Rising Levels of Lactose Intolerance Predicted to Propel the Global Lactose Free Food Market Until 2020
May 04, 2016
LONDON–(BUSINESS WIRE)–According to the latest research study released by Technavio, the global lactose-free food market is expected to reach over USD 10 billion in revenue by 2020.
This research provides an in-depth analysis of market growth. This market research report also includes up to date analysis and forecasts for various market segments, including lactose-free dairy, lactose-free ice cream, and lactose-free milk formula.
“Lactose intolerance is the inability of the body to digest significant amounts of lactose present in milk. The demand for lactose-free food products is driven by the increase in incidences of food allergies and intolerances. It has been observed that lactose intolerance is seen in approximately 90% of adults in East Asia,” said Vijay Sarathi, one of Technavio’s lead analysts for food and beverage research.
“Lactose-free food products are highly digestible, which enhances its bio-availability. This is likely to contribute significantly to the market growth of lactose-free food products. In the US and Europe, the sales of lactose-free products have doubled due to the increase in self-diagnosed cases of lactose intolerance in 2014. The sales of lactose-free products in the US are expected to double during the 2016-2020 period and reach revenues worth USD 700 million,” added Vijay.
North America and Europe are the largest markets for lactose-free food. They accounted for more than 50% of the total sales in 2014. Increased awareness and availability of food intolerance products are driving this market. Arla Foods’ Lactofree, Valio’s Zero Lactase, and McNeil Nutritionals’s LACTAID are some products by large players in the market.
Segmentation of global lactose-free food market by type 2015
· Lactose-free dairy 74.92%
· Lactose-free milk formula 8.15%
· Lactose-free ice cream 16.93%
The global lactose-free food market by lactose-free dairy was valued at USD 4.69 billion in 2015. This segment will grow at a steady pace during the forecast period being driven by growing lactose intolerance among consumers
lactose-free milk formula
The global lactose-free food market by lactose-free milk formula was valued at USD 1.06 billion in 2015. As some infants are allergic to lactose, manufacturers have formulated lactose-free milk to leverage the demand by replacing lactose sugar by other sugars such as sucrose and corn syrup. However, these lactose-free formulas are more expensive than regular milk formulas, posing a concern for this segment.
lactose-free ice cream
The global lactose-free food market for lactose-free ice cream was valued at USD 510 million in 2015. Manufacturers are formulating lactose-free ice cream products to tap this segment. Technavio analysts predict many new innovations to take place in this segment over the forecast period.