Increasing population, coupled with the poor cold chain infrastructure in the developing countries is driving the global UHT milk market. European countries have been among the largest UHT milk markets due to their less frequent shopping habits where UHT milk gives them access to storage for longer periods. On the other hand, the Asian countries, especially China, with the fast growing population and increasing urbanization are high growth UHT milk market.
The cheap private label UHT milk brands in Europe are encouraging the market growth in the financially weaker environment. However, a few restraints are posing challenge to the market growth. For instance, the milk quota in Europe is barring the producers to cross a certain level of milk production. Milk price to the producers has been another concern globally which they claim for their declining profit margins. Despite all these concerns, the UHT milk market in this region is experiencing increasing demand, but at a slower rate.
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Despite the poor cold chain infrastructure in China, the UHT milk consumption in the country is around 70% of the total milk consumption, which lays more opportunities for the growth of UHT milk. Australia is also witnessing a growing UHT milk market. The new dietary trends is giving the UHT milk market a new dimension for growth as the industry finds its prospects in school children under the school milk programs run by several governments and the sportspersons who take UHT milk in the field and the office-goers, who consume UHT milk on the go.
By product segment, semi skimmed UHT milk type had the largest share in the UHT milk market in 2012 followed by whole UHT milk type. The market shares of both semi skimmed and whole segments in the UHT milk market is further expected to grow by 2019 on account of the skimmed milk losing share due to the prevalence of skimmed milk powder.
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Few domestic companies in some of the regional UHT milk markets are Parmalat, Candia and Dairy Partners Americas, while the large international players include Nestle, Lactalis and Fonterra operate in the global UHT milk market.
Table of Content
Chapter 1 Preface 11
1.1 Report Description 11
1.2 Scope and Definition 11
1.2.1 Product segments covered in the report 11
1.2.2 Regions covered in the report 11
1.3 Research Methodology 11
Chapter 2 Executive Summary 13
Chapter 3 UHT Milk – Industry Overview 15
3.1 Introduction 15
3.2 Drivers 15
3.2.1 Increasing influence of western culture is escalating the demand for UHT milk market 15
3.2.2 Less refrigeration space is making UHT milk the best alternative of preservation 16
3.2.3 Private label companies with low priced brands are attracting customers in weaker financial environment 16
3.3 Restraints 17
3.3.1 Unorganized milk market 17
3.3.2 Consumer concern for loss of nutritional value 17
3.4 Market trends and opportunities 19
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3.4.1 Major UHT milk markets are import driven 19
3.4.2 New dietary trend is offering new opportunities for the UHT milk market 19
3.5 Porter’s five forces analysis 20
3.5.1 Bargaining power of suppliers 20
3.5.2 Bargaining power of buyers 21
3.5.3 Threat of new entrants 21
3.5.4 Threat from substitutes 21
3.5.5 Degree of competition 22
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