Goat Milk Products Market

Market Overview

The global goat milk products market size was valued at USD 13.06 billion in 2023. It is estimated to reach USD 19.77 billion by 2032, growing at a CAGR of 5.32% during the forecast period (2023–2032).

The growing number of people who are lactose intolerant and the low level of lactose in goat milk are anticipated to drive market expansion. Goat milk is one of the world's most widely ingested animal-derived milk because it promotes digestive health and provides various health benefits. Goat milk also has a slightly lower lactose content than cow milk. It contains essential nutrients like protein, calcium, lipids, vitamins, iron, and other essential minerals, making it optimal for individuals with mild lactose intolerance. During dengue and other viral infections, goat milk increases the number of blood platelets.

Due to its high calcium content, goat milk strengthens bones and teeth when consumed. Goat milk is an exceptional energy source for infants and young children. Individuals with a cow milk allergy prefer goat milk because it is readily digestible. As with cow and buffalo milk, goat milk is of superior quality due to its nutrient-rich constitution. Goat milk can also be ingested raw or processed and is used to produce a variety of byproducts, such as cheese, butter, ice cream, yogurt, condensed milk, and powdered milk.

Market Dynamics

Global Market Drivers

High Prevalence of Lactose Intolerance Worldwide

Lactose intolerance is caused by the human body's inability to handle or digest lactose, a sugar in milk and other dairy products. According to Woolwich Dairy, a Canadian firm receiving goat milk from more than 200 farms, raw or unfortified goat milk has a naturally lower lactose level than the lactose levels commonly observed in 2% milk derived from cows. As long as the lactose levels are lower than an individual's system can tolerate, goat milk is a viable option for lactose intolerance.

In some circumstances, people allergic to cow milk's alpha S1 casein protein are not lactose intolerant. However, this protein is not found in goat milk. Goat milk has the highest A2 casein, making it the closest substitute for human milk. Goat milk also has a pH level that is comparable to that of human milk. Therefore, the low level of lactose present in goat milk, coupled with the surging number of people with lactose intolerance, is expected to propel goat milk product market growth over the forecast period.

Higher Nutritional Benefits Over Other Milk Varieties

Goat milk is preferred by people as cow milk in many countries as it is thicker and creamier than cow or plant milk and contains more nutrients that might benefit health. Goat milk is also a good source of vitamin A, which can help prevent cataracts, some types of cancer, and even measles in young children. Goat milk is highly digestible as it contains more protein per serving than cow, soy, or nut milk.

Furthermore, goat milk has a higher protein content than almond or rice milk and does not induce milk allergies. Goat milk may also assist patients with high blood cholesterol to lower their cholesterol levels. Goat milk helps lower cholesterol levels in the arteries, which makes it easier for individuals with high cholesterol levels to manage their cholesterol. These health advantages of goat milk over other types of milk are expected to drive market growth.

Global Market Restraint

Stringent Government Regulations

The production of high-quality goat milk is critical for creating various goat milk products. These products must be free of hazardous microorganisms and contain just the minimum amount of nutrients allowed by law. Countries such as the US, New Zealand, and China have strong dairy milk laws to guarantee that consumers get safe and nutritious goods. As a result, enterprises producing and selling dairy goat milk and products must adhere to international standards and laws. These stringent government regulations restrict market growth.

Global Market Opportunities

Growing Demand from Emerging Economies

Developing nations in Asia-Pacific, Latin America, and the Middle East and Africa will be the quickest-growing markets and important contributors to the goat milk products market throughout the projected period. China will be the largest contributor to market growth in the Asia-Pacific region, owing to a jump in demand for goat milk powder for newborn formulas and goat cheese in the country. Due to the high nutritious value of goat milk-based newborn formulas, Chinese mothers are adopting goat milk-based products. In China and other emerging countries, increased disposable income and expanding demand for imported food goods are also pushing the market for goat milk products.

Additionally, the number of middle-income households in Asia-Pacific is rapidly increasing. These families are upgrading and embracing new lifestyles at an increasing rate. Due to the increased purchasing power of purchasers in numerous countries, customers in the Asia-Pacific area, particularly in Southeast Asian countries, are positioned to rise at a remarkable rate. Similarly, lifestyle innovations and increased consumer expenditure are expected to create opportunities for the goat milk product market in Asia-Pacific countries over the projected period.

Regional Analysis

Europe Dominates the Global Market

Based on region, the global goat milk products market is bifurcated into North America, Europe, Asia-Pacific, Latin America, and the Middle East and Africa.

Europe is the most significant global goat milk products market shareholder and is anticipated to exhibit growth during the forecast period. In Europe, the health-conscious population predominantly drives the demand for goat milk products. Non-GMO, organic, cruelty-free, and ecologically sustainable products are becoming increasingly popular among consumers. Obesity and diabetes are two lifestyle-related conditions that may affect a sizeable portion of this geriatric population. As a result, they would be ideal customers for goat milk products, which have a greater protein level and are easier to digest.

In contrast to other nations, where fitness products and services mostly cater to millennials, the European market for goat milk products is predominantly influenced by individuals aged 30 to 45. This age group is well-informed, technologically equipped, and has a considerably high discretionary income, allowing them to purchase high-quality foods to maintain good health. As a result, the demand for goat milk products, particularly cheese, is increasing across Europe.

North America is estimated to exhibit significant growth over the forecast period. Although the number of dairy goats in the US and Canada has declined in recent years, the commercialization of goat milk products is expected to drive the growth of the goat population in these countries. The regulation level in North America's agricultural markets is comparatively lower than in Europe. Players in the North American dairy goat industry also do not have access to government support as the dairy cow farmers in the region. Subsidies and price supports are available for feed crops such as soybeans and corn, while goat milk prices are less controlled. However, because demand is great, prices are higher than for cow milk.

In addition, the rapidly altering consumer tastes for healthier alternatives, federal education initiatives, increasing lactose-intolerant persons, and a well-developed retail environment supporting new product releases are the main drivers of goat milk consumption increase. The presence of international food and beverage companies that have recognized the market's potential and invested heavily in it is projected to boost product availability and reach in the coming years.

The Asia-Pacific region has the fastest-growing market for goat milk products during the projected period. China is the largest market for goat milk products in the Asia-Pacific region, accounting for more than half of the market revenue. The region's increased consumption of goat milk is attributed to its large population, supported by rising disposable incomes. The increasing need for baby formulas, which account for about half of the market demand in the Asia-Pacific region, is driving the goat milk powder market. The demand for goat milk-based newborn formulas in the region is being driven by rising levels of education and knowledge about child nutrition, as well as increasing disposable income. The growing retail infrastructure also aids in product placement and customer availability, boosting regional product reach.

The Middle East and Africa goat milk market is mostly underdeveloped even though the consumption of goat milk drinking is a long-standing practice in most countries. The region's market demand is projected to be driven by the increasing availability of a wide range of goat milk products. Yogurt and cheese are the most famous dairy products made from goats in the Middle East, and they are largely produced by homes and small-scale local processors using traditional methods. In addition, the most popular product is yogurt. Bayda is a high-fat, fresh cheese from either sheep milk or a blend of sheep and goat milk. Low-fat cheeses such as Mushallaleh and Halloumi are also available to fulfill the demands of urban, health-conscious consumers.

Segmental Analysis

The global goat milk products market is segmented by product type, consumer, and distribution channel.

Based on the product type, the global market is bifurcated into cheese, milk powder,ghee, butter, soaps and others. 

The cheese segment dominates the global market and is estimated to grow during the forecast period. Goat cheese, also known as Chèvre in French, is manufactured from goat milk and comes in various flavors and textures, including creamy and crumbly, mild or sour, young or old. New flavors are added daily to increase its versatility as its demand and popularity rise. This cheese's particular flavor comes from a flavorful fatty acid called capric acid, which promotes the growth of bacteria important for optimal digestive health. This segment is further bifurcated into chevre, mozzarella, cheddar, feta, and other cheeses.

Milk powder is a dairy product created by evaporating milk until completely dry. Milk is often dried for preservation purposes. Owing to its low moisture content, milk powder does not require refrigeration and has a much-extended shelf life than liquid milk. Milk powder also has a lower mass, which improves its transportation efficiency. Milk powder is mass-produced in contemporary factories with lower water activity and higher keeping properties. Although skimmed milk powder can be dried to get a shelf life of roughly two years, whole milk powder can only be stored for six months. Therefore, skimmed milk powder can be stored for lengthy periods without substantial loss of flavor or nutritional content.

Based on consumers, the global market is divided into adult, teenager, elder, and infant. 

The adult segment is the most significant contributor to the market and is predicted to grow throughout the forecast period. Goat milk is the most extensively consumed dairy product on the planet. Goat milk accounts for 65 to 72% of all dairy products worldwide. This is partly because of the ease with which goats may be kept in underdeveloped nations, compared to cows, where goat milk offers a valuable source of protein, calories, and lipids. Goat milk is preferred by many adults in many countries over cow milk.

Many elderly individuals and their caretakers are concerned about their diet. As people age, natural changes in our bodies make it more difficult to get enough nutrients and absorb them. Goat dairy products offer qualities that can address these obstacles and lower the risk of elderly people becoming malnourished. Goat milk contains a lot of calcium, protein, healthy fats, and vitamins and minerals. However, nutritional components are not the only factor to consider when it comes to satisfying the nutritional needs of seniors.

Based on distribution channels, the global market is divided into supermarkets and hypermarkets, retail stores, specialty stores.

The supermarkets and hypermarkets segment owns the largest goat milk product market share and is expected to grow during the forecast period. Supermarkets are large self-service grocery stores that stock various products for consumers' daily use. Hypermarkets have a large retail space and serve as a combination of supermarkets and departmental stores. In addition, different goat milk products can be seen in both store variants. These stores provide ample opportunity for the vendors for product profiling and highlighting, thereby helping the brand with marketing. These stores address a larger customer segment due to the variety of products and the convenience of consumers associated with them.

A specialty retail store specializes in a limited number of product categories instead of a store that provides various consumer goods. There may be many SKUs in specialty retailers' stores, necessitating a comprehensive retail system to manage them. However, all of their SKUs will fall into one of two product categories. It is reasonable to presume that when consumers enter a specialty retail store, they seek out all products within that category. This retailer is considered a product expert because they have chosen to specialize in one or two industries.

Recent Developments

• March 2023- ObvioHealth, in collaboration with IQVIA Consumer Health, announced the launch of a fully decentralized clinical trial with Jovie USA to introduce the first goat milk-based infant formula approved by the FDA to the United States.
• June 2023- Vilvah, a pioneer in natural and eco-friendly hair care products, announced the launch of its revolutionary innovation: the Goat Milk Hair Masque with Ceramides. This innovative product is poised to revolutionize haircare practices by delivering salon-like results in a single container.