The dairy industry is facing increased challenges as sales continue to decrease due to a rising demand for plant-based varieties of milk, cheese and other dairy-based foods. According to a recent Wall Street Journal article, organic milk is in such oversupply that manufacturers are scrambling to turn it into other products. Its short shelf-life is especially challenging and the drop in demand has caused some companies to send cows to early slaughter in an effort to recoup some losses.
For years, the health benefits of consuming dairy products made from nuts, grains and other vegetarian sources have been featured across all media. Now, most food retailers carry plant-based dairy milks made from almond, coconut, and soy (the most popular versions) giving consumers greater choices to suit individual lifestyles. In health food stores one can find milks manufactured from quinoa, pecan, and rice while the industry continues to develop new plant-based dairy foods.
The numbers suggest it’s not just those who are lactose-intolerant that are making the switch to plant-based milks across North America.
Another challenge to the industry is noted in a research article published just this week by the Journal of Dairy Science. The article highlighted the need for protective packaging for cow’s milk due to artificial lighting contributing to an “off” flavour to the milk, with the LED lighting causing the worst flavouring change vs fluorescent lighting. The study concluded with a recommendation that “Light-protective packaging may be the most effective approach in protecting milk from photo-induced sensory damage.”
Mintel.com just released a report on the US Dairy Industry which stated that non-dairy milk sales have grown 61% in five years, and they projected total sales of plant-based milks would reach $2.11 Billion USD by end of 2017. Their press release noted that almond milk has a 64% market share, followed by soy milk at 13% and coconut milk at 12%.
As 2018 develops it shall be interesting to see if more animal-based dairy companies begin investing in plant-based dairy, as we’ve seen in the meat industry with packaged food giants like Maple Leaf Foods investing in plant-based protein manufacturers.
http://www.mintel.com/press-centre/food-and-drink/non-dairy-milk-sales-grow-61-percent
http://www.journalofdairyscience.org/article/S0022-0302(17)31010-X/fulltext
