The cheese powder market is in the spotlight, and its growth trajectory is impressive. According to a recent report, the global cheese powder market is set to reach a substantial valuation of USD 895 million by 2028, boasting a remarkable compound annual growth rate (CAGR) of 7.3 percent. This surge in demand for cheese powder underscores its significance in the food industry, prompting us to delve into the driving factors, key players, and emerging trends shaping this market.
One of the pivotal drivers behind the cheese powder market's ascent is the surging demand for convenience foods. This encompasses an array of delectable products, from snacks and soups to sauces, frozen delights, and ready-to-eat meals. Snacks, in particular, have emerged as a powerhouse application for cheese powder. Its ease of use, extended shelf life, and versatility in enhancing flavour profiles have made it an indispensable ingredient in the snack industry.
Several prominent players are making significant contributions to the cheese powder market. Names like Land O'Lakes, Inc. (US), Kerry Group Plc (Ireland), Fonterra Co-operative Group Limited (New Zealand), ADM (US), and Commercial Creamery Company (US) are leading the charge. These industry giants follow market trends and shape them through strategic moves and innovations.
In September 2022, Kerry Group Plc made waves by acquiring The Kraft Heinz Company's powdered cheese business, fortifying its position in the cheese powder market. This acquisition amplifies Kerry's manufacturing capacity and broadens its customer base, particularly in snacking.
In March 2023, Kerry Group Plc inaugurated the Southern Europe Innovation Centre in Barcelona, Spain, reflecting its commitment to expanding its regional presence. By leveraging cutting-edge labs and technology expertise, Kerry aims to accelerate the development of novel and tailored cheese powder solutions.
In October 2022, Fonterra Co-operative Group Limited initiated a collaborative venture with Land O'Lakes, Inc. This strategic sales and marketing agreement seeks to unlock new opportunities for Fonterra's Foodservice offerings in the vast US market.
Within the cheese powder landscape, Cheddar cheese powder takes the lead. This particular variety has gained immense popularity due to its relatively lower calorie, saturated fat, salt, and cholesterol content. Health-conscious consumers, particularly in North America, increasingly turn to Cheddar cheese powder, appreciating its unique flavours.
Processed cheese powder is widely embraced by the foodservice industry, including quick-service restaurants, as its convenience and cost-effectiveness make it a preferred choice for various menu items, including savoury snacks like cheese crackers.
The ready meals segment is expected to witness the highest growth in the cheese powder market. The demand for ready meals, driven by busy lifestyles and a penchant for global flavours, has propelled the integration of cheese powder into these offerings. It's not just about adding a specific cheese flavour but creating fusion dishes that tantalise taste buds with a delightful blend of international cuisines.
The North American region is poised to experience substantial growth in the cheese powder market. This is attributed to the extensive use of cheese powder in various food products, including snacks, ready meals, sauces, dips, dressings, and bakery items. The presence of numerous fast-food chains and the diverse range of cheese varieties produced in the region are expected to fuel this growth.
The cheese powder market's remarkable expansion is a testament to consumers' evolving tastes and preferences worldwide. It also highlights the industry's adaptability in catering to these changes. With convenience and flavour enhancement at its core, cheese powder plays a pivotal role in the global food industry. In the future, we can anticipate further innovations and deeper integration of cheese powder into a diverse range of product innovations.
Information supplied by MarketsandMarkets™
