Anhydrous Milk Fat Market Report

Report Overview:

The global anhydrous milk fat market was worth US$ 3.2 Billion in 2019, registering a CAGR of 13.4% during 2014-2019. Anhydrous milk fat (AMF) is extracted by separating oil fat from cream or milk through the process of centrifugation. The water is removed and the fat concentrate thus obtained contains at least 99.8% pure milk fat. Whitish yellow in colour, it has a very buttery and creamy texture and is free from any additives, preservatives and fatty-acids. It is very nutritious and contains high quantity of calcium, and vitamins A, D, E and K₂ which are essential to maintain a healthy body. Anhydrous milk fat is used in culinary preparations as an alternative to butter or other fats, at both the industrial and domestic levels. Looking forward, IMARC Group expects the global anhydrous milk fat market to exhibit strong growth during 2020-2025.

Global Anhydrous Milk Fat Market Drivers/Constraints:

• Anhydrous milk fat can be stored for several months at ambient temperature and easily transported from one part of the world to another owing to its longer shelf-life and low moisture content.
• Earlier, the consumption of anhydrous milk fat was largely confined to countries such as Australia and New Zealand. However, with the increasing trend of fusion food products, the consumption of anhydrous milk fat in the European Union and United States is projected to grow.
• Anhydrous milk fat has diversified applications in the fast food industry which is expected to grow at a significant rate during the next few years. This will create a substantial demand for anhydrous milk fat worldwide.
• The negative health aspects of anhydrous milk fat due to its high concentration of saturated fatty acids and cholesterol, coupled with its high price as compared to vegetable fats, can hinder the growth of the market.

Breakup by End-Use:

Based on end-use, the report finds that dairy represents the leading end-use segment of the global anhydrous milk fat market, followed by bakery and confectionary. In the dairy industry, anhydrous milk fat is widely used in the manufacturing of reconstituted milk and other dairy products including whole milk, cheese, spreads, ice cream, etc.

Regional Insights:

On a geographical front, Oceania is the largest market for anhydrous milk fat, accounting for the majority of the total market. Other major regions include Europe, North America, Asia, Latin America, and Middle East and Africa.

Competitive Landscape:

The global anhydrous milk fat industry is fragmented due to the presence of a large number of global and regional players. However, over the past few years, the industry has seen several large companies expanding through merger and acquisition activities. Some of the leading players operating in the market are:

• Fonterra
• Dairy Farmers of America
• Hilmar Cheese Company
• Murray Goulburn
• Westland Milk Products
• Synlait Milk Limited

This report provides a deep insight into the global anhydrous milk fat industry covering all its essential aspects. This ranges from macro overview of the market to micro details of the industry performance, recent trends, key market drivers and challenges, SWOT analysis, Porter’s five forces analysis, value chain analysis, etc. The report also provides a comprehensive analysis for setting up an anhydrous milk fat manufacturing plant. The study analyses the processing and manufacturing requirements, project cost, project funding, project economics, expected returns on investment, profit margins, etc. This report is a must-read for entrepreneurs, investors, researchers, consultants, business strategists, and all those who have any kind of stake or are planning to foray into the anhydrous milk fat industry in any manner.

Key Questions Answered in This Report:

1   Preface
2   Scope and Methodology
    2.1    Objectives of the Study
    2.2    Stakeholders
    2.3    Data Sources
        2.3.1    Primary Sources
        2.3.2    Secondary Sources
    2.4    Market Estimation
        2.4.1    Bottom-Up Approach
        2.4.2    Top-Down Approach
    2.5    Forecasting Methodology
3   Executive Summary
4   Introduction
    4.1    Overview
    4.2    Key Industry Trends
5   Global Anhydrous Milk Fat (Butter Oil) Industry
    5.1    Market Overview
    5.2    Market Performance
        5.2.1     Volume Trends
        5.2.2     Value Trends
    5.3    Impact of COVID-19
    5.4    Price Analysis
        5.4.1    Key Price Indicators
        5.4.2    Price Structure
        5.4.3    Price Trends
    5.5    Market Breakup by Region
    5.6    Market Breakup by End Use
    5.7    Market Forecast
    5.8    SWOT Analysis
        5.8.1    Overview
        5.8.2    Strengths
        5.8.3    Weaknesses
        5.8.4    Opportunities
        5.8.5    Threats
    5.9    Value Chain Analysis
        5.9.1    Raw Material Procurement
        5.9.2    Manufacturing
        5.9.3    Marketing
        5.9.4    Distribution
        5.9.5    Export
        5.9.6    End-Use
    5.10    Porter’s Five Forces Analysis
        5.10.1    Overview
        5.10.2    Bargaining Power of Buyers
        5.10.3    Bargaining Power of Suppliers
        5.10.4    Degree of Competition
        5.10.5    Threat of New Entrants
        5.10.6    Threat of Substitutes
    5.11    Key Success Factors and Risk Factors
6   Performance of Key Regions
    6.1    Oceania
        6.1.1 Market Trends
        6.1.2 Market Forecast
    6.2    Europe 
        6.2.1 Market Trends
        6.2.2 Market Forecast
    6.3    North America
        6.3.1 Market Trends
        6.3.2 Market Forecast
    6.4    Asia
        6.4.1 Market Trends
        6.4.2 Market Forecast
    6.5    Latin America
        6.5.1 Market Trends
        6.5.2 Market Forecast
    6.6    Middle East and Africa
        6.6.1 Market Trends
        6.6.2 Market Forecast
7   Market Breakup by End Use
    7.1   Dairy 
        7.1.1 Market Trends
        7.1.2 Market Forecast
    7.2   Bakery 
        7.2.1 Market Trends
        7.2.2 Market Forecast
    7.3   Confectionary
        7.3.1 Market Trends
        7.3.2 Market Forecast
    7.4   Others
        7.4.1 Market Trends
        7.4.2 Market Forecast
8   Competitive Landscape
    8.1    Market Structure
    8.2    Key Players
9   Anhydrous Milk Fat Manufacturing Process
    9.1    Product Overview
    9.2    Detailed Process Flow
    9.3    Various Types of Unit Operations Involved
    9.4    Mass Balance and Raw Material Requirements
10  Project Details, Requirements and Costs Involved
    10.1    Land Requirements and Expenditures
    10.2    Construction Requirements and Expenditures
    10.3    Plant Machinery
    10.4    Machinery Pictures
    10.5    Raw Material Requirements and Expenditures
    10.6    Raw Material and Final Product Pictures
    10.7    Packaging Requirements and Expenditures
    10.8    Transportation Requirements and Expenditures
    10.9    Utility Requirements and Expenditures
    10.10    Manpower Requirements and Expenditures
    10.11    Other Capital Investments
11  Loans and Financial Assistance
12  Project Economics
    12.1    Capital Cost of the Project
    12.2    Techno-Economic Parameters
    12.3    Product Pricing and Margins Across Various Levels of the Supply Chain
    12.4    Taxation and Depreciation
    12.5    Income Projections
    12.6    Expenditure Projections
    12.7    Financial Analysis
    12.8    Profit Analysis
13  Key Player Profiles

List of Figures

Figure 1: Global: Anhydrous Milk Fat Market: Major Drivers and Challenges
Figure 2: Global: Anhydrous Milk Fat Market: Volume Trends (in ‘000 Tons), 2014-2019
Figure 3: Global: Anhydrous Milk Fat Market: Value Trends (in Billion US$), 2014-2019
Figure 4: Global: Anhydrous Milk Fat Market: Average Prices (in US$/ Ton), 2014-2019
Figure 5: Anhydrous Milk Fat Market: Price Structure (in US$/ Ton)
Figure 6: Global: Anhydrous Milk Fat Market: Breakup by Region (in %), 2019
Figure 7: Global: Anhydrous Milk Fat Market: Breakup by End Use (in %), 2019
Figure 8: Global: Anhydrous Milk Fat Market Forecast: Volume Trends (in ‘000 Tons), 2020-2025
Figure 9: Global: Anhydrous Milk Fat Market Forecast: Value Trends (in Billion US$), 2020-2025
Figure 10: Global: Anhydrous Milk Fat Market Forecast: Average Prices (in US$/ Ton), 2020-2025
Figure 11: Global: Anhydrous Milk Fat Industry: SWOT Analysis
Figure 12: Global: Anhydrous Milk Fat Industry: Value Chain Analysis
Figure 13: Global: Anhydrous Milk Fat Industry: Porter’s Five Forces Analysis
Figure 14: Oceania: Anhydrous Milk Fat Market: Volume Trends (in ‘000 Tons), 2014 & 2019
Figure 15: Oceania: Anhydrous Milk Fat Market Forecast: Volume Trends (in ‘000 Tons), 2020-2025
Figure 16: Europe: Anhydrous Milk Fat Market: Volume Trends (in ‘000 Tons), 2014 & 2019
Figure 17: Europe: Anhydrous Milk Fat Market Forecast: Volume Trends (in ‘000 Tons), 2020-2025
Figure 18: North America: Anhydrous Milk Fat Market: Volume Trends (in ‘000 Tons), 2014 & 2019
Figure 19: North America: Anhydrous Milk Fat Market Forecast: Volume Trends (in ‘000 Tons), 2020-2025
Figure 20: Asia: Anhydrous Milk Fat Market: Volume Trends (in ‘000 Tons), 2014 & 2019
Figure 21: Asia: Anhydrous Milk Fat Market Forecast: Volume Trends (in ‘000 Tons), 2020-2025
Figure 22: Latin America: Anhydrous Milk Fat Market: Volume Trends (in ‘000 Tons), 2014 & 2019
Figure 23: Latin America: Anhydrous Milk Fat Market Forecast: Volume Trends (in ‘000 Tons), 2020-2025
Figure 24: Middle East and Africa: Anhydrous Milk Fat Market: Volume Trends (in ‘000 Tons), 2014 & 2019
Figure 25: Middle East and Africa: Anhydrous Milk Fat Market Forecast: Volume Trends (in ‘000 Tons), 2020-2025
Figure 26: Global: Anhydrous Milk Fat Market (in Dairy): Volume Trends (in ‘000 Tons), 2014 & 2019
Figure 27: Global: Anhydrous Milk Fat Market Forecast (in Dairy): Volume Trends (in ‘000 Tons), 2020-2025
Figure 28: Global: Anhydrous Milk Fat Market (in Bakery): Volume Trends (in ‘000 Tons), 2014 & 2019
Figure 29: Global: Anhydrous Milk Fat Market Forecast (in Bakery): Volume Trends (in ‘000 Tons), 2020-2025
Figure 30: Global: Anhydrous Milk Fat Market (in Confectionary): Volume Trends (in ‘000 Tons), 2014 & 2019
Figure 31: Global: Anhydrous Milk Fat Market Forecast (in Confectionary): Volume Trends (in ‘000 Tons), 2020-2025
Figure 32: Global: Anhydrous Milk Fat Market (Other Uses): Volume Trends (in ‘000 Tons), 2014 & 2019
Figure 33: Global: Anhydrous Milk Fat Market Forecast (Other Uses): Volume Trends (in ‘000 Tons), 2020-2025
Figure 34: Anhydrous Milk Fat Manufacturing: Detailed Process Flow
Figure 35: Anhydrous Milk Fat Manufacturing: Conversion Rate of Feedstocks
Figure 36: Anhydrous Milk Fat Manufacturing Plant: Breakup of Capital Costs (in %)
Figure 37: Anhydrous Milk Fat Industry: Profit Margins at Various Levels of the Supply Chain
Figure 38: Anhydrous Milk Fat Production: Manufacturing Cost Breakup (in %)

List of Tables

Table 1: Global: Anhydrous Milk Fat Market: Key Industry Highlights, 2019 and 2025
Table 2: Global: Anhydrous Milk Fat Market Forecast: Breakup by Region, 2020-2025
Table 3: Global: Anhydrous Milk Fat Market Forecast: Breakup by End Use, 2020-2025
Table 4: Global: Anhydrous Milk Fat Market: Competitive Structure
Table 5: Global: Overview of Top Anhydrous Milk Fat Manufacturers
Table 6: Typical Composition of Anhydrous Milk Fat
Table 7: Anhydrous Milk Fat Manufacturing Plant: Costs Related to Land and Site Development (in US$)
Table 8: Anhydrous Milk Fat Manufacturing Plant: Costs Related to Civil Works (in US$)
Table 9: Anhydrous Milk Fat Manufacturing Plant: Costs Related to Milk Reception Section (in US$)
Table 10: Anhydrous Milk Fat Manufacturing Plant: Costs Related to Milk Processing Section (in US$)
Table 11: Anhydrous Milk Fat Manufacturing Plant: Costs Related to Separation Section (in US$)    
Table 12: Anhydrous Milk Fat Manufacturing Plant: Costs Related to Butter Section (in US$)
Table 13: Anhydrous Milk Fat Manufacturing Plant: Costs Related to AMF Section (in US$)
Table 14: Anhydrous Milk Fat Manufacturing Plant: Costs Related to Drying Section (in US$)    
Table 15: Anhydrous Milk Fat Manufacturing Plant: Summary of Machinery Costs (in US$)    
Table 16: Anhydrous Milk Fat Manufacturing Plant: Raw Material Requirements (in Tons/Day) and Expenditures (in US$/Ton)
Table 17: Anhydrous Milk Fat Manufacturing Plant: Costs Related to Salaries and Wages (in US$)
Table 18: Anhydrous Milk Fat Manufacturing Plant: Costs Related to Other Capital Investments (in US$)
Table 19: Details of Financial Assistance Offered by Financial Institutions
Table 20: Anhydrous Milk Fat Manufacturing Plant: Capital Costs (in US$)
Table 21: Anhydrous Milk Fat Manufacturing Plant: Techno-Economic Parameters
Table 22: Anhydrous Milk Fat Manufacturing Plant: Taxation and Depreciation (in US$)
Table 23: Anhydrous Milk Fat Manufacturing Plant: Income Projections (in US$)
Table 24: Anhydrous Milk Fat Manufacturing Plant: Expenditure Projections (in US$)
Table 25: Anhydrous Milk Fat Manufacturing Plant: Cash Flow Analysis Without Considering the Income Tax Liability (in US$)
Table 26: Anhydrous Milk Fat Manufacturing Plant: Cash Flow Analysis on Considering the Income Tax Liability (in US$)
Table 27: Anhydrous Milk Fat Manufacturing Plant: Profit and Loss Account (in US$)