Milking the beverage market

The market for mixed milk drinks generates annual retail sales of around AU$150 billion annually on the global market, much the same as the international market for standard milk products, and is growing rapidly especially outside Europe.

The development of the global market for dairy products is closely linked to the economic growth in countries where milk consumption is rising enormously at times. At present, these countries are primarily located in Asia and the Middle East. Vietnam, for example, had practically no milk industry 20 years ago. However, the country has been experiencing annual growth rates of around 20% for two decades. According to figures from Vietnam's Socio-Economic Development, the Vietnamese currently consume 30 times more milk products than in 1990. A large proportion of the milk is also supplied from traditional milk-producing countries in Europe, the USA and New Zealand in the form of milk powder. Due to far-reaching demographic changes, China is another important driving force for the baby food industry.

The soft drinks segment is also providing milk producers with new possibilities. The high sugar content of many carbonated beverages is causing many consumers to look to new drinks, which is presenting new opportunities to milk producers. Many dairies regard this as an opportunity and are now attempting to market milk drinks as a healthy alternative to soft drinks.

European dairy cooperative Aria Foods is aiming to triple turnover from the current figure for its non-standard range milk products from its current EUR230 million annually to EUR690 by 2020. The company is producing milk and fruit juice combinations, milk and tea and a milk-based, high-protein energy drink. Ennstal Milch is combining top-quality Alpine milk with Japanese organic matcha green tea.

Whey-based and mixed whey products are also gaining traction. Austrian company NÖM AG is marketing a fasting vital drink in attractively designed plastic bottles with a full body sleeve.

In the standard milk range dairies increasingly want to score points with consumers by offering organic products: fresh milk from pasture grazing, milk from cows eating domestic and regional feedstuffs without genetic engineering or hay flower milk as a natural alternative, which stands out due to extremely high animal husbandry standards, can be found to an increasing extent on shop shelves.

Milk, or to put it another way, the components of milk, can also be used in entirely different ways. The company Qmilch IP has developed a biopolymer made of casein (milk protein). The casein is produced from raw milk which can no longer be marketed. In Germany alone, two million litres of raw milk are disposed of every year. The fibres thus obtained are used for clothing, home textiles, in the automobile industry and in medical technology. Another way in which to market milk.

The milk market will be examined in detail during drinktec, the world's leading trade fair for the beverage and liquid food industry, in Munich from 11 to 15 September 2017.