Canada Dairy Market

Canada Dairy Market Overview: 

The Canada dairy market is projected to exhibit a growth rate (CAGR) of 4.70% during 2024-2032. The market is propelled by the increasing consumer demand for health and wellness products, functional and fortified dairy products, significant technological advancements in dairy products and packaging, and favorable government support and dairy supply management system.

Canada Dairy Market Trends:

Rising Demand for Health and Wellness Products

Dairy products are rich sources of essential nutrients such as calcium, vitamin D, protein, and potassium. These nutrients are crucial for maintaining bone health, muscle function, and overall well-being. Products such as Greek yogurt, kefir, and fortified milk are particularly popular among health-conscious consumers due to their higher protein content and probiotic benefits. According to the USDA FOREIGN AGRICULTURAL SERVICE, total Canada milk production reached 10.310 Million Metric Tons (MMT in 2024. The market for functional and fortified dairy products has grown substantially. These products are designed to provide additional health benefits beyond basic nutrition. Instances of such milk include milk fortified with omega-3 fatty acids, yogurt with added probiotics, and cheese with enhanced calcium content. The introduction of such products meets the evolving preferences of consumers who are increasingly looking for foods that support their health and wellness goals.

Significant Development in Dairy Products and Packaging

Canada-based dairy companies have demonstrated their capabilities in innovating from dairy to dairy to deliver unique and consumer-oriented products. This includes the launching of new flavors such as exotic fruit-infused yogurts, and novel formulations, such as lactose-free and low-sugar offerings. There is also a demand for dairy products that are organic and grass fed, which is another shift in more environmentally conscious and healthy-minded consumers coming through and this has been seen in the continued diversification of product lines. Sales of organic milk, for instance, have increased, reflecting demand from consumers ready to accept no less than natural, sustainably produced dairy. Plant-based diets have made dairy alternative products more popular. Producers have rapidly worked to make exceptional plant-based alternatives such as milk, cheese, and yogurt alike. These alternatives are typically fortified with certain vitamins and minerals in order to meet the nutritional profile of traditional dairy.

Favorable Government Support and Dairy Supply Management System

In Canada, the dairy supply management system controls production volumes using quotas, ensuring the amount of dairy is available in line with domestic demand. This helps to prevent overproduction that creates price volatility and is historically linked to severe economic problems for farmers. The system helps to keep dairy farmers in business and dairy products on a collective table, without fluctuations in prices. As per the FAS project on Government Secrecy, in Canada, supply management is a government mechanism that provides stability to dairy farmers through production control and minimum support prices for their commercial products. The dairy industry also gets financial support from a range of government programs, research dollars, and marketing support. These activities also help farmers adopt new technologies and make their farms more innovative and efficient. The Canadian government enforces strict quality and safety regulations for dairy products. These regulations ensure that consumers receive high-quality, safe products, which enhances consumer trust and demand. Regular inspections, testing, and certification processes help maintain high standards across the industry. The emphasis on quality and safety supports the reputation of Canadian dairy products both domestically and internationally. Moreover, the Government of Canada announced plans in 2022 to allocate $1.75 billion in subsidies over the next six years to compensate dairy farms losing market share to foreign producers under these new trade agreements as stated by McGill University in Canada.

Canda Dairy Market News:

• September 2023: MINISTER OF AGRICULTURE AND AGRI-FOOD, MR. LAURENCE MACAULAY announced the introduction of new DAIRY INNOVATION AND INVESTMENT FUND. This program is expected to invest approximately $333 Million over the next 10 years.
   

Canada Dairy Market Segmentation:

IMARC Group provides an analysis of the key trends in each segment of the market, along with forecasts at the country level for 2024-2032. Our report has categorized the market based on product type.

Product Type Insights:

• Liquid Milk
• Flavored Milk
• Cream
• Butter
• Cheese
• Yoghurt
• Ice Cream
• Anhydrous Milk Fat (AMF)
• Skimmed Milk Powder (SMP)
• Whole Milk Powder (WMP)
• Whey Protein
• Lactose Powder
• Curd
• Others
   

The report has provided a detailed breakup and analysis of the market based on the product type. This includes liquid milk, flavored milk, cream, butter, cheese, yoghurt, ice cream, anhydrous milk fat (AMF), skimmed milk powder (SMP), whole milk powder (WMP), whey protein, lactose powder, curd, and others.

Regional Insights: 

• Ontario
• Quebec
• Alberta
• British Columbia
• Others
   

The report has also provided a comprehensive analysis of all the major regional markets, which include Ontario, Quebec, Alberta, British Columbia, and Others.  

Competitive Landscape:

The market research report has also provided a comprehensive analysis of the competitive landscape in the market. Competitive analysis such as market structure, key player positioning, top winning strategies, competitive dashboard, and company evaluation quadrant has been covered in the report. Also, detailed profiles of all major companies have been provided.

Canada Dairy Market Report Coverage:

Key Questions Answered in This Report:

• How has the Canada dairy market performed so far and how will it perform in the coming years?
• What has been the impact of COVID-19 on the Canada dairy market?
• What is the breakup of the Canada dairy market on the basis of product type?
• What are the various stages in the value chai of the Canada dairy market? 
• What are the key driving factors and challenges in the Canada dairy?
• What is the structure of the Canada dairy market and who are the key players?
• What is the degree of competition in the Canada dairy market?

Key Benefits for Stakeholders:

• IMARC’s industry report offers a comprehensive quantitative analysis of various market segments, historical and current market trends, market forecasts, and dynamics of the Canada dairy market from 2018-2032.
• The research report provides the latest information on the market drivers, challenges, and opportunities in the Canada dairy market.
• Porter's five forces analysis assist stakeholders in assessing the impact of new entrants, competitive rivalry, supplier power, buyer power, and the threat of substitution. It helps stakeholders to analyze the level of competition within the Canada dairy industry and its attractiveness.
• Competitive landscape allows stakeholders to understand their competitive environment and provides an insight into the current positions of key players in the market.