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High Consumption of Dairy Products Fuelling Dairy Processing Equipment Market

Asia Manufacturing Review Team

 Asia Manufacturing Review Team

The global dairy processing equipment market is predicted to reach USD 12.0 billion by 2025. Major factors fuelling the growth of this market include the increased production and consumption of milk and other dairy products along with increased automation in dairy product manufacturing. Technological advancements and high demand and consumption of dairy products such as milk, cream, cheese, milk powder, and yogurt are the other factors that have further contributed to the growth of the dairy processing equipment market, across the world.

From a geographical standpoint, the global market for dairy processing equipment can be classified into various regions such as Asia Pacific, North America, Europe, and the other parts of the world. Europe is anticipated to lead the global dairy processing equipment market, among these countries, holding a key share by the end of 2024. One of the vital reasons predicted to fuel the growth of this sector is the surge in demand and consumption of dairy products in the region.

Furthermore, other countries expected to dominate the dairy processing equipment market include North America and the Asia Pacific. These markets are anticipated to witness robust growth in the near future. Factors such as the presence of a large number of dairy food manufacturers are expected to drive the growth of the overall market in these regions.

The milk processing equipment/diary processing equipment can be used in various sorts of dairy product manufacturing such as butter, cream, cheese, etc. Milk pouch machines, storage milk tanks, milk pasteurizers, refrigeration systems, milk pumps, industrialized homogenizers, etc. are some of the dairy equipment and milk processing machines available today in the market. These equipment help in enhancing the overall production by reducing the time for packaging, and labor costs.

The export incentive to ensure better returns India is the largest producer of milk globally and milk production in the country is close to 146.31 million tonnes and in 2019-2020. The country exported around 51,421.58 tonnes of milk products worth Rs 1341.03 crore. Dairy cooperatives in India have sought a 20 percent export incentive for milk products since there are ample stocks amid a drop in demand from bulk consumers. The dairy cooperatives also stated that the export incentive for milk products will ensure better returns for dairy farmers.

“There is a demand for skimmed milk powder (SMP) and white butter from Nepal, Bangladesh, the UAE, Egypt, and Singapore. We have asked the government to give a 20 percent incentive on the export of milk products that have dropped by 10 percent to 12 percent from the bulk consumers such as hotels, restaurants, wedding caterers, etc. This has also led to a drop in SMP prices by 40 percent to Rs 180 a kg in the past four months, said RS Sodhi, Managing Director at Gujarat Co-Operative Milk Marketing Federation Ltd, popularly known as Amul.