The global evaporated milk products market was valued at USD 6 billion in 2021 and is projected to expand at a CAGR of 4.6% from 2022 to 2030. Evaporated milk is gaining popularity as a substitute for fresh milk, owing to its extended shelf life and cost-effectiveness. The growing demand for convenience food products is expected to drive the market growth during the forecast period. In addition, the growing trend of veganism is likely to restrict the market growth.

Increasing awareness about the health benefits associated with evaporated milk is driving the market growth. Evaporated milk is a rich source of proteins, vitamins, and minerals. It is also known to help in controlling weight and managing diabetes. In addition, the growing demand for convenience food products among consumers is expected to support the market growth. For instance, in June 2021, Nestle launched a new product line, Nestle Carnation Evaporated Milk, in the United States. The product line is designed to provide convenience to consumers as it comes with a new and improved packaging design.

Furthermore, the growing demand for evaporated milk in bakery and confectionery products is expected to support the market growth. Evaporated milk is used as an ingredient in a range of bakery products including cakes, cookies, muffins, and other desserts. Additionally, it is used in the preparation of beverages such as lattes, cappuccinos, and hot chocolates. Moreover, the increasing demand for natural and organic products is expected to boost the market growth. For instance, in March 2021, Organic Valley launched a new organic evaporated milk product in the United States.

However, stringent regulations imposed by the Food and Drug Administration (FDA) on the production of evaporated milk are expected to restrain the market growth. The FDA has imposed regulations on the composition of evaporated milk, which requires the product to contain a minimum of 8.5% milk fat and 25.5% of total milk solids. Additionally, the rising trend of veganism among consumers is expected to hamper the market growth. Moreover, the high cost of organic evaporated milk is expected to limit the growth of the market.

The condensed milk segment is estimated to dominate the evaporated milk products market, accounting for a share of around 43.3% in 2022. Evaporated milk is produced by removing 60% of the water content from fresh milk, which results in a thicker, creamier, and longer-lasting product, with a shelf life of up to six months. Increasing health concerns among consumers and the rising demand for natural and organic products are some of the key factors driving the segment growth. In addition, increasing awareness among consumers about the health benefits of evaporated milk is another factor driving the segment growth.

The unsweetened evaporated milk segment is anticipated to expand at the highest CAGR of 8.0% over the forecast period. Unsweetened evaporated milk is also known as unsweetened condensed milk, and is obtained by evaporating fresh milk and removing the water content without adding any sugar. Increasing demand for unsweetened evaporated milk due to its lower fat content as compared to sweetened evaporated milk and rising health consciousness among consumers are some of the key factors driving the segment growth. Additionally, rising demand for premium food products is another factor propelling the segment growth.

Supermarkets and hypermarkets segment accounted for the largest share of the evaporated milk products market in 2022. The growth of the segment is mainly driven by the increasing consumer preference for supermarkets and hypermarkets as a primary source to purchase evaporated milk products. Supermarkets and hypermarkets offer a wide range of evaporated milk products and assist customers in making quick buying decisions. In addition, the availability of discounted offers, free home delivery services, and loyalty programs offered by retailers are also major factors behind the growth of the segment.

The online segment is expected to grow at the highest CAGR of 11.2% over the forecast period. The development of e-commerce has been rapid in the evaporated milk products industry, with companies launching online websites and shopping apps to increase their brand visibility among consumers. For instance, in 2020, the leading evaporated milk brand, Carnation, launched its online store to offer a wide range of products for purchase. The store offers discounts, free home delivery services, and loyalty programs to consumers.

The skimmed segment accounted for the largest revenue share of 61.1% in the year 2022. The rising demand for low-calorie products from health-conscious consumers is driving the growth of this segment. The skimmed evaporated milk is low in fat and is gaining popularity among the health-conscious population. Moreover, the increasing demand for dairy-based desserts such as custards and puddings is also driving the growth of this segment. Manufacturers are also focusing on developing innovative products to meet the changing consumer preferences. For instance, in May 2020, Nestle India launched a new product, Nestle Milkybar Wowsomes, a chocolate bar made with skimmed evaporated milk.

The low-fat segment is anticipated to expand at the highest CAGR of 9.3% over the forecast period. The increased demand for low-fat products from health-conscious consumers is driving the growth of this segment. Furthermore, manufacturers are focusing on introducing low-fat products with added health benefits to attract more customers. For instance, in August 2020, Nestle India launched an evaporated milk product, Nestle Everyday Dairy Whitener, with added immunity benefits. The product is fortified with vitamin A, vitamin D, and zinc, which helps to boost immunity.

Europe dominated the market and accounted for the largest revenue share of over 33.9% in 2022. This can be attributed to the increasing popularity of convenience foods in the region, owing to the busy lifestyles of the people. Furthermore, the presence of large-scale manufacturers in the region, such as Nestle and Arla Foods, is expected to further drive the growth of the market. Moreover, the rising demand for evaporated milk in baking applications is also contributing to the growth of the market in the region.

Asia Pacific is expected to witness the fastest growth in the coming years. The growing demand for convenience food products in the region, along with the rising health consciousness among the consumers, is driving the market growth in the region. Furthermore, the increasing disposable income of the people in the region is providing them with the opportunity to purchase premium quality evaporated milk products, which is further expected to boost the market growth.

In this part of the evaporated milk products business plan, we will provide a detailed breakdown of all income and expense categories of the business. These forecasts include cash flow projections and capital requirements for your evaporated milk products business. Usually, these projections are drafted for a 5-year period.

Revenue Assumptions
The main source of revenues for an evaporated milk products business comes from sales of the products. Other possible sources of profit include fundraising, the sale of merchandise, and leasing the place for parties and corporate events.

Projecting Expenses
In this section, all the regular expenses related to keeping the evaporated milk products business running will be described. The list of operating expenses includes wages, maintenance and repairs, utilities, insurance policies, advertising, packaging, and others.

Some of the key companies operating in the evaporated milk products market are increasingly focusing on product launches and expansion of the distribution channel to gain prominent visibility among consumers. Some of the initiatives are:

– In December 2022, Nestle launched the Carnation Evaporated Milk range, which includes a variety of flavors such as Original, Low Fat, and Fat Free.

– In April 2022, Lactalis launched the Velcrem Evaporated Milk range, which includes a variety of flavors such as Regular, Low Fat, and Fat Free.

– In November 2022, Danone launched the Horizon Organic Evaporated Milk range, which includes a variety of flavors such as Original, Low Fat, and Fat Free.

Some of the prominent players in the evaporated milk products market include:

– Nestlé SA
– Lactalis Group
– Danone SA
– Dean Foods Company
– Groupe Lactalis
– General Mills, Inc.
– The Kraft Heinz Company
– Sodiaal
– Arla Foods Group
– Parmalat SpA

This report forecasts growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2017 to 2030. For this study, Grand View Research has segmented the global evaporated milk products market based on product, distribution channel, type, and region:

1. Product Outlook (Revenue, USD Million, 2017 – 2030)

– Whole Milk
– Skim Milk
– Reduced-fat Milk
– Others

2. Distribution Channel Outlook (Revenue, USD Million, 2017 – 2030)

– Supermarkets & Hypermarkets
– Online
– Others

3. Type Outlook (Revenue, USD Million, 2017 – 2030)

– Regular
– Organic

4. Regional Outlook (Revenue, USD Million, 2017 – 2030)

– North America
– Europe
– Asia Pacific
– Central & South America
– Middle East & Africa

[Q]: What are the Major Drivers of the Evaporated Milk Products Market?
[A]: The global evaporated milk products market is mainly driven by growing demand for convenience foods, increasing health consciousness, and rising disposable incomes. In addition, the growing demand for lactose-free and vegan milk alternatives, increasing demand for traditional dairy products, and the availability of a variety of evaporated milk products are expected to further contribute to market growth.

[Q]: What are the Major Regional Markets for Evaporated Milk Products?
[A]: Asia Pacific is the largest regional market for evaporated milk products and is expected to remain so throughout the forecast period. India, China, Japan, and South Korea are some of the major regional markets for evaporated milk products in this region.

[Q]: What are the Key Opportunities for Evaporated Milk Products?
[A]: The emergence of new product offerings, such as flavored and low-fat evaporated milk products, is a major opportunity for the evaporated milk products market. In addition, the introduction of new packaging formats, such as tetra packs, is expected to further expand the market.

[Q]: What are the Challenges Facing the Evaporated Milk Products Market?
[A]: The major challenge for the evaporated milk products market is the presence of artificial milk substitutes and increasing health awareness. The increasing popularity of plant-based milk substitutes is expected to pose a threat to the growth of the evaporated milk products market.

[Q]: What are the Major Companies Operating in the Evaporated Milk Products Market?
[A]: Major companies operating in the evaporated milk products market include Nestlé SA, Danone SA, Lactalis Groupe, Dean Foods Company, Saputo Inc., Parmalat S.p.A., MEGGLE Group, Arla Foods amba, FrieslandCampina, and Amul.