Market Size
The Global Infant Formula Market reached USD 55.2 billion in 2022 and is projected to witness lucrative growth by reaching up to USD 110.7 billion by 2030. The market is expected to exhibit a CAGR of 9.1% during the forecast period 2024-2031. The infant formula market is a rapidly growing industry driven by increasing demand for safe and convenient nutrition for infants.
It provides a viable alternative to breastfeeding, catering to the needs of working mothers and those facing breastfeeding challenges. The market offers a wide range of infant formula products, including options for specific dietary needs and preferences. Nutritional composition, including key ingredients like DHA and ARA, plays a crucial role in product differentiation.
The infant formula market has experienced robust growth in recent years, driven by increasing birth rates and changing lifestyles. Rising disposable incomes, urbanization, and the growing number of working mothers have contributed to the market expansion. The market offers a wide range of infant formula products, including specialized formulations for different age groups and specific nutritional needs. Technological advancements in production and packaging have improved product quality and shelf life.
Market Summary
| Metrics | Details |
| CAGR | 9.1% |
| Size Available for Years | 2022-2031 |
| Forecast Period | 2024-2031 |
| Data Availability | Value (US$) |
| Segments Covered | Type, Distribution Channel, and Region |
| Regions Covered | North America, Europe, Asia-Pacific, South America, and Middle East & Africa |
| Fastest Growing Region | Asia-Pacific |
| Largest Region | North America |
| Report Insights Covered | Competitive Landscape Analysis, Company Profile Analysis, Market Size, Share, Growth, Demand, Recent Developments, Mergers and Acquisitions, New Product Launches, Growth Strategies, Revenue Analysis, Porter’s Analysis, Pricing Analysis, Regulatory Analysis, Supply-Chain Analysis and Other key Insights. |
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Market Dynamics
Rising Demand for Baby Formula Drives Growth of the Infant Formula Market
The infant formula market trend is driven by a key driver, which is the increasing demand for baby formula products. Statistical data indicates a significant growth in the consumption of baby formula globally, driven by factors such as changing lifestyles, working mothers, and the need for convenient and nutritionally balanced feeding options. The infant formula market analysis shows that baby formula accounts for a substantial percentage of infant nutrition, with an approximate market share of 80%.
The growing population, rising disposable income, and urbanization contribute to the steady demand for baby formula, particularly in developing regions. This trend is expected to continue as more parents recognize the nutritional benefits and convenience of baby formula in providing essential nutrients for their infants.
Breastfeeding Promotion Poses Restraint on Infant Formula Market, Impacting Market Share
According to the infant formula market analysis, a key restraint in the market is the increasing awareness and promotion of breastfeeding. The market analysis shows that breastfeeding is widely recognized as the best and most natural source of nutrition for infants. As a result, many mothers are opting for breastfeeding over formula feeding, which poses a challenge to the infant formula market. The infant formula market analysis shows that the availability of breast milk substitutes, including infant formula, directly impacts the infant formula market share.
The promotion of breastfeeding by healthcare organizations and the implementation of supportive policies further contribute to this restraint. Additionally, concerns about the safety and quality of certain infant formula products have led to a decline in consumer trust. Overcoming these restraints requires ongoing efforts to educate and support mothers about the benefits of formula feeding and to ensure the safety and quality of infant formula products.
Market Segmentation Analysis
The global Infant Formula market is segmented based on type, distribution channel, and region.
Infant Milk Segment Driving the Growth of the Infant Formula Market
The global infant formula market is segmented based on type into infant milk, follow-on-milk, and others.
Infant milk, also known as infant formula, is a specially formulated product designed to provide optimal nutrition for infants who are not breastfed or require supplementation. It is a key component of formula feeding, ensuring that infants receive essential nutrients for their healthy growth and development. Infant milk is carefully formulated to mimic the composition of breast milk, incorporating important ingredients such as proteins, carbohydrates, fats, DHA (Docosahexaenoic acid), ARA (Arachidonic acid), probiotics, and prebiotics.
Infant nutrition is of utmost importance, and infant milk plays a crucial role in meeting the nutritional needs of formula-fed infants. According to the infant formula market analysis, a substantial percentage, ranging from around 60% to 70%, of formula-fed infants rely on Infant Milk as their primary source of nutrition. The inclusion of key ingredients in infant milk supports the overall health and well-being of infants, providing them with the necessary nutrients for optimal growth and development. The careful selection and combination of these infant formula ingredients ensure that infants receive a balanced and nutritionally complete diet.
Market Geographical Share
North America Leads the Way in Nutritional Infant Formula with Emphasis on Key Ingredients: DHA, ARA, Probiotics, and Prebiotics
By region, the global infant formula market is segmented into North America, Europe, South America, Asia-Pacific, Middle-east, and Africa.
North America is the largest market for infant formula, and it places significant emphasis on the nutritional composition of these products. DHA (Docosahexaenoic acid) and ARA (Arachidonic acid) are essential fatty acids that play a crucial role in the healthy development of infants, particularly for brain and eye development. In North America, according to infant formula market analysis, there is a strong focus on including these nutrients in infant formula to provide similar benefits to those found in breast milk.
Additionally, probiotics and prebiotics are gaining popularity in the region as they support a healthy gut microbiome and contribute to digestive and immune health. The inclusion of these key ingredients in infant formula aligns with the region's commitment to providing optimal nutrition and ensuring the well-being of infants. Further contributing to the growth of the infant formula market share in north america.
Market Companies
The major global players include Nestlé S.A., Danone S.A., Abbott Laboratories, Mead Johnson Nutrition Company, Reckitt Benckiser Group plc, FrieslandCampina, The Kraft Heinz Company, Beingmate Baby & Child Food Co., Ltd, Royal FrieslandCampina N.V., and Perrigo Company plc.
COVID-19 Impact on Market
The COVID-19 pandemic has had a mixed impact on the infant formula market. On one hand, there has been an increased demand for infant formula products as consumers stockpiled essential goods and sought alternatives to breastfeeding. This surge in demand led to short-term supply chain disruptions and product shortages. On the other hand, the pandemic also resulted in economic uncertainties and reduced purchasing power, affecting the affordability and accessibility of infant formula for some consumers.
Additionally, restrictions on international trade and logistical challenges posed hurdles for manufacturers in sourcing raw materials and distributing products. The long-term impact of the pandemic on the infant formula market remains to be seen as the situation continues to evolve.
Ukraine-Russia War
During the Ukraine-Russia war, destruction of infrastructure, closed shops, and mass evacuation, the infant formula market was paralyzed in the first days of the war. The impossibility of delivering goods by sea greatly complicated the work. Logistics across the country worked with interruptions.
Key Developments
- On November 02, 2022, health and wellness solutions supplier Perrigo purchased Nestle’s Gateway infant formula manufacturing plant in Eau Claire, WI as part of a $170 million investment to strengthen and expand its formula production capabilities in the US. The firm also purchased the rights to the Good Start formula brand in the US and Canada.
- On May 3, 2023, ByHeart, based in New York, a next-generation baby nutrition company, announced new data from its clinical trial demonstrating that its infant formula improves sleep benefits in infants. The data collected in the clinical trial established that four-month-old infants who consumed ByHeart's infant formula, at this important time during sleep development, woke up less to feed overnight and slept longer between feeds, compared to infants who consumed another infant formula.
- On July 05, 2022, Danone, a multinational food and beverage company based in Paris, France, introduced its first Dairy and Plants Blend infant formula, developed to meet the needs of parents wanting more vegetarian, flexitarian, and plant-based options for their baby. According to the company, this is the first blended formula for babies that combines nutrients found in plants and breast milk. More than half the required protein in the formula is derived from high-quality soy combined with key dairy ingredients, such as lactose, casein, and whey protein.
Why Purchase the Report?
- To visualize the global infant formula market segmentation based on type, distribution channel, and region, as well as understand key commercial assets and players.
- Identify commercial opportunities by analyzing trends and co-development.
- Excel data sheet with numerous data points of infant formula market-level with all segments.
- The PDF report consists of a comprehensive analysis after exhaustive qualitative interviews and an in-depth study.
- Product mapping available as Excel consisting of key products of all the major players.
The global infant formula market report would provide approximately 53 tables, 48 figures, and 195 Pages.
Target Audience 2024
- Manufacturers/ Buyers
- Industry Investors/Investment Bankers
- Research Professionals
- Emerging Companies
