Milk fat fractions are increasingly gaining popularity with growing awareness regarding their health benefits among consumers and advantages such as easy transportation and storage of products. With excellent chemical properties in availability in solid as well as liquid forms, these products have found their way into a wide range of applications including bakery, confectionery, nutraceuticals, and cold spread butter.

Milk fat fractions are rich in vitamins and play an essential role in the human diet. They are known to aid in weight loss and cure a range of health problems including diabetes, colon cancer and numerous digestive disorders.

Universally gaining recognition as one of the fastest emerging verticals within the food and nutrition space, global milk fat fractions market size is projected to be worth more than US$14 billion by 2024, with increasing demand for premium bakery and confectionery products worldwide.

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Demand for premium confectionery products

The past couple of decades or so have witnessed growing consumer attraction towards bakery and confectionery products including bread, cakes, pastries, cookies, and chocolate confectionery. An increasing number of people have developed a taste for confections such as cakes, pastries, and croissants with a crusty and flaky texture. With shifting preference of consumers towards flavored confectionery, the use of chocolate in customized products has increased significantly.

Numbers suggest that Europe accounts for more than 50% or the world’s total chocolate retail sales, while the U.S. constitutes nearly 18% of the global chocolate confectionery consumption. Milk fractionation technologies are used in bakery and confectionery products to provide a flaky and crusty texture. These products can be easily blended with several formulations during processing of fresh foods and are used for manufacturing varieties of chocolates.

The product has also gained acceptance as a flavor enhancer in nutraceuticals, infant formulas and other products. An increasing number of individuals with vitamin and calcium deficiency is likely to fuel the consumption of milk and dairy products which serve as a rich source of unsaturated lipids and are lactose-free.

In anticipation of a massive upsurge in confectionery demand, manufacturers are focusing on expansion of production capacities. Many of these companies are also looking to adopt sustainable approach towards processing and manufacturing.

For example, in May 2018, Finland’s Valio had set up a new production facility in Riihimäki with the aim to reduce energy consumption by up to 30% compared to its other plants. The plant is capable of processing and manufacturing a wide range of fresh fermented products using milk fractionation and other technologies.

Some major growth restraints and future scope

Due to lack of awareness regarding the health benefits of milk fat fractions in developing countries, their commercialization may be slightly affected. The costs associated with processing and manufacturing of these products are generally high. Consequently, the availability of low-cost substitutes in the market may restrict the product consumption.

However, the consumption of milk and dairy products is expected to rise in the upcoming years since they serve as a nutrition-rich option that supports healthy growth among humans. The demand for healthy and nutritious functional foods and increasing consumption of bakery and confectionery products will positively influence milk fat fractions market outlook.

Friesland Campina, Uelzena Ingredients, Wilmar International, Glanbia Ingredients, Fonterra Cooperative Group, MCT Dairies, Royal VIV Buisman, Flechard. S.A, Oleo Fats, and FIT Company are a few notable companies supplying the key ingredient.

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