LLP, Erden Creamery Private Limited. The A2 Milk Company Limited is the global market leader with presence in various countries.