Infant Formula Market: Global Industry Analysis And Forecast (2023-2029)

Infant Formula Market size was valued at US$ 134.94 Bn. in 2022 and the total Infant Formula revenue is expected to grow at 10.5% from 2023 to 2029, reaching nearly US$ 271.45 Bn.
Infant Formula Market Overview:
Foods formulated for babies and infants younger than 12 months old are known as infant formulas. These are often made in a powdered form for bottle-feeding and are typically regarded as a substitute for breast milk. They are mixed with water or another liquid. Infant formula producers assert that the ingredients in their products are nearly identical to those in breast milk. Purified whey and casein from cow's milk, a combination of vegetable oils as a source of fat, lactose as a source of carbohydrates, a combination of vitamins and minerals, and other ingredients, depending on the manufacturer, are the main ingredients in most commercial infant formulas. Although breast milk is the greatest nourishment for young children and it is not advisable to substitute it with any infant formula, a large variety of new-born formulas are available on the market with appealing packaging, which attracts consumers' attention and grows the market for infant formulas.To know about the Research Methodology :- Request Free Sample Report

The report explores the Infant Formula market's segments (Type, Product Type, Price Point, Distribution Channel, and Region). Data has been provided by market participants, and regions (North America, Asia Pacific, Europe, Middle East & Africa, and South America). It provides a thorough analysis of the rapid advances that are currently taking place across all industry sectors. Facts and figures, illustrations, and presentations are used to provide key data analysis for the historical period from 2017 to 2020. The report investigates the Infant Formula market's drivers, limitations, prospects, and barriers. This MMR report includes investor recommendations based on a thorough examination of the Infant Formula market's contemporary competitive scenario.
Infant Formula Market Dynamics:
Drivers:

A significant increase in demand for organic baby food among children under the age of five around the world is anticipated to drive the market for infant formula. Baby formula is now more necessary than ever due to the rise in child and infant malnutrition occurrences. The market for infant formula is growing significantly as a result of the rise in working mothers pushed on by economic growth that creates jobs that encourage more women to enter the workforce. Another is the rise of middle-class households that can buy infant formula due to economic and population growth. Developing markets in this case. The total number of births is a further significant factor in the growth of the market.

Restraints:

The market growth of the infant formula market is anticipated to be restrained by the strict regulatory barrier connected with the approval for the production of nutrition and formula. However, it is anticipated that the market growth would be negatively impacted by the scandals that are becoming more common in the infant formula market. Additionally, the market growth for infant formula is expected to be restricted by customers in developing nations, particularly in rural regions, lacking knowledge of the health benefits connected with the formula.

Opportunities:

The market for infant formula is anticipated to have opportunities due to the growing demand for premium infant nutrition products. The market for infant formula is expected to see good opportunities as a result of the global increase in internet shopping, which makes it simple to buy products at convenient prices. Due to their tight schedules, working women liked online shopping greatly. Thus, it is anticipated that throughout the forecast period, growth in the online retail sector across developing areas would increase the market growth.

Challenges:

Baby formula provides all the nourishment a baby needs, but studies show that compared to breastfed infants, formula-fed infants may be more susceptible to respiratory infection, allergies, sudden infant death syndrome (SIDS), overweight, problems with cognitive development, and other health consequences. These are the major challenges for the market. Additionally, young children's unhealthy taste preferences may be influenced by the nutritional value of the marketed toddler foods and beverages. For instance, the majority of snacks for toddlers are high in sugar, and around 80 percent of dinners are high in sodium. Growing-up kinds of milk in other countries are referred to as "toddler kinds of milk" in the United States, and they likewise cause significant worry. These milk-based products are advertised for kids between the ages of 12 and 36 months, however, the main ingredients are powdered milk, vegetable oil, corn syrup solids, or other caloric sweeteners.
Infant Formula Market Segment Analysis:
By type, the Infant milk formula accounted for the greatest revenue share of xx% in 2022 and is anticipated to continue dominating during the forecast period. Since there are no widely acknowledged alternatives on the market, the demand for infant formula is one of the important segments that is constantly increasing. Due to the lack of handy, nutrient-dense items on the market, new, inventive products have developed. The increasing prosperity of customers toward their infants in the market's vast selection of baby formula. However, due to its high protein, calcium, and iron content as well as the expanding baby formula industry, the follow-on-milk segment is anticipated to have the highest CAGR of xx% in the global market for continued milk production to replicate the nutritional function of breast milk. Additionally, it is anticipated that subsequent milk demand will rise at a healthier rate in infants with insufficient iron consumption or inadequate weaning nutrition.

By Ingredients, Carbohydrate ingredient is expected to dominate the Infant Formula market at the end of the forecast period. Infant formula's main source of carbohydrates is lactose, which is also found in other ingredients like skim milk powder and demineralized whey powder as well as being sourced as a pure product. The majority of the additional lactose is going into Formula 1, which is used for 0–6 months, and some is also going into Formula 2, which is used for 6–12 months and in which maltodextrin and other forms of carbohydrates compete with lactose. With Formula 3 is used for 1 to 3 years, maltodextrin is more frequently added, and the lactose in these products is frequently derived from additional skim milk powder. Galacto-oligosaccharides are another important element that is expanding steadily. Alpha-lactalbumin, phospholipids, milk fat globule membrane, and osteopontin are a few minor dairy constituents that are starting to appear as infant formula producers work to make their products more resemble human milk.

By Distribution Channel, in 2022, the supermarket segment accounts for around half of total sales and is expected to dominate the market at the end of the forecast period. The sector has seen substantial growth through the supermarket and hypermarket channels. Separate areas for babies, product bundles, programs, discounts, offers, and pleasant shopping experiences for customers under one roof have increased footfall for baby formula, which is driving the total market's growth in terms of value sales. The specialty store, on the other hand, is anticipated to be the fastest increasing segment throughout the forecast period. This is because the store provides a large choice of baby alternatives as well as other infant care items on a single platform, as well as a simple way for customers to buy from specialty businesses.
Infant Formula Market Regional Insights:
Due to the existence of a big population aged 0 to 4, Asia-Pacific is expected to be the highest market in terms of revenue to the global market at the end of the forecast period. Higher female labor force involvement, increased disposable income, a busy lifestyle, and high standards of living in countries such as China, India, Indonesia, the Philippines, and South Korea drive the growth of the newborn infant formula market. China is expected to dominate the newborn infant formula market in terms of both revenue and volume at the end of the forecast period, accounting for more than two-thirds of the market share in the Asia-Pacific region.

Due to the existence of high disposable income among customers and a big number of working women in Brazil, Brazil is the largest provider in the LAMEA newborn infant formula market. According to the World Bank, women make up around 40%% of the entire labor force in Brazil. Saudi Arabia, on the other hand, is expected to be the second fastest growing country in the LAMEA area, owing to a high birth rate and high consumer discretionary income.

Western Europe is the second-largest baby milk formula market, accounting for over 20% of global sales volume in 2022. France, the United Kingdom, Spain, Germany, Turkey, and Italy continue to be the major Western European markets for baby formula, with France being the largest and Turkey displaying the fastest growth rate. The Western European infant formula market is increasing at a moderate pace, which may be ascribed in part to low birth rates and the implementation of many measures to assist women in breastfeeding.

The objective of the report is to present a comprehensive analysis of the Infant Formula market to the stakeholders in the industry. The past and current status of the industry with the forecasted market size and trends are presented in the report with the analysis of complicated data in simple language. The report covers all the aspects of the industry with a dedicated study of key players that include market leaders, followers, and new entrants.

PORTER, PESTEL analysis with the potential impact of micro-economic factors of the market have been presented in the report. External as well as internal factors that are supposed to affect the business positively or negatively have been analyzed, which will give a clear futuristic view of the industry to the decision-makers.

The report also helps in understanding the Infant Formula market dynamics, and structure by analyzing the market segments and projecting the Infant Formula market size. Clear representation of competitive analysis of key players by product, price, financial position, product portfolio, growth strategies, and regional presence in the Infant Formula market make the report investor’s guide.
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Infant Formula Market


Report Coverage
Details


Base Year:
2022
Forecast Period:
2023-2029


Historical Data:
2018 to 2022
Market Size in 2022:
US $ 134.94 Bn.


Forecast Period 2023 to 2029 CAGR:
10.5%
Market Size in 2029:
US $ 271.45 Bn.


 Segments Covered:
by Type
Infant Milk
Follow-on-Milk
Specialty Baby Milk
Growing-up Milk


by Ingredients
Carbohydrate
Fat
Protein
Minerals
Vitamins
Others


by Distribution Channel
Hypermarkets
Supermarkets
Pharmacy/Medical Stores
Specialty Stores
Hard Discounter Stores
Others



Infant Formula Market, by Region
North America (United States, Canada and Mexico)
Europe (UK, France, Germany, Italy, Spain, Sweden, Austria and Rest of Europe)
Asia Pacific (China, South Korea, Japan, India, Australia, Indonesia, Malaysia, Vietnam, Taiwan, Bangladesh, Pakistan and Rest of APAC)
Middle East and Africa (South Africa, GCC, Egypt, Nigeria and Rest of ME&A)
South America (Brazil, Argentina Rest of South America)
Infant Formula Market Key Players are:
1. Abbott
2. Arla Foods Amba
3. Campbell Soups
4. Dana Dairy Group Ltd.
5. Danone
6. D-Signstore
7. HiPP GmbH & Co.
8. Vertrieb KG
9. YILI.COM INC.
10.Reckitt Benckiser (Mead Johnson & Company LLC)
11.Nestle S.A
12.The Hain Celestial Group
13.Royal AUSNZ
14.FrieslandCampina N.V.
15.Kraft Heinz company
16.Meiji Holdings Co. Ltd.
17.Beingmate Baby & Child Food Co. Ltd.
18.Synutra International Inc.
19.Pfizer Inc.
20.Others

FAQs:

1. Which is the potential market for the Infant Formula in terms of the region?
Ans. Asia-Pacific Region is expected to dominate the global Infant Formula market at the end of the forecast period.

2. What are the opportunities for new market entrants?
Ans. The key opportunity in the market is the growing demand for premium infant nutrition products.

3. What is expected to drive the growth of the Infant Formula market in the forecast period?
Ans. A major driver in the Infant Formula market is a significant increase in demand for organic baby food among children under the age of five around the world.

4. What is the projected market size & growth rate of the Infant Formula Market?
Ans. Infant Formula Market size was valued at US$ 134.94 Bn. in 2022 and the total Infant Formula revenue is expected to grow at 10.5% from 2023 to 2029, reaching nearly US$ 271.45 Bn.

5. What segments are covered in the Infant Formula Market report?
Ans. The segments covered are Type, Ingredients, Distribution Channel, and Region.