Dairy Products Culture Market Report 2026

The dairy products culture market size has grown strongly in recent years. It will grow from $2.78 billion in 2025 to $2.97 billion in 2026 at a compound annual growth rate (CAGR) of 6.8%. The growth in the historic period can be attributed to expansion of industrial dairy processing, rising consumption of fermented dairy products, standardization of cheese and yogurt production, availability of microbial strain libraries, adoption of starter culture technologies.

The dairy products culture market size is expected to see strong growth in the next few years. It will grow to $3.81 billion in 2030 at a compound annual growth rate (CAGR) of 6.4%. The growth in the forecast period can be attributed to growing demand for functional fermented foods, increasing investments in microbiome research, expansion of artisanal and premium dairy products, rising focus on shelf-life optimization, innovation in next-generation dairy cultures. Major trends in the forecast period include growing demand for probiotic and specialty cultures, rising customization of dairy fermentation profiles, expansion of clean-label culture solutions, increased use of freeze-dried and concentrated cultures, enhanced focus on product consistency and yield.

The growing demand for nutritious foods is anticipated to drive the expansion of the dairy products culture market in the coming years. Nutritious foods are those that supply essential nutrients required for maintaining health, supporting growth, and ensuring overall well-being. Demand for such foods is rising as consumers become increasingly aware of the impact of diet on long-term health, prompting a shift toward food products that deliver vital nutrients and promote wellness. Dairy products culture contributes to improved nutritional value by introducing beneficial microorganisms that support digestion, enhance nutrient absorption, and enrich foods with probiotics, proteins, calcium, and essential vitamins. For instance, in June 2024, according to the International Food Information Council, a US-based nonprofit organization, the proportion of consumers aiming to increase their protein intake rose steadily from 59% in 2022 to 67% in 2023 and further to 71% in 2024. Therefore, the rising demand for nutritious foods is driving the growth of the dairy products culture market.

Major companies operating in the dairy products culture market are emphasizing innovation by developing products such as functional foods to meet increasing consumer demand for health-enhancing, nutrient-dense, and immunity-supporting dairy options. Functional foods are food products that offer added health benefits beyond basic nutrition, often containing components that support improved health or lower disease risk. For instance, in April 2025, Parag Milk Foods Ltd., an India-based dairy company, introduced a new range of high-protein dairy products, including Greek yogurts, paneer, and protein bars, in response to the growing demand for protein-rich and healthy foods. These offerings provide convenient, nutrient-dense options tailored to health-conscious consumers and fitness-focused individuals, delivering enhanced protein content to support daily nutrition, muscle strength, and balanced diets. The launch highlights the company’s focus on innovation and premium quality to lead the expanding market for protein-rich dairy nutrition in India and internationally.

In January 2025, Hatsun Agro Product Limited, an India-based dairy products company, acquired Milk Mantra Dairy Private Limited for $26 million (233 crore rupees). Through this acquisition, Hatsun Agro Product Limited aims to strengthen and expand its presence in Eastern India’s dairy market, particularly in Odisha, by leveraging Milk Mantra’s established brand, processing capabilities, and regional expertise to enter new geographic markets and enhance its distribution reach. Milk Mantra Dairy Private Limited is an India-based dairy company that offers dairy products culture solutions.

Major companies operating in the dairy products culture market are Fonterra Co‑operative Group Limited, DSM‑Firmenich AG, Kerry Group Plc, Meiji Holdings Co. Ltd., Angel Yeast Co. Ltd., Lallemand Inc., Chr. Hansen A/S, Novasol Ingredients Pvt. Ltd., Arla Foods Ingredients Group P/S, Lesaffre et Compagnie SA, Procudan A/S, Bioprox SAS, Sacco System S.r.l., Mediterranea Biotechnologie S.r.l., ProbioFerm Inc., Biochem S.R.L., Dairy Connection Inc., Proquiga Biotech S.A., Biolacter, CSK Food Enrichment B.V., Lactina, Lb Bulgaricum, New England Cheesemaking Supply Company.

North America was the largest region in the dairy products culture market in 2025. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the dairy products culture market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East and Africa. The countries covered in the dairy products culture market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Italy, Spain, Canada.

The dairy products culture market consists of sales of butter, kefir, and paneer. Values in this market are ‘factory gate’ values, that is, the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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