Global Cheese Ingredient Market Overview
Cheese Ingredient Market Size was estimated at 25.96 (USD Billion) in 2022. The Cheese Ingredient Industry is expected to grow from 27.0(USD Billion) in 2023 to 38.41 (USD Billion) by 2032. The Cheese Ingredient Market CAGR (growth rate) is expected to be around 4.0% during the forecast period (2024 - 2032).
Source Primary Research, Secondary Research, MRFR Database and Analyst Review
Key Cheese Ingredient Market Trends Highlighted
Major market drivers are changing lifestyles and growing demand for processed food products, increased trend towards cooking at home, and the availability of more cheese flavors. Opportunities reside in the growing foodservice sector and the introduction of new cheese-based ingredients for food applications.
Recent trends indicate a shift towards natural and artisanal cheeses, as well as the incorporation of cheese ingredients into functional food products. The adoption of novel technologies for cheese production, such as microfiltration and reverse osmosis, is also shaping market dynamics. Moreover, the growing health consciousness among consumers has led to an increased demand for low-fat and lactose-free cheese ingredients.
Cheese Ingredient Market Drivers
Increasing Demand for Natural and Organic Cheese Ingredients
Consumers are increasingly seeking natural and organic food products, including cheese ingredients. This trend is being driven by concerns about the health impacts of synthetic ingredients, as well as a desire for more sustainable food production practices. As a result, manufacturers are responding by offering a wider range of natural and organic cheese ingredients, which is expected to drive growth in the Cheese Ingredient Market Industry over the forecast period.
Growing Popularity of Plant-Based Cheese Alternatives
The growing popularity of plant-based cheese alternatives is another major driver of growth in the Cheese Ingredient Market Industry. Plant-based cheese alternatives are made from plant-based ingredients, such as soy, nuts, or seeds. They are often marketed as healthier and more sustainable alternatives to traditional cheese products. The rising demand for plant-based cheese alternatives is expected to continue to drive growth in the Cheese Ingredient Market Industry over the forecast period.
Expansion of the Foodservice Industry
The foodservice industry constitutes restaurants, cafes and other foodservice establishments. These establishments use a variety of cheese ingredients in their foods. These includes shredded cheese, sliced cheese and cheese sauces. The growth of the foodservice industry is expected to drive demand for cheese ingredients in the forecast period.
Cheese Ingredient Market Segment Insights
Cheese Ingredient Market Cheese Type Insights
Cheese Type is an essential part of the Cheese Ingredient Market, and demonstrates a rather high growth rate. As for the aforementioned segment, the major component belongs to the Natural Cheese segment, which generates more than 45% of the total market revenue in 2023. The leading position of the explored segment is mainly explained by the typical consumer demand for the authentic and natural taste of the product. However, the Process Cheese series of products are also characterized by a long shelf life period and the high demand for facilities needed for their manufacturing.In turn, manufacturing facilities offered for the Process Cheeses are responsible for more than 30% of the total market share. Cheese Powder is a highly demanded product on the market and is used for the production of a wide range of snacks, sauces, etc. The segment demonstrates rather high growth rate due to the increased demand for such products among food manufacturers. As for the Cheese Sauce segment of the market, it is characterised by the demand for the products with rich and creamy flavour, and in a variety of food service establishments, such as quick-service restaurants and pizzerias.Moreover, the Cheese Spread segment constitutes the segment of soft and spreadable types of cheese, and possesses a high growth rate due to the increased demand for the offered products that are usually used to produce sandwiches, wraps, and various types of dips. The estimated value of USD 38.41 billion of the Cheese Ingredient Market is expected to be achieved by 2032.
Source Primary Research, Secondary Research, MRFR Database and Analyst Review
Cheese Ingredient Market Application Insights
The Cheese Ingredient Market is segmented into various applications, including pizza, pasta, sandwiches, burgers, salads, sauces, dips, bakery products, and snacks. The pizza segment is expected to hold the largest market share due to the increasing popularity of pizza as a convenient and affordable meal option. The pasta segment is also expected to experience significant growth due to the rising demand for pasta dishes as a healthy and versatile meal option. The sandwiches segment is expected to witness steady growth due to the increasing consumption of sandwiches as a quick and portable meal option.The burgers segment is also expected to experience growth due to the rising popularity of burgers as a fast food option. The salads segment is expected to witness moderate growth due to the increasing awareness of the health benefits of salads. The sauces and dips segment is also expected to experience growth due to the increasing use of sauces and dips as condiments and flavor enhancers. The bakery products segment is expected to witness steady growth due to the increasing demand for baked goods such as bread, pastries, and cakes. The snacks segment is also expected to experience growth due to the increasing demand for convenient and portable snack options.
Cheese Ingredient Market Source Insights
The Cheese Ingredient Market segmentation by Source includes Cow Milk, Goat Milk, Sheep Milk, and Buffalo Milk. Cow Milk holds the largest market share due to its widespread availability and lower production costs. In 2023, the Cow Milk segment accounted for over 60% of the Cheese Ingredient Market revenue. Goat Milk, with its distinct flavor profile and nutritional value, is projected to exhibit significant growth over the forecast period, owing to rising consumer demand for premium and artisanal cheeses. Sheep Milk, known for its rich flavor and texture, is expected to contribute a moderate share to the market.Buffalo Milk, primarily used in the production of Mozzarella cheese, is anticipated to witness steady growth, driven by the increasing popularity of Italian cuisine. The diverse range of sources available in the Cheese Ingredient Market caters to the varied preferences and culinary traditions worldwide, contributing to its overall market growth and segmentation.
Cheese Ingredient Market Distribution Channel Insights
The distribution channel segment plays a crucial role in the Cheese Ingredient Market, influencing the product's availability and accessibility to consumers. Supermarkets/Hypermarkets dominate the market, accounting for a significant share of Cheese Ingredient Market revenue in 2023. Their large retail space, wide product variety, and established distribution networks make them preferred shopping destinations for consumers seeking a convenient and comprehensive shopping experience. Convenience stores, with their smaller size and strategic locations, cater to consumers' immediate needs and offer a convenient option for quick purchases, contributing to their steady market share.Online retail, driven by the surge in e-commerce and the growing popularity of online grocery shopping, is rapidly gaining traction in the Cheese Ingredient Market. Its ability to offer a vast selection of products, competitive pricing, and home delivery options is transforming the market landscape. The food service segment, encompassing restaurants, cafes, and hotels, holds a significant market share, driven by the increasing demand for cheese ingredients in food preparation and menu offerings. The segment is expected to grow steadily as the hospitality industry rebounds from the impact of the pandemic.
Cheese Ingredient Market Regional Insights
The Cheese Ingredient Market is segmented into North America, Europe, APAC, South America, and MEA. The North American region is expected to hold the largest market share, followed by Europe and APAC. The growth in the North American region can be attributed to the increasing demand for cheese ingredients in the food and beverage industry. The European region is also expected to witness significant growth due to the increasing demand for cheese ingredients in the dairy industry. The APAC region is expected to grow at the highest CAGR due to the increasing demand for cheese ingredients in the food and beverage industry.The South American and MEA regions are also expected to witness growth due to the increasing demand for cheese ingredients in the food and beverage industry.
Source Primary Research, Secondary Research, MRFR Database and Analyst Review
Cheese Ingredient Market Key Players And Competitive Insights
Major players in the Cheese Ingredient Market industry are continuously striving to gain a competitive edge by investing in research and development, expanding their product portfolios, and strengthening their distribution networks. Leading Cheese Ingredient Market players are focusing on developing innovative products that meet the evolving needs of consumers, such as reduced fat, reduced sodium, and organic cheese ingredients. They are also investing in new technologies to improve the efficiency and sustainability of their production processes. Additionally, strategic partnerships and acquisitions are becoming increasingly common as companies seek to expand their market presence and gain access to new technologies and capabilities. The competitive landscape of the Cheese Ingredient Market is likely to remain dynamic in the coming years, with new entrants and disruptive technologies continuing to shape the market.A leading player in the Cheese Ingredient Market is Ingredion Incorporated, a US-based company that offers a wide range of cheese ingredients, including cheese powders, cheese sauces, and cheese flavors. The company has a strong presence and serves a diverse customer base, including food manufacturers, foodservice operators, and retailers. Ingredion Incorporated is known for its high-quality products and its commitment to innovation. The company invests heavily in research and development to create new and improved cheese ingredients that meet the needs of its customers. Ingredion Incorporated also has a strong focus on sustainability and is committed to reducing its environmental impact.A competitor to Ingredion Incorporated is Kerry Group, an Irish company that offers a comprehensive range of cheese ingredients, including cheese powders, cheese sauces, and cheese flavors. Kerry Group has a presence and serves a wide range of customers, including food manufacturers, foodservice operators, and retailers. The company is known for its high-quality products and its commitment to customer service. Kerry Group invests heavily in research and development to create new and improved cheese ingredients that meet the needs of its customers. The company also has a strong focus on sustainability and is committed to reducing its environmental impact.
Key Companies in the Cheese Ingredient Market Include
- Dairy Crest
- Lactalis
- Arla Foods
- Savencia Fromage Dairy
- Danone
- FrieslandCampina
- Royal Aware
- Hansen
- Bel Group
- Hochland
- Kerry Group
- Saputo
- Groupe Lactalis
- Fonterra
Cheese Ingredient Market Industry Developments
The cheese ingredient market is projected to reach USD 38.41 billion by 2032, exhibiting a CAGR of 4.0% from 2024 to 2032. Rising demand for convenience foods, increasing popularity of plant-based cheese alternatives, and growing consumer preference for natural and organic ingredients are driving market growth. Key industry participants are focusing on expanding their product portfolios and enhancing their distribution networks to cater to the evolving consumer demands. Recent developments include the launch of new cheese ingredient products with reduced sodium and fat content, as well as the growing adoption of sustainable packaging solutions.
Cheese Ingredient Market Segmentation Insights
- Cheese Ingredient Market Cheese Type Outlook
- Natural Cheese
- Process Cheese
- Cheese Powder
- Cheese Sauce
- Cheese Spread
- Cheese Ingredient Market Application Outlook
- Pizza
- Pasta
- Sandwiches
- Burgers
- Salads
- Sauces
- Dips
- Bakery Products
- Snacks
- Cheese Ingredient Market Source Outlook
- Cow Milk
- Goat Milk
- Sheep Milk
- Buffalo Milk
- Cheese Ingredient Market Distribution Channel Outlook
- Supermarkets/Hypermarkets
- Convenience Stores
- Online Retail
- Food Service
- Cheese Ingredient Market Regional Outlook
- North America
- Europe
- South America
- Asia Pacific
- Middle East and Africa
| Report Attribute/Metric |
Details |
| Market Size 2022 |
25.96(USD Billion) |
| Market Size 2023 |
27.0(USD Billion) |
| Market Size 2032 |
38.41(USD Billion) |
| Compound Annual Growth Rate (CAGR) |
4.0% (2024 - 2032) |
| Report Coverage |
Revenue Forecast, Competitive Landscape, Growth Factors, and Trends |
| Base Year |
2023 |
| Market Forecast Period |
2024 - 2032 |
| Historical Data |
2019 - 2023 |
| Market Forecast Units |
USD Billion |
| Key Companies Profiled |
Dairy Crest, Lactalis, Arla Foods, Savencia Fromage Dairy, Danone, FrieslandCampina, Royal Aware, Chr. Hansen, Bel Group, Hochland, Kerry Group, Saputo, Groupe Lactalis, Fonterra |
| Segments Covered |
Cheese Type, Application, Source, Distribution Channel, Regional |
| Key Market Opportunities |
Increasing health consciousness Growing demand for processed cheese Expanding dairy industry Rising disposable income Expanding food and beverage sector |
| Key Market Dynamics |
Growing demand for dairy productsIncreasing application in various cuisinesRise of vegan and plant-based cheese demandInnovations in cheese ingredient formulationsExpanding retail channels and online sales |
| Countries Covered |
North America, Europe, APAC, South America, MEA |
Frequently Asked Questions (FAQ) :
The Cheese Ingredient Market is expected to reach a valuation of 38.41 Billion USD by 2032.
The CAGR of the Cheese Ingredient Market from 2024 to 2032 is estimated to be 4.0%.
North America is expected to hold the largest market share in the Cheese Ingredient Market in 2032.
Key applications of cheese ingredients include cheese production, processed cheese products, sauces and dips, and bakery products.
Key competitors in the Cheese Ingredient Market include Chr. Hansen, DSM, and Ingredion Incorporated.
Factors driving the growth of the Cheese Ingredient Market include increasing demand for cheese and cheese products, and growing popularity of convenience foods.
Challenges faced by the Cheese Ingredient Market include fluctuating raw material prices and stringent regulations.
Key trends in the Cheese Ingredient Market include increasing demand for natural and clean-label ingredients, and growing popularity of plant-based cheese alternatives.
Opportunities in the Cheese Ingredient Market include expanding into emerging markets and developing new and innovative cheese ingredient products.
Key strategies adopted by players in the Cheese Ingredient Market include product innovation, expansion into new markets, and mergers and acquisitions.
