Infant Formula Ingredients Market

Global Infant Formula Ingredients Market Size (2024 to 2032)

The size of the global Infant Formula Ingredients market is estimated to reach USD 31.49 billion by 2032 from USD 17.92 billion in 2024, growing at a CAGR of 7.3% from 2024 to 2032.

MARKET OVERVIEW

Breast milk is known to be the best recipe for almost all babies. In addition to somatic growth, breast milk has many other benefits along with the regulation of brain development, immune coexistence, and postpartum bowel function. Breastfeeding is often recommended by healthcare professionals, but this is not a common scenario these days. Infant formula is an industrially produced substitute for infant formula. Baby food ingredients try to include as many edible breast milk compositions as possible. There are also several alternatives to cow-based formulas. Infant formula is used from 12 months of age to infants and is generally safe for consumers and most products are cow based. In general, they help the normal physical growth of a baby and provide a sufficient replacement of protein components of good biological quality.

MARKET DRIVERS

The global baby food market has seen remarkable growth in the past. Growth has occurred due to the health benefits that infant formulas can provide.

Some health benefits include a lower risk of cardiovascular disease, reduced cholesterol levels, healthy bone growth, better digestive health, and increased demand for lactose and milk minerals. Also, as the demand for baby food ingredients increases, the demand for infant formula ingredients increases. Industrial growth is majorly driven by the rise in the working women populace in middle-class families in various areas, including North America, Asia Pacific, and Latin America. Consumption of protein as an ingredient in various applications, such as milk farming and special preparations, is expected to increase demand for all infant ingredients in the coming years. In infant formulas, protein plays a pivotal role as it is used to make alternative hypoallergenic foods for newborns with allergies to milk, celiac disorders, and gluten intolerance. The market includes a wide range of products, from various baby foods to baby formulas.

Demand for this product is seen primarily in mature markets such as the United States, the United Kingdom, and Japan.

The increase in consumers and the increase in the working population of women help the growth of the industry. Furthermore, the protein components of infant formulas are generally prepared for bottle or cup feeding from powdered or liquid solutions. They are made for babies only because of their suitability to simulate breast milk or to replace all or part of breast milk. Infant formulas comprise necessary ingredients like protein, carbohydrates and fatty components that are essential to offer the macronutrients and energy to the babies. With the infant formula, it is very convenient for your family to feed your baby with the essential nutrients necessary to stay healthy. The infant formula is FDA-approved and provides a solid foundation for your baby's health. Due to these factors, the infant formula ingredients market is growing. Increased awareness and high availability of formulas among working mothers are other factors driving the growth of this market.

MARKET RESTRAINTS

Infant formulas are sometimes difficult to digest. Breast milk contains more whey protein, and infant formulas provide more casein protein, which can make it difficult for your baby to digest and cause certain intestinal problems. Also, because it contains nutrients, the cost of the material is very high. These factors are hindering the growth of the infant formula ingredients market. Ingredients for infant formulas create a common formula that may not be suitable for babies because they do not need all of the nutrients mixed in the formula. This hinders the adoption of infant formulas, which hinders the growth of the market for the ingredients in infant condiments.

REPORT COVERAGE

DETAILED SEGMENTATION OF THE GLOBAL INFANT FORMULA INGREDIENTS MARKET INCLUDED IN THIS REPORT

This research report on the global infant formula ingredients market has been segmented and sub-segmented based on ingredient type, application, form, source, and region.

Global Infant Formula Ingredients Market By Ingredient Type

• Carbohydrates    
• Oils & Fats             
• Proteins 
• Vitamins
• Minerals
• Prebiotics

Global Infant Formula Ingredients Market By Application

• Growing-up Milk
• Standard Infant Formula 
• Follow-on Formula            
• Specialty

Global Infant Formula Ingredients Market By Form

• Powder
• Liquid & semi-liquid 

Infant formula ingredients are generally used in powdered form due to their ease of handling compared to ingredients in liquid infant formula. Many types of ingredients for infant formula such as carbohydrates, proteins, certain fats, and prebiotics are widely used by infant formula manufacturers in powdered form. Therefore, for powder infant formula manufacturers, especially from emerging countries, high growth prospects are ahead in the coming years.

Global Infant Formula Ingredients Market By Source

• Cow Milk
• Soy
• Protein hydrolysates
• Others (Goat milk and camel milk)

Due to its acceptance as a cost-effective manufacturing process, cow-milk-based ingredients are widely used across Europe and North America, and cow-milk-based ingredients are available in bulk.

REGIONAL ANALYSIS

• North America
• Europe
• The Asia Pacific
• Latin America
• The Middle East and Africa

North America has a significant market share and is expected to increase significantly during the outlook period.

The region is considered a prominent local market that meets growing demand. The standard infant formula is anticipated to be among the high-growth possible applications in Germany, which has become the second most significant maker of these formulations in Europe. As a result, the standard infant formula segment is deemed to create tremendous demand for these products over the calculated period. The need for infant formula ingredients is expanding in areas like the Middle East and Africa and Asia Pacific, and is multiplying sales in the US retail sector. As exposure to foreign or Western life increases, it contributes significantly to markets in Middle Eastern countries such as Saudi Arabia. However, the infant formula sector has not yet reached its full potential in the Middle East. Furthermore, due to low manufacturing costs and abundant raw materials, we are moving production bases from developed countries to the Asia Pacific region, especially Japan and Australia. This will fuel the development of the business in the foreseen years. Developing countries like APEJ, Latin America, and parts of Africa are focusing on the use of digestive health products and high protein content, driving the growth of the infant formula ingredients industry. Increasing the disposable income of people in the countries mentioned above will increase the prevalence of infant formula ingredients in the area in the near future.

KEY PLAYERS IN THE GLOBAL INFANT FORMULA INGREDIENTS MARKET 

Major Key Players in the Global Infant Formula Ingredients market are AAK AB (Sweden), Fonterra Co-operative Group Limited (New Zealand), Carbery Food Ingredients Limited (Ireland), Royal Friesland Campina N.V. (Netherlands), Sachsenmilch Leppersdorf GmbH (Germany), BASF SE (Germany), Koninklijke DSM N.V. (Netherlands), Arla Foods amba (Denmark), Chr. Hansen Holdings A/S (Denmark), Kerry Group plc (Ireland), and others.

RECENT HAPPENINGS IN THE MARKET

• In 2019 Nestlé (Switzerland) opened a new R&D center in Ireland. The company has invested $ 30 million. The center will focus on the development of products for child nutrition.
• BASF and GlycoSyn have formed an alliance that focuses on child nutrition. This included the creation and commercialization of human milk oligosaccharides (HMO).
• In 2019 BASF launched the first PREBILAC 2'-FL HMO for the infant nutrition market. Therefore, many important companies participate, making the market very competitive.