U.S. Dairy Products Market - Databook 2025 to 2034

The U.S. dairy products market size was calculated at USD 48.64 billion in 2024 and is predicted to attain around USD 67.16 billion by 2034, expanding at a CAGR of 3.27% from 2025 to 2034.

Highlights of the U.S. Dairy Products Market

• By product type, the milk segment underwent notable growth in the U.S. dairy products market in 2024.
• By product type, the yogurt segment will gain a significant share of the market over the studied period of 2025 to 2034.
• By distribution channel, the supermarket/hypermarket segment enjoyed a prominent position in the U.S. dairy products market in 2024.
• By distribution channel, the other segment is projected to expand rapidly in the market in the coming years.

Industry Valuation and Growth Rate Projection

Dairy products are a kind of food that is obtained primarily from or contains milk of mammals like sheep, goats, cattle, etc. Dairy products include a variety of foods like yogurt, butter, cheese, and many more. The dairy products include lactose-free milk, cheese, yogurt, milk, and fortified soy milk, and yogurt. Eating or drinking dairy products offers health benefits like building and maintaining strong bones.

The U.S. dairy products market includes a wide range of applications across many industries, including non-food applications, pharmaceuticals, beverages, and the food industry. Dairy products' benefits include weight management, vitamin B12, dairy’s health benefits, dairy products improve digestion, dairy products for weight loss, heart health, oral hygiene, milk packed with nutrients, blood pressure, and bone health.

Market Trends

Growing consumer preferences for value-added and packaged dairy products: Value-added and packaged dairy products can be achieved by manufacturing a wide range of processed products. Value added is the additional features or economic value that a company adds to its products and services before offering them to customers.

Increased disposable incomes: More disposable income means a higher level of living. It makes it possible for people to enjoy high-quality goods and services, hobbies, leisure pursuits, and participation in social and cultural events. When disposable income increases, people generally have more money to spend, which may lead to demand for the dairy products market.

Restraint

High initial investment: Starting a dairy farming business is challenging because of the high initial investment in infrastructure, feed, cattle, and land. Livestock management needs expertise in breeding, nutrition, and healthcare. Market fluctuations in feed costs and milk prices affect profitability.

Opportunity

Integration of AI: The benefits of AI in dairy products include improved decision making with data-driven insights, identifying opportunities for process improvements, automating routine tasks like feeding & milking, predicting & preventing disease outbreaks, and optimizing herd health and nutrition. artificial intelligence (AI) technologies contribute to sustainable dairy farming by improving resource management. AI-based systems can monitor environmental conditions like ventilation, humidity, and temperature.

Recent Developments in the U.S. Dairy Products Market:

• In March 2025, the Vivitein BLG in the U.S. market was launched by Vivici, a Dutch ingredients startup. In March 2025, the food and drinks to foreseen as the EU launched a retaliatory tariff in the US. Meat and dairy products originating in the US will be hit, as will whisky and wine.