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A2 milk Market

A2 milk Market Size, Share, Competitive Landscape and Trend Analysis Report by Form, Packaging Form and Distribution Channel : Global Opportunity Analysis and Industry Forecast, 2021-2027

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Author's: Bhavana Thorat | Roshan Deshmukh
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The global a2 milk market was valued at $1,129.7 million in 2019, and is projected to reach $ 3,699.2 million by 2027, registering a CAGR of 15.8% from 2021 to 2027. In 2019, the liquid a2 milk segment accounted for the highest share in the market. A2 milk is a variety of cow’s milk that is free from a1 beta casein protein and majorly contains only a2 beta casein protein. It is obtained from specific breeds of cows including guernsey, jersey, Holstein, brown swiss and others.  

There has been an upsurge in demand for functional beverages that deliver digestive benefits. Owing to rise in health consciousness among consumers, rise in consumer spending, and increase in product awareness & knowledge through advertisements, the demand for a2 milk has been driven. Furthermore, consumers are increasingly inclined towards beverages that are obtained in a sustainable manner, such as that having simplified labels, no additive/preservative, non-GMO and recognizable ingredient list. This is one of the most crucial factors propelling the demand for a2 milk. Moreover, the application of a2 milk powder as an ingredient in infant formulas has gained high traction. This is due to its easier digestive properties as compared to conventional milk. Hence, several multinational brands are gradually developing and launching infant formulas manufactured using a2 milk as an ingredient. However, a2 milk is priced higher as compared to conventional milk and hence it can cause hinderance in the a2 milk market growth. 


On the contrary, there has been an exponential growth in demand for dairy products such as ghee, butter, cheese, and others. This can be regarded as an opportunity by manufacturers for further growth and expansion of the market through product diversification and innovation.  

Owing to the outspread of Covid 19, the demand for functional beverages as a result of growing consumer spending and health consciousness has experienced substantial growth. COVID-19 is expected to further boost the demand for a2 milk at a much higher rate in the global market. An increase in awareness amongst people to strengthen their immunity & immune system to prevent themselves from being infected easily is compelling them to maintain a healthy lifestyle and proper diet.

A2 milk Market
By Form
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The powder A2 milk segment would witness the fastest growth, registering a CAGR of 16.2% during the forecast.

According to a2 milk market analysis, the market is segmented on the basis of form, packaging form, distribution channel and region. By form, the market is bifurcated into liquid and powder. By packaging form, the market is classified into carton, bottle and others. Based on distribution channel, the market is segmented into supermarket & hypermarket, grocery & convenience stores, online retail and others. Region wise, the market is studied across North America, Europe, Asia-Pacific and LAMEA.

On the basis of form, the liquid a2 milk category accounted for the maximum a2 milk market share in 2019. Liquid a2 milk is most owing to its high rate of consumption and convenience. Consumers prefer fresh milk for direct consumption since it offers important nutrients required by humans, including proteins, calcium and vitamins. However, the powder a2 milk segment is expected to grow at a higher CAGR during the forecast period. 

A2 milk Market
By Packaging Form
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The Carton segment woud witness the fastest growth, registering a CAGR of 16.1% during the forecast.

On the basis of packaging form, the carton segment accounted for the maximum share in the global a2 milk market in 2019. Cartons enable to provide a longer shelf life to the product, incur lower transport costs and are also convenient and safer to use for consumers. Thus, owing to this growing preference and propelling consumption, the carton segment accounted for a higher value share in the global a2 milk market size and is anticipated to retain its position during the forecast period.  

On the basis of distribution channel, the supermarket & hypermarket segment accounted for the maximum share in the global a2 milk market in 2019. Supermarkets & hypermarkets provide high visibility and attractive assortment of plant-based products to consumers. This enables them to discover new variety and understand the labels and differentiate better among products. Furthermore, supermarket chains are one of the highest visited stores for purchasing grocery items. Hence, this factor is expected to boost the sales of a2 milk in the market. However, the online retail segment is anticipated to grow at the highest CAGR during the a2 milk market forecast period. 

A2 milk Market
By Distribution Channel
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The online retail segment woud witness the fastest growth, registering a CAGR of 16.5% during the forecast.

On the basis of region, Asia-Pacific was the prominent market for a2 milk in 2019. This can be attributed to the tremendous popularity and substantial consumption of a2 milk beverage in the region. Furthermore, the availability of cow breeds that produce a2 milk is abundant in the region. However, the North America region is expected to witness a significant CAGR, owing to rapid demand and acceptance of a2 milk beverages as a result of high consumer spending, lactose intolerance among large population and growing health consciousness. 

The key players operating in the a2 milk market include GCMMF (Amul), Erden Creamery Private Limited, Freedom Foods Group Limited, Lion Dairy & Drinks, Provilac Dairy Farms Pvt. Ltd., Ripley Farms LLC, Taw River Dairy, The a2 Milk Company Limited, Urban Farms Milk and Vinamilk. 

A2 milk Market
By Region
North America

North America region woud witness the fastest growth, registering a CAGR of 16.9% from 2019-2026.

Key Benefits For Stakeholders

  • The report provides a quantitative analysis of the current a2 milk market trends, estimations, and dynamics of the market size from 2021 to 2027 to identify the prevailing opportunities.
  • Porter’s five forces analysis highlights the potency of buyers and suppliers to enable stakeholders to make profit-oriented business decisions and strengthen their supplier–buyer network.
  • In-depth analysis and the market size and segmentation assists in determining the prevailing a2 milk market opportunities.
  • The major countries in each region are mapped according to their revenue contribution to the market. 
  • The market player positioning segment facilitates benchmarking and provides a clear understanding of the present position of the market players in the a2 milk industry.

A2 milk Market Report Highlights

Aspects Details
By Form
  • Liquid
  • Powder
By Packaging Form
  • Carton
  • Bottle
  • Others
By Distribution Channel
  • Supermarket & Hypermarket
  • Grocery & Convenience Stores
  • Online Retail
  • Others
By Region
  • North America  (U.S., Canada, Mexico)
  • Europe  (Germany, France, UK, Italy, Spain, Rest of Europe)
  • Asia-Pacific  (China, India, Japan, Australia, New Zealand, Rest of Asia-Pacific)
  • LAMEA  (Brazil, Saudi Arabia, South Africa, United Arab Emirates, Rest of LAMEA)
Key Market Players


Analyst Review

Milk has been consumed from olden times to fulfill the dairy product requirements and due to its high acceptability and digestibility to the human digestive system. Earlier, A2 milk was used for direct consumption and cheese processing at a small scale, however with technological innovation, several A2 milk products were commercially introduced in the market.

According to top-level CXOs, increasing rate of health issue due to the consumption of conventional or A1 milk worldwide is likely to remain the dominant force driving the demand for A2 milk market. Moreover, the key players in the market are expanding/launching their portfolio of A2 milk product such as infant formula, baby food, cheese, yogurt, among others. Due to escalating in A2 milk variants it is expected to spur the A2 milk market. New product launches of A2 milk have been introduced by the existing players in the market. Nestle has launched A2 Milk variants in China for mothers, for the infant kids, and another variant for the whole family. Likewise, Bodhishop in India has introduced A2 Ghee, Paneer, and other milk items like Khoya. All available over Indian location and specific locations worldwide.

The CXOs further added that rise in rate of internet penetration around the major parts of the world makes way for manufacturers to initiate several key online marketing programs. Moreover, rise in the number of hypermarkets, supermarkets, convenience stores as well as online retailing is expected to generate growth avenues and higher traction for the A2 milk market during the forecast period.



Author Name(s) : Bhavana Thorat | Roshan Deshmukh
Frequently Asked Questions?

The global a2 milk was valued at $1,129.7 million in 2019.

The forecast period in the A2 Milk Market report is 2021 to 2027.

The base year calculated in the A2 Milk Market report is 2019.

The top companies hold the market share in the A2 Milk Market include The a2 Milk Company Limited, Freedom Foods Group Limited, Erden Creamery Private Limited, Lion Dairy & Drinks, Vinamilk, among others.

The most influencing segment growing in the A2 Milk Market report is the powder a2 milk market segment.

The liquid a2 milk segment holds the maximum market share of the A2 Milk Market.

The company profile has been selected on the basis of its revenue contribution in the A2 milk market.

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A2 milk Market

Global Opportunity Analysis and Industry Forecast, 2021-2027