Dairy ingredients are substances which are extracted from dairy products and are used to give texture and flavor to the food and beverages. These are stored in dry, concentrated and liquid forms. Dairy ingredients provide emulsification, fat holding, viscosity creation and gel formation. Dairy ingredients are considered are important tools for a food developer to create a desirable attributes in foods.

Dairy ingredients market can be segmented on the basis of type such as - Whey Ingredients Milk Powder, Milk Protein Isolates & Milk Protein Concentrates, Casein & Caseinates, Lactose, and Others. Moreover the market can also be segmented on the basis of applications- Dairy Bakery & Confectionery, Processed Foods, Infant Nutrition, Sports & Clinical Nutrition, and Others. Geographically the market can be segmented as- North America, APAC, Europe and Rest of the World (RoW) regions.

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Some of the key drivers in the global dairy ingredients market are- Rising health and wellness concerns among consumers, growth in the application sectors and new research and innovations to expand applicability. Whereas presence of alternatives such as Plant Proteins and increasing instances of lactose intolerance and milk allergies are some of growth barriers.

The dairy ingredients market is a crucial market from the perspective of functional and processed food manufacturers and suppliers. Cumulative agreements, joint ventures collaborations, and are expected to play a key role in competition and therefore increasing the share of key market players.

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Some of the key players of dairy ingredients market are- Fonterra Co-Operative Group Limited, Glanbia PLC, Dairy Farmers of America, Arla Foods, Aurivo Dairy Ingredients, Dairy Ingredients Inc. and FrieslandCampina.