The "Organic Dairy Food and Drinks Market Report," by Allied Market Research (alliedmarketresearch.com), forecast that the global market, valued at $14,517 million in 2015, is expected to grow at a CAGR of 14.25% from 2016 to 2022 to reach $36,729 million by 2022.

Rise in awareness of health concerns, emergence of environment protection, technological advancements, and government initiatives in organic farming are the major factors that drive the market. Organic dairy products are blended with natural antioxidants which surge its market demand. Nutritional benefits, better taste and freshness are the factors which boost the organic market as an alternative to chemically blended nonorganic products. Moreover, production of organic dairy products naturally increases the emission of the methane gas, which can lessen the effects of the global warming by decreasing emission of nitrous oxide and carbon dioxide. Recently, innovative products such as flavored milk, organic spoonable yogurt with granola, yogurt, sour creams, buttermilk, cottage cheese and fruit toppings are added, which help to boost market growth. Government has promoted organic farmers by assisting with low interest rate, loan facilities and financial incentives to transition to organic methods.

According to Eswara Prasad, team lead, chemicals & materials at Allied Market Research, "Robotic milking systems are innovative solutions to improve milking frequency compared to conventional parlor systems."

Based on type, organic milk dominated the market in 2015 with more than half of the total share by volume. Increase in health awareness coupled with nutritional benefits helps the market to generate considerable pace and the dominating type is projected to make headway by projecting a CAGR of 14.10% in the near future.

Organic Dairy Food & Drinks Market Key Benefits

  • Asia-Pacific is expected to be the fastest growing market in organic milk with a CAGR of 14.82% during the forecast period
  • Organic yogurt is expected to grow at a CAGR of 14.72% during the forecast period
  • In the year 2015, organic milk dominated the organic dairy food and drinks market with more than half of the total share by volume.
  • In North America, the organic dairy food and drinks market is projected to expand at a CAGR of 14.26%
  • India is the fastest growing market for organic dairy food and drinks by registering a CAGR of 16.19%

Globally, Asia-Pacific and Europe together occupy more than two-fifth of the total share. Increase in disposable income coupled with rise in health awareness fuels the organic dairy food and drinks market in these regions.