Surge in global liquid dairy product consumption will create opportunities for packagers
It's good news for packagers: Economic growth and urbanization are driving demand for all types of liquid dairy products (LDPs) in developing countries throughout Asia, Africa and Latin America, according to new research from food processing...
It’s good news for packagers: Economic growth and urbanization are driving demand for all types of liquid dairy products (LDPs) in developing countries throughout Asia, Africa and Latin America, according to new research from food processing and packaging company Tetra Pak.
Specifically, Switzerland-based Tetra Pak forecasts a rise of around 30 per cent in global consumption of milk and other liquid dairy products from 2010 to 2020 – a consumption boom primarily driven by economic growth, demographic changes, and the rising purchasing power of Asia’s middle class.
The conclusions are part of the fourth issue of the Tetra Pak Dairy Index, which tracks worldwide facts, figures and trends in the global dairy industry.
“Demand for LDPs will rise in every region of the world between 2010 and 2020, with the exception of Western Europe, which has the world’s highest per capita consumption of milk,” the report said. “An emerging middle class is set to fuel demand for healthy, packaged products in supermarkets and convenience stores from Shanghai to Mumbai.”
A particularly important development will be the shift from “loose” to packaged milk, the report said. “Last year, around 51 per cent of white milk consumed in developing countries was bought loose,” the report noted. “Sales are forecast to reach a tipping point in 2014, with around 55 per cent of white milk sold in packages, and this is expected to climb towards 70 per cent by 2020.”
Also, packagers should see opportunities opening up as Asian consumers look for value-added products that promote convenience, health and well-being. “Value-added products may offer the best growth opportunities this decade for the mature markets of Western Europe and North America,” the report said.
Headquartered in Switzerland, Tetra Pak is one of the world’s leading food processing and packaging solutions company, with almost 22,000 employees based in over 85 countries.
The fourth Tetra Pak Dairy Index can be viewed in full at this link.