Buttermilk Powder Market Analysis, Segments, Growth and Value Chain 2016-2024

Buttermilk powder or dry buttermilk is derived from liquid buttermilk that is obtained from churning of butter and pasteurized before condensing. Buttermilk powder is produced by spray drying buttermilk and has an excellent solubility performance, strong emulsifying properties, uniform fat content and a rich creamy flavor. By removing excess moisture from buttermilk, microbial growth is prohibited. Buttermilk powder consists of 5% or less moisture (by weight) and 4.5% or more milk fat (by weight).

Higher levels of phospholipids in buttermilk powder improves the heat constancy and the creamy flavor of recombined milks and refined dairy products. Improved heat constancy assists in reducing the fouling rate of ultra-heat treated (UHT) milk formulations for recombine UHT milk uses. Functional properties of buttermilk powder includes browning, emulsification, foaming, water binding, and flavor enhancement. The average shelf life of buttermilk powder is 12 months from date of manufacture when stored in dry, ambient conditions away from direct sunlight.

The global buttermilk powder market can be segmented on the basis of production type, application, and region. On the basis of production type, the global buttermilk powder market is divided into spray dried buttermilk powder and atmospheric roller dried buttermilk powder. Further, on the basis of application the global buttermilk powder market is segmented into bakery and confectionery products, frozen desserts, beverages, specialty foods, soups & sauces, and salad dressings among others. Others include processed food products and animal feed.

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Geographically, the global buttermilk powder market can be divided by major regions which include North America, Latin America, Western and Eastern Europe, Asia-Pacific, Middle East and Africa. North America is projected to dominate the global buttermilk powder market during the forecast period in terms of revenue share and consumption. U.S. is the leading producer of buttermilk powder. The North American buttermilk powder market is closely followed by the European buttermilk powder market, followed by the Asia-Pacific buttermilk powder market which is projected to be the faster growing market for buttermilk powder across the globe. The developing economies are expected to depict increasing demand for buttermilk powder with the rise in global usage of the same as a key food ingredient.

The major factor driving the global buttermilk market is that it provides longer shelf life due to decreased moisture content. Oxidation can be reduced by keeping a low moisture content and avoiding contact of the powder to elements that encourage oxidation including light and metals such as copper and iron. Longer shelf life is vital for regions with extreme temperatures and poor transport facilities. Reduced transportation and storing costs plays a major role in fuelling the growth of the global buttermilk powder market.

The growing demand for dry dairy products is also expected to drive the market for buttermilk powder in the near future. Increasing number of buttermilk powder applications in the animal feed industry is another factor driving the market for buttermilk powder across the globe. Advanced technology and scientific breakthrough will support the growth of the global buttermilk powder market during the forecast period.

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Some of the major players identified across the value chain of the global buttermilk powder market includes Fonterra Co-Operative Group, Grain Millers, Inc., Agri-Mark, Inc, Land O’ Lakes, Inc, Dairy Farmers of America, Associated Milk Producers, Inc., Arion Dairy Products B.V., Innova Food Ingredients S.A. and Sterling Agro Industries Ltd. The companies are emphasizing on research & development and product development in order to gain market share in the competitive buttermilk powder market.

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