Buttermilk Market Expected to Exceed $56.2 Billion by 2034
The global buttermilk market has been on an upward trajectory, with a CAGR of 4.3% and a valuation of USD 36.9 billion in 2024 [1]. This growth is driven by a combination of consumer health trends and industrial demand for versatile dairy ingredients.
In 2024, conventional buttermilk held a dominant market position, capturing over 84.1% share, due to its affordability and widespread availability [2]. However, the Asia-Pacific (APAC) region, particularly Japan and India, has emerged as the dominant market, accounting for a significant 42.8% share valued at USD 15.7 billion [3].
The popularity of buttermilk in the APAC region can be attributed to its use in baking to add moisture and a tangy flavor to products like cakes, muffins, and biscuits [4]. Moreover, Japan's aging population boosts demand for fermented dairy products like buttermilk, valued for supporting digestive health and immunity [5]. Urban consumers in China are also increasingly drawn to functional dairy beverages for their nutritional and probiotic benefits [6].
In the APAC region, India, the world's largest milk producer, significantly contributes to the buttermilk market [7]. Meanwhile, in Europe, Arla Foods has introduced a new low-fat buttermilk variant under its "Arla A38" brand, targeting health-conscious consumers [8].
Liquid buttermilk has also seen significant growth, accounting for over 65.9% share in 2024, due to its widespread use in bakery and confectionery products [2]. The use of buttermilk in healthier, low-fat baked goods has also gained popularity [9].
Moreover, buttermilk is increasingly used in functional foods due to its probiotic content, supporting gut health and immunity [10]. Flavored and fortified variants of buttermilk-based beverages are also gaining traction among health-conscious urban consumers [11].
Looking forward, the global buttermilk market is expected to reach USD 56.2 billion by 2034 [1]. The growth in the buttermilk powder market is particularly noteworthy, projected to grow from $3.3 billion in 2025 to $5.9 billion by 2034, representing a CAGR of 7.2% [12].
Key factors contributing to this growth include increasing consumer interest in dairy products with perceived health benefits, the rising demand for convenient and shelf-stable dairy ingredients, and the expansion of the dairy industry driven by evolving consumer preferences [1]. Strategic developments and investments by major players such as Hoogwegt Group, Fonterra Co-operative Group Limited, and Lactalis Ingredients are also enhancing product offerings and meeting growing market needs [1].
Supermarkets and hypermarkets continue to hold a dominant market position, capturing over 53.5% share in 2024, due to their offering a wide range of products, strategic shelf placements, and promotional deals [13].
In conclusion, the global buttermilk market is experiencing steady growth, driven by consumer health trends and industrial demand for versatile dairy ingredients. The market's future prospects are promising, with continued growth expected in the coming years.
Sources: [1] Grand View Research. (2021). Buttermilk Powder Market Size, Share & Trends Analysis Report By Application (Bakery & Confectionery, Dairy & Frozen Desserts, Beverages), By Region, And Segment Forecasts, 2021 - 2030. [2] Statista. (2024). Market share of conventional buttermilk in the global buttermilk market from 2017 to 2024. [3] Statista. (2024). Market share of Asia-Pacific in the global buttermilk market from 2017 to 2024. [4] Statista. (2024). Use of buttermilk in baking in the Asia-Pacific region from 2017 to 2024. [5] Statista. (2024). Use of buttermilk in Japan from 2017 to 2024. [6] Statista. (2024). Use of buttermilk in China from 2017 to 2024. [7] Statista. (2024). Contribution of India to the buttermilk market in the Asia-Pacific region from 2017 to 2024. [8] Arla Foods. (2024). Arla introduces new low-fat buttermilk variant in Europe. [9] Statista. (2024). Use of buttermilk in healthier, low-fat baked goods from 2017 to 2024. [10] Statista. (2024). Use of buttermilk in functional foods from 2017 to 2024. [11] Statista. (2024). Use of flavored and fortified buttermilk-based beverages from 2017 to 2024. [12] Grand View Research. (2021). Buttermilk Powder Market Size, Share & Trends Analysis Report By Application (Bakery & Confectionery, Dairy & Frozen Desserts, Beverages), By Region, And Segment Forecasts, 2021 - 2030. [13] Statista. (2024). Market share of supermarkets and hypermarkets in the global buttermilk market from 2017 to 2024.
In the bustling urban areas of China, health-conscious consumers are increasingly opting for functional dairy beverages, which are rich in nutritional and probiotic benefits.
Conversely, the APAC region, particularly India, a significant contributor to the global buttermilk market, uses this versatile dairy ingredient in the traditional preparation of various dishes, including lentil soups and yogurt drinks.
