Butter is one of the dairy product and is made up of water, butterfat, and proteins. Butter is used for baking, cooking, or as spreads in a different type of dishes for enriching the taste of butter. Butter is usually used as a feast on toasted or plain bread products and a condiment on baked food products, and also in cooking, such as sauce making, baking, and pan frying. Butter is produced and manufactured from the milk of other animals, such as goats, sheep, buffalo, and yaks. Removing the water, rendering butter, and milk solids produce clarified ghee or butter, which is nearly the same as entire butterfat.
Increasing demand for butter among many individuals is a major factor driving the growth of the butter market. Changing lifestyle and growing consumption of fast food and convenience food is another factor fueling the growth of the target market. Changing a busy lifestyle in developing economies resulting in rising demand for ready-to-eat breakfast products such as butter and propelling the growth of the global market.
However, availability of replacements to butter, including margarine, and strict government regulations in the production and distribution of butter are major factors, may hamper the growth of the global butter market. Also, rising health concerns and growing obesity is among the other factor that hampers the market growth.
Mainly two types of butter are available in the market currently, including unsalted butter and salted butter. Demand for salted butter is increasing due to its longer shelf life as compared to unsalted butter and changing eating habits of most of the individuals.
Butter is used in various applications including food service and food processing. Demand for butter is used in food service due to the increasing disposable income. The butter market worldwide is expected to grow at a compound annual growth rate of nearly 5.0% over the next 10 years and was valued at around US$ 7,084.5 Mn in 2018 to US$ 11,518 Mn in 2028.
- By Type
- By Region
- By Application
Increasing consumption of butter among many individuals and growing demand for ready-to-eat food especially in US and Canada are the factors that are resulting in high demand for the target market in North America. Consumption for butter is increasing in the region of Asia Pacific due to increase in home-baking and the growing food industry and increasing disposable incomes and change in consumer preferences in this region. In addition, growing population and Due to the wide application for butter in the food industry and in also for household uses countries such as India and China. Demand for butter is comparatively less in regions such as Latin America, and the Middle East & Africa.
Some of the major players operating in the global butter market are OrnuaMS Iceland Dairies, Bertolli, Cabot, Organic Valley, Yeo Valley Farms, Fonterra, Clover Stornetta Farms, Kalona SuperNatural, Amul, Arla Foods, President Cheese, Horizon Organic, Land O Lakes, Tillamook, Dairy Farmers of America, WCB, Devondale Murray Goulburn, and Rochefort.