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North America Dairy Market Size

The North America Dairy Market is projected to experience growth over the forecast period, driven by increasing consumer demand for clean-label products and the expansion of distribution channels. Supermarkets and hypermarkets play a significant role in the market's distribution, holding a substantial share due to their capacity to offer a wide range of dairy products. The market's expansion is further supported by the rising trend of out-of-home consumption, particularly in the United States, which dominates the region's dairy industry. This growth is attributed to heightened health consciousness among consumers, who are increasingly incorporating dairy products into their diets for essential nutrients.

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Market Size of north america dairy Industry

North America Dairy Market Summary
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svg icon Study Period 2017 - 2029
svg icon Market Size (2024) USD 138.9 Billion
svg icon Market Size (2029) USD 166.1 Billion
svg icon Largest Share by Distribution Channel Off-Trade
svg icon CAGR (2024 - 2029) 3.65 %
svg icon Largest Share by Country United States
svg icon Market Concentration Low

Major Players
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*Disclaimer: Major Players sorted in no particular order

Key Players

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North America Dairy Market Analysis

The North America Dairy Market size is estimated at 138.9 billion USD in 2024, and is expected to reach 166.1 billion USD by 2029, growing at a CAGR of 3.65% during the forecast period (2024-2029).

138.9 Billion

Market Size in 2024 (USD)

166.1 Billion

Market Size in 2029 (USD)

2.11 %

CAGR (2017-2023)

3.65 %

CAGR (2024-2029)

Largest Market by Category

36.64 %

value share, Cheese, 2023

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Product consistency, surge in regional production and increasing cheese use in different cuisines are some of the major factors influencing the higher cheese consumption.

Largest Market by Country

77.14 %

value share, United States, 2023

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Higher purchasing power, the inclusion of dairy products in most of their consumption patterns, and high productivity are some of the major factors driving the Untied States market.

Fastest-growing Market by Category

4.42 %

Projected CAGR, Milk, 2024-2029

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Increasing public-private funding and investments in dairy farming along with technological advancements in the industry are largely catering to the growth of milk market.

Fastest-growing Market by Country

5.06 %

Projected CAGR, Canada, 2024-2029

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Dairy demand in Canada is projected to increase with an increase in production throughout the forecast period. This increase is due to the growing demand for fresh dairy.

Leading Market Player

6.67 %

market share, The Kraft Heinz Company, 2022

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Kraft Heinz Company held the largest market share while mainly focusing on product development as a growth strategy. It has been ramping up its existing range of dairy products.

Availability of clean label products is enhancing the growth of retailing unit in North America

  • The North American distribution channel witnessed a growth of 2.16% in 2022 compared to 2021. The growth was attributed to the popularity and availability of clean-label products in dairy segments, such as cheese, yogurt, and milk. These clean-label dairy products are free from artificial ingredients, including artificial colors, flavors, and preservatives. These retailers also offer a wide variety of dairy products of various brands. This dairy market is expected to rise by 8.81% in 2025 due to the increasing demand for distribution channels in North America.
  • Supermarkets and hypermarkets have larger spaces and shelves to store their products. As a result, under the off-trade retailing modes, supermarkets and hypermarkets dominate the country's overall distribution channel by holding a share of 51.32%. Some of these supermarkets and hypermarkets nationwide are Walmart, Target, Kroger, Amazon, Costco Wholesale Corporation, Albertsons Companies, Ahold Delhaize USA, and Publix Super Markets Inc. These retailers provide dairy products at varied prices (low, medium, and high). The base selling price of sour milk in the United States is USD 2.68 to as high as USD 50.
  • In North America, consumers majorly prefer out-of-home consumption. In 2022, around 23.1 million individuals consumed food outside at least once a week. The total number of restaurants in the United States was estimated at 101,811 in 2021. As a result, on-trade retailing modes gained popularity during 2018-2021. In North America's on-trade retailing mode, the milk industry held the largest share of 65.84% compared to other dairy product industries in 2022. During 2025-2028, on-trade consumption is expected to increase by 4.5% due to the rising demand for out-of-home consumption.
North America Dairy Market

Increasing awareness regarding benefits of dairy consumption is promoting the market growth

  • The dairy industry in the North American region witnessed a growth of 2.98% in 2022 compared to 2021. The growth was observed due to the rising consciousness about health, as dairy products offer a significant volume of essential nutrients. One cup of milk offers 3.4 grams of protein, 5 grams of carbohydrates, 0.6 grams of saturated fat, and other nutrients. This has increased people's interest in dairy products as they seek to maintain a healthy diet. Thus, the dairy industry is expected to grow by 3.2% in 2024.
  • In the North American region, the United States dominates the dairy industry. In 2022, the United States held a share of 70.08%. In January 2023, 150,174 convenience stores were operating in the United States, a rise of 1.5% from the 2022 store count, which helped consumers to purchase dairy products.
  • Canada held a share of 18.85%. Texas has the most convenience stores with 16,018 stores, while California follows with 12,000 stores. Some of the famous stores in the North American region are Walmart, Amazon, Kroger, and Target. These stores offer a wide variety of dairy products in the market.
  • Mexico held a share of 51.02% in 2022. In 2020, there are 33 supermarket chains, with 3,227 stores, 2,365 department stores, and 53,793 specialized stores nationwide. Informal establishments, such as mobile street vendors and open public markets, cover 50% of the retail market. Dairy products are also available at varied prices (low, medium, and high). The base selling price of packaged milk is USD 1.72, which goes as high as USD 50.5. The availability of these products at various price ranges promotes buying power among the population.

North America Dairy Industry Segmentation

Butter, Cheese, Cream, Dairy Desserts, Milk, Sour Milk Drinks, Yogurt are covered as segments by Category. Off-Trade, On-Trade are covered as segments by Distribution Channel. Canada, Mexico, United States are covered as segments by Country.

  • The North American distribution channel witnessed a growth of 2.16% in 2022 compared to 2021. The growth was attributed to the popularity and availability of clean-label products in dairy segments, such as cheese, yogurt, and milk. These clean-label dairy products are free from artificial ingredients, including artificial colors, flavors, and preservatives. These retailers also offer a wide variety of dairy products of various brands. This dairy market is expected to rise by 8.81% in 2025 due to the increasing demand for distribution channels in North America.
  • Supermarkets and hypermarkets have larger spaces and shelves to store their products. As a result, under the off-trade retailing modes, supermarkets and hypermarkets dominate the country's overall distribution channel by holding a share of 51.32%. Some of these supermarkets and hypermarkets nationwide are Walmart, Target, Kroger, Amazon, Costco Wholesale Corporation, Albertsons Companies, Ahold Delhaize USA, and Publix Super Markets Inc. These retailers provide dairy products at varied prices (low, medium, and high). The base selling price of sour milk in the United States is USD 2.68 to as high as USD 50.
  • In North America, consumers majorly prefer out-of-home consumption. In 2022, around 23.1 million individuals consumed food outside at least once a week. The total number of restaurants in the United States was estimated at 101,811 in 2021. As a result, on-trade retailing modes gained popularity during 2018-2021. In North America's on-trade retailing mode, the milk industry held the largest share of 65.84% compared to other dairy product industries in 2022. During 2025-2028, on-trade consumption is expected to increase by 4.5% due to the rising demand for out-of-home consumption.
Category
Butter
By Product Type
Cultured Butter
Uncultured Butter
Cheese
By Product Type
Natural Cheese
Processed Cheese
Cream
By Product Type
Double Cream
Single Cream
Whipping Cream
Others
Dairy Desserts
By Product Type
Cheesecakes
Frozen Desserts
Ice Cream
Mousses
Others
Milk
By Product Type
Condensed milk
Flavored Milk
Fresh Milk
Powdered Milk
UHT Milk
Sour Milk Drinks
Yogurt
By Product Type
Flavored Yogurt
Unflavored Yogurt
Distribution Channel
Off-Trade
Convenience Stores
Online Retail
Specialist Retailers
Supermarkets and Hypermarkets
Others (Warehouse clubs, gas stations, etc.)
On-Trade
Country
Canada
Mexico
United States
Rest of North America
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North America Dairy Market Size Summary

The North American dairy market is experiencing a steady expansion, driven by the increasing consumer preference for clean-label products free from artificial ingredients. This trend is particularly evident in segments such as cheese, yogurt, and milk, which are gaining popularity due to their perceived health benefits. Supermarkets and hypermarkets dominate the distribution channels, offering a wide range of dairy products at various price points, catering to diverse consumer preferences. The market's growth is further supported by the rising demand for out-of-home consumption, with the milk industry holding a significant share in the on-trade retailing mode. The United States, Canada, and Mexico are key players in the region, with the United States leading in market share, followed by Canada and Mexico, each contributing to the market's dynamic landscape.

The North American dairy industry is characterized by a fragmented market structure, with major companies like Danone SA, Froneri International Limited, Groupe Lactalis, The Kraft Heinz Company, and Unilever PLC holding a significant portion of the market. The demand for dairy products is bolstered by the increasing awareness of their nutritional benefits, such as protein and calcium content, which align with the growing health consciousness among consumers. Additionally, the market is witnessing a rise in the consumption of butter-based snacks and cheese, driven by the popularity of baked foods. The import and production of cheese and butter are on the rise, reflecting the robust demand for these products. Strategic acquisitions and partnerships among key players are further shaping the market dynamics, enhancing product offerings and distribution capabilities across the region.

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North America Dairy Market Size - Table of Contents

  1. 1. MARKET SEGMENTATION (includes market size in Value in USD and Volume, Forecasts up to 2029 and analysis of growth prospects)

    1. 1.1 Category

      1. 1.1.1 Butter

        1. 1.1.1.1 By Product Type

          1. 1.1.1.1.1 Cultured Butter

          2. 1.1.1.1.2 Uncultured Butter

      2. 1.1.2 Cheese

        1. 1.1.2.1 By Product Type

          1. 1.1.2.1.1 Natural Cheese

          2. 1.1.2.1.2 Processed Cheese

      3. 1.1.3 Cream

        1. 1.1.3.1 By Product Type

          1. 1.1.3.1.1 Double Cream

          2. 1.1.3.1.2 Single Cream

          3. 1.1.3.1.3 Whipping Cream

          4. 1.1.3.1.4 Others

      4. 1.1.4 Dairy Desserts

        1. 1.1.4.1 By Product Type

          1. 1.1.4.1.1 Cheesecakes

          2. 1.1.4.1.2 Frozen Desserts

          3. 1.1.4.1.3 Ice Cream

          4. 1.1.4.1.4 Mousses

          5. 1.1.4.1.5 Others

      5. 1.1.5 Milk

        1. 1.1.5.1 By Product Type

          1. 1.1.5.1.1 Condensed milk

          2. 1.1.5.1.2 Flavored Milk

          3. 1.1.5.1.3 Fresh Milk

          4. 1.1.5.1.4 Powdered Milk

          5. 1.1.5.1.5 UHT Milk

      6. 1.1.6 Sour Milk Drinks

      7. 1.1.7 Yogurt

        1. 1.1.7.1 By Product Type

          1. 1.1.7.1.1 Flavored Yogurt

          2. 1.1.7.1.2 Unflavored Yogurt

    2. 1.2 Distribution Channel

      1. 1.2.1 Off-Trade

        1. 1.2.1.1 Convenience Stores

        2. 1.2.1.2 Online Retail

        3. 1.2.1.3 Specialist Retailers

        4. 1.2.1.4 Supermarkets and Hypermarkets

        5. 1.2.1.5 Others (Warehouse clubs, gas stations, etc.)

      2. 1.2.2 On-Trade

    3. 1.3 Country

      1. 1.3.1 Canada

      2. 1.3.2 Mexico

      3. 1.3.3 United States

      4. 1.3.4 Rest of North America

North America Dairy Market Size FAQs

The North America Dairy Market size is expected to reach USD 138.87 billion in 2024 and grow at a CAGR of 3.65% to reach USD 166.12 billion by 2029.

In 2024, the North America Dairy Market size is expected to reach USD 138.87 billion.

North America Dairy Market Report Snapshots

North America Dairy Market SIZE & SHARE ANALYSIS - GROWTH TRENDS & FORECASTS UP TO 2029