Lactose Market

Global Lactose Market Size (2023 to 2028)

As per the research report, the size of the global lactose market is expected to reach USD 2.9 billion by 2028, valued at USD 2.4 billion in 2023. As a result, it is predicted to grow at a CAGR of 3.8% from 2023 to 2028.

Lactose is most known as sugar which is present in milk. Chemically, lactose is a disaccharide made up of glucose and galactose molecules. Since lactose is a component of milk, it is present in every dairy product we use in grocery shopping. Things like cheese, paneer, curd, and cream all have lactose. Lactose is an important raw material in the creation of many pharmaceutical products. Lactose is good for the body; its products provide vitamins, minerals, and calcium to the body and are also suitable for metabolism. Lactose is essential in many flavourful treats like ice cream and butter. Lactose is used in manufacturing drugs, digestion, food preservation, and the cosmetics industry.

Impact of COVID-19 on the lactose market:

The COVID-19 pandemic, which originated in China and spread worldwide, resulted in several fatalities and unfortunate events. Due to the shutdown of all companies and services, the pandemic caused significant economic loss and a recession. The rigorous lockdown's effects caused many productions to experience demand and supply chain interruptions, which resulted in enormous waste output and a loss of investment for individuals. Without any source of income, many households lost their jobs, and businesses began laying off employees to save money. The government established assistance payments for those who were struggling financially. The market category that was most significantly impacted was the healthcare industry.

However, the pandemic positively affected the global lactose market. Even though initially, the market saw a downfall due to the restrictions on the production and supply of goods. The market did not experience loss, and it may even have made a sure profit as the covid 19 virus w said to affect the most when the people who contract it have low immunity levels. People need to start taking healthy foods to build their immunity. Dairy products are an essential immunity-boosting component of food and their demand ad risen during the pandemic. Aside from this, dairy products are a vital survival food and, therefore, are required in bulk. Baby formulas and Baby foods containing lactose are essential and cannot be compromised. Thus, the market had positive growth owing to the pandemic. 

MARKET DRIVERS:

The growing population worldwide, rising per capita income, increased consumer awareness of the nutritional benefits of dairy products, and alterations in dietary habits are primarily contributing to the growth of the lactose market.

The demand for dairy products like cheese and butter increases with the global population. In addition, technological advancements enhance the use of lactose in products and their handling capacity while preserving product quality to meet standards. Additionally, many pharmaceuticals have applications of lactose in drug creation; therefore, they need it to form better medications for people. 

The world's agriculture and livestock industries are flourishing with a rise in public and private sector support and technological breakthroughs. As a result, there are more convenience stores, supermarkets, department stores, and hypermarkets than ever supporting the lactose market. In addition, the rising need for infant-safe lactose products, the applications of lactose in drug manufacturing, and the production of bakeries and confectionaries are fuelling the market's progress. 

MARKET RESTRAINTS:

The lactose market is anticipated to be hindered by the substitutions of lactose products that exist in the market. In addition, the increasing cases of lactose intolerance worldwide have led to a demand for lactose-free products and substitutes. 

This research report on the global Lactose market has been segmented and sub-segmented based on the categories.

Global Lactose Market - By Application:

• Pharmaceuticals
• Feed
• Food
• Infant Formula
  • Dry-Blend Infant-Grade Lactose
  • Wet-Blend Infant-Grade Lactose

Based on the application, the infant formula segment is expected to dominate the lactose market during the forecast period due to the growing scarcity and demand for baby food worldwide. Furthermore, the food segment is also expected to showcase a healthy CAGR during the forecast period due to the wide range of preservation and confectionaries of food that requires the assistance of lactose.

Global Lactose Market - By Color:

• Pale-Yellow To White
• Yellow
• White

Based on the color, the pale yellow to white segment led the market in 2022 owing to the increased demand from the food industry and the attention that key market participants are giving to enhancing the production of infant formula; pale yellow to white lactose is becoming more and more in demand in both emerging and established nations. The application of pale yellow to white in feed production is another primary reason for its continued dominance in the market.

Global Lactose Market - By Purity:

• Edible
• Refined Edible
• Crude

In terms of share, the refined-edible grade segment accounted for a significant share of the world lactose market in 2022 and is expected to continue dominating during the forecast period. Although the refined-edible grade is widely used to make infant formula and medications, the pharmaceutical and infant formula sectors' rising need for refined, edible grade lactose, as well as innovative product offers by market players, including dry-blend infant-grade lactose, may be partially responsible for the sector's dominance in the worldwide market.

Global Lactose Market - By Region:

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

Geographically, the North American region held the largest share of the lactose market worldwide in 2022. Throughout the forecast period, the United States is anticipated to continue to be the most profitable market, accounting for over 60% share, due to increased penetration of major players, an expanding pharmaceutical industry, growing consumer awareness of the importance of lactose-based products, and strict food and safety regulations.

The Asian-Pacific market is also on the rise due to the strategic growth and booming baby formula production, the presence of a significant population, growing awareness, and rising living standards. In addition, the growing disposable incomes in countries like India and China are expected to fuel market growth in the region. Lactose is an integral part of the feed for cattle and babies in the area leading to its development.

The European market is also expected to expand due to recent developments in pharmaceutical in drugs that require lactose as a component. Additionally, countries like the U.K. and Italy require better lactose products to increase dietary and health supplements for their people.

KEY MARKET PARTICIPANTS:

Merck KGaA, Tnuva Group, Agropur Co-Operative, Saputo Dairy Australia Pvt Ltd, Glanbia Plc, Zeria Pharmaceutical Co. Ltd, Milei GmbH, Proliant Inc., E.I. du Pont de Nemours and Company, BASF, Fonterra Co-operative Group Ltd, Kerry Plc, Alpavit Kaserei Champigon Hofmeister GmbH & Co. KG, Armor Pharma, DFE pharma, Hoogwegt Groep B.V., Molkerei MEGGLE Wasserburg GmbH & Co. KG, Davisco Foods International Inc, Ba'emek Advanced Technologies Ltd, etc., are some of the prominent companies in the global lactose market.

RECENT HAPPENINGS IN THIS MARKET:

In August 2022, according to a recent study conducted by researchers from Public Health Foundation Enterprises (PHFE) WIC, a program of Heluna Health and Children's Hospital Los Angeles, lactose-reduced infant formula made with corn syrup solids was linked to a higher obesity risk among Special Supplemental Nutrition Program for Women, Infants, and Children (WIC) participants in Southern California.