Soy and Milk Protein Ingredients Market Size 2024-2028 

The soy and milk protein ingredients market size is forecast to increase by USD 7.44 billion at a CAGR of 5.1% between 2023 and 2028. The market is experiencing significant growth due to several key factors. The global population aging is a major driver, as the geriatric population's nutritional needs increase, leading to a higher demand for protein-rich foods and beverages. Additionally, there is a growing trend towards plant-based diets, with consumers seeking alternative sources of protein to meat. Allergen concerns related to soy and milk ingredients have also fueled market growth, as manufacturers develop new formulations to cater to this demand. The increasing prevalence of lactose intolerance and soy allergies has led to the development of hypoallergenic soy and milk protein ingredients, providing a viable option for consumers with dietary restrictions.

These trends are expected to continue, driving market growth in the coming years.

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Protein ingredients have gained significant popularity in various industries due to their essential role in weight loss, muscle repair, energy balance, satiety, and protein-rich food consumption. Soy protein isolate and milk protein, particularly native whey, are two widely used protein sources in the market. Soy protein isolate is a popular choice for those following vegan formulations or those with lactose intolerance, while milk protein is preferred by those seeking high-quality protein sources for sports drinks and recovery water. The production of these protein ingredients involves crop cultivation, with soybeans being a major source. Contract farmers and oilseed crushers play a crucial role in the supply chain, ensuring the availability of raw materials for processing.

The processing costs for these proteins can vary, with soy protein isolate typically having lower production costs due to its mass production. The demand for protein ingredients is driven by their use in various applications, including low-carb, low-fat, gluten-free, trans-fat free, and whole-grain food products. They are also used in proteinaceous diets, sports nutrition, natural cosmetics, and plant-based meat alternatives. Ingredient labeling regulations ensure consumers are informed of the protein profile and sources of these ingredients, allowing them to make informed choices based on their dietary needs and preferences.

Market Segmentation

The market research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in "USD billion" for the period 2024-2028, as well as historical data from 2018 - 2022 for the following segments.

• Type
  • Milk protein ingredients
  • Soy protein ingredients
• Application
  • Food and beverages
  • Infant formulation
  • Personal care and cosmetics
  • Others
• Geography
  • North America
    • US
  • Europe
    • Germany
    • UK
    • France
  • APAC
    • China
  • South America
  • Middle East and Africa

By Type Insights

The milk protein ingredients segment is estimated to witness significant growth during the forecast period. Protein ingredients, derived from various sources such as soy and milk, play a significant role in the food and beverage industry due to their essential amino acid content. These proteins contribute to weight loss, muscle repair, and energy balance, making them popular choices for those following low-carb, low-fat, gluten-free, trans-fat free, and vegan diets. Plant-derived proteins, including soy and milk, offer additional nutritional benefits, such as dietary fiber, bioactive components like isoflavones, and nutrient-rich whole-grains. In the context of processed foods, protein ingredients are used to enhance the nutritional qualities of products, such as meat analogue and plant-based alternatives.

Soy protein isolates and hydrolysates, as well as whey protein concentrates and isolates, are commonly used in functional drinks, bakery and confectionery, personal care, and sports nutrition. Chronic disease prevention and dairy substitutes are also key applications for these protein ingredients. The health benefits and nutritional qualities of protein-rich foods have led to increased demand for ingredient labeling and transparency. Consumers seek out products with high protein content, making it crucial for manufacturers to offer nutrient-dense options. Native whey protein and soy protein isolate are popular choices for those following a proteinaceous diet, while grain production continues to grow to meet the increasing demand for plant-derived protein sources.

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The milk protein ingredients segment accounted for USD 13.28 billion in 2018 and showed a gradual increase during the forecast period.

Regional Insights

North America is estimated to contribute 34% to the growth of the global market during the forecast period. Technavio's analysts have elaborately explained the regional trends and drivers that shape the market during the forecast period.

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The global market for soy and milk protein ingredients is experiencing significant growth due to the rising demand for natural cosmetics and plant-based meat alternatives. Soymeal, a byproduct of oilseed crushing, is a rich source of vegetable proteins with an ideal protein profile for cell functioning. Its functional properties make it a cheaper substitute for animal-derived proteins in various industries, including animal feed and food processing. Crop cultivation of soybeans is a major agricultural activity, with contract farmers and oilseed crushers playing crucial roles in the production chain. Organic soy protein derived from organic cultivation is gaining popularity due to health concerns and vegan food consumption trends.

The protein sources offer moisture retention, texture enhancement, emulsification, and other desirable properties in plant-based foods, meat alternatives, and infant formulations. The increasing awareness of lactose intolerants and vegetarian diets further boosts the demand for soy and milk protein ingredients. However, processing costs and the presence of aldehydes, which may affect the final product's quality, are challenges that need to be addressed. Marketing campaigns and financial aid from governments and organizations are essential to promote the adoption of soy and milk protein ingredients in various industries.

Our researchers analyzed the data with 2023 as the base year, along with the key drivers, trends, and challenges. A holistic analysis of drivers will help companies refine their marketing strategies to gain a competitive advantage.

Soy And Milk Protein Ingredients Market Driver

Growing geriatric population globally is the key driver of the market. The global market for soy and milk protein ingredients is experiencing significant growth due to the increasing demand for nutrient-rich, protein-packed foods that cater to the unique dietary needs of various population segments. One of the primary drivers of this market is the aging population, whose nutritional requirements often shift towards higher protein intake for muscle repair, weight management, and energy balance. Soy and milk proteins, as plant-derived sources, offer several advantages in this regard. They are naturally rich in essential amino acids, making them ideal for vegan diets and those following a low-carb or low-fat regimen. Additionally, they are gluten-free, trans-fat free, and often come in whole-grain and processed forms.

Soy proteins, including isolates and hydrolysates, are particularly popular due to their high bioactive components like isoflavones, which have been linked to chronic disease prevention and improved health benefits. Milk proteins, such as whey protein concentrate and isolate, are renowned for their nutritional qualities and are widely used in food and beverage applications, including functional drinks, bakery and confectionery, and sports drinks. Ingredient labeling is a crucial factor in the market, with consumers increasingly seeking out products with clear and accurate information about the protein content and nutritional value. The market for soy and milk protein ingredients is expected to expand further as the demand for dairy substitutes and plant-based alternatives continues to grow.

The nutritional and health benefits of these protein sources, coupled with their versatility and applicability across various food and beverage categories, make them a preferred choice for both personal care and food production industries.

Soy And Milk Protein Ingredients Market Trends

Increasing demand for plant-based proteins is the upcoming trend in the market. The global protein ingredients market is witnessing a notable shift towards plant-derived proteins due to their numerous health benefits and functional properties. These proteins, derived from soy, milk, and other plant sources, are rich in essential amino acids, dietary fiber, and bioactive components such as isoflavones. They are increasingly being used as alternatives to animal-derived proteins in weight loss and muscle repair diets, as well as in energy balance and satiety-focused diets. Plant-based proteins are preferred in low-carb, low-fat, gluten-free, and trans-fat-free diets, making them suitable for individuals following vegan diets or those with dietary restrictions. They are also used extensively in processed foods, functional drinks, bakery and confectionery products, nutrient-rich personal care products, and sports drinks.

Soy protein isolates and hydrolysates, as well as whey protein concentrates and isolates, are popular protein ingredients in the food and beverage industry. Soy protein isolate is widely used as a meat analogue and in dairy substitutes, while native whey protein is commonly used in recovery water and functional foods. These protein ingredients offer various health benefits, including improved muscle growth, enhanced immune system function, and reduced risk of chronic diseases. The ingredient labeling trend is driving the demand for protein-rich, whole-grain, and nutrient-dense foods, further fueling the growth of the protein ingredients market. Grain production is expected to increase to meet the rising demand for plant-based proteins, making them a more eco-friendly alternative to other protein sources.

Overall, the protein ingredients market is poised for significant growth due to the increasing awareness of the nutritional qualities and health benefits of proteinaceous diets.

Soy And Milk Protein Ingredients Market Challenge

Allergen concerns related to soy and milk ingredients is a key challenge affecting the market growth. The global market for protein ingredients, derived from soy and milk, is witnessing significant growth due to their nutritional qualities and health benefits. These ingredients, rich in essential amino acids, play a crucial role in muscle repair, weight loss, energy balance, and satiety. With the increasing popularity of protein-rich food, low-carb, and low-fat diets, as well as vegan and gluten-free lifestyles, the demand for plant-derived protein ingredients, such as soy and milk proteins, is on the rise. However, allergen concerns related to soy and milk ingredients pose a challenge to market growth. Soy allergies, in particular, are a significant concern, affecting a considerable number of individuals, especially children.

Symptoms of soy allergies can range from mild reactions, including hives and digestive discomfort, to severe anaphylactic responses that can be life-threatening. As a result, soy-based protein ingredients become unsuitable for individuals with soy allergies, limiting the potential consumer base and necessitating the development of hypoallergenic soy protein products. Milk allergies also pose a challenge, with symptoms ranging from digestive discomfort to anaphylaxis. To cater to the growing demand for hypoallergenic protein ingredients, manufacturers are focusing on developing alternative protein sources, such as wheat, pea, and rice proteins. Furthermore, the market for soy and milk protein ingredients is expanding beyond food and beverage applications to include bakery and confectionery, personal care, and nutraceuticals.

Functional drinks, such as recovery water, sports drinks, and dairy substitutes, are increasingly using soy and milk protein ingredients due to their nutrient-rich properties. Whey protein concentrate and isolate, as well as soy protein isolates and hydrolysate, are popular choices for these applications. The market for soy and milk protein ingredients is also driven by the growing awareness of the health benefits of these ingredients and the increasing demand for bioactive components, such as isoflavones, in plant-based products. Grain production and processing play a significant role in the market for soy and milk protein ingredients. The availability and cost of raw materials, as well as processing technologies, can significantly impact market growth.

Ingredient labeling regulations also influence market trends, with consumers increasingly demanding trans-fat-free, whole-grain, and naturally derived ingredients. In conclusion, the global market for soy and milk protein ingredients is expected to grow significantly due to their nutritional qualities, health benefits, and increasing demand in various applications. However, allergen concerns related to soy and milk proteins pose a challenge to market growth and necessitate the development of hypoallergenic alternatives. The market is also driven by trends towards plant-based diets, functional foods, and personal care products.

Exclusive Customer Landscape

The market forecasting report includes the adoption lifecycle of the market, covering from the innovator's stage to the laggard's stage. It focuses on adoption rates in different regions based on penetration. Furthermore, the report also includes key purchase criteria and drivers of price sensitivity to help companies evaluate and develop their market growth analysis strategies.

 Customer Landscape

Key Companies & Market Insights

Companies are implementing various strategies, such as strategic alliances, partnerships, mergers and acquisitions, geographical expansion, and product/service launches, to enhance their presence in the market.

Ag Processing Inc. - The company provides a range of soy and milk protein ingredients, including soy protein isolates, which offer both nutritional benefits and functional capabilities in diverse applications.

The market research and growth report includes detailed analyses of the competitive landscape of the market and information about key companies, including:

• Archer Daniels Midland Co.
• Arla Foods amba
• Associated British Foods Plc
• Cargill Inc.
• DANA Dairy Group Ltd.
• Devansoy Inc.
• DuPont de Nemours Inc.
• Fonterra Cooperative Group Ltd.
• FrieslandCampina
• Glanbia plc
• International Flavors and Fragrances Inc.
• Kerry Group Plc
• LACTALIS Ingredients
• Linyi Shansong Biological Products Co. Ltd.
• Milk Specialties Global
• Saputo Inc.
• Solbar Ningbo Protein Technology Co. Ltd.
• The Scoular Co.
• Wilmar International Ltd.

Qualitative and quantitative analysis of companies has been conducted to help clients understand the wider business environment as well as the strengths and weaknesses of key market players. Data is qualitatively analyzed to categorize companies as pure play, category-focused, industry-focused, and diversified; it is quantitatively analyzed to categorize companies as dominant, leading, strong, tentative, and weak.

Research Analyst Overview

The protein ingredients market is witnessing significant growth due to the increasing demand for high-protein foods and beverages. Protein ingredients, such as soy protein isolates and whey protein concentrates, play a crucial role in weight loss, muscle repair, and energy balance. They provide essential amino acids necessary for the body to function properly and contribute to satiety, making them ideal for low-carb and low-fat diets. Plant-derived protein ingredients, including soy protein and pea protein, are gaining popularity among consumers following vegan diets or those with dietary restrictions, such as gluten-intolerance. These plant-based proteins are also trans-fat free and often rich in dietary fiber and bioactive components, such as isoflavones.

Soy protein isolates and hydrolysates are widely used in food and beverage applications, including meat analogue products, bakery and confectionery, and functional drinks. They offer nutrient-rich and nutritionally balanced options for consumers seeking to maintain a proteinaceous diet. Ingredient labeling is a critical factor in the protein ingredients market, with consumers increasingly demanding transparency and understanding of the nutritional qualities of the products they consume. Protein ingredients are also used in personal care applications, such as cosmetics and skincare, due to their functional benefits. The growing prevalence of chronic diseases and the need for dairy substitutes have further fueled the demand for protein ingredients in the food and beverage industry.

Native whey protein and whey protein isolate are popular choices for sports drinks, recovery water, and functional beverages, offering quick absorption and enhanced performance benefits.

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What are the Key Data Covered in this Market Research and Growth Report?

• CAGR of the market during the forecast period
• Detailed information on factors that will drive the market growth and forecasting between 2024 and 2028
• Precise estimation of the size of the market  and its contribution of the market in focus to the parent market
• Accurate predictions about upcoming market growth and trends and changes in consumer behaviour
• Growth of the market across North America, Europe, APAC, South America, and Middle East and Africa
• Thorough analysis of the market's competitive landscape and detailed information about companies
• Comprehensive analysis of factors that will challenge the growth of market companies

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