The global dairy market will offer strong growth prospects in the coming five years, according to a new report from Rabobank.
Emerging markets in China, India and Southeast Asia are expected to account for more than 80 percent of the market growth volume.
It underscores the importance of promoting U.S. dairy exports to countries like China and Japan.
“Tapping into emerging market growth will present a particular challenge for many of the world’s dairy processors,” many of which are located and still focused on the European and U.S. markets, said Tim Hunt, global dairy strategist for Rabobank.
Opportunities will also be uneven across product categories. Higher-end whey products are poised for favorable growth, while cheese sales could underperform the broader dairy market.