Thursday, May 12th, 2016 - Future Market Insights

Permeate is a dairy ingredient rich in lactose content which is produced after the removal of protein and other ingredients from milk or whey. Whey and milk permeates are used in various food application to enhance the salty flavor. Permeate is considered as the cost effective alternative to the other expensive ingredients used to add salty flavor to the food products. Owing to the rising demand of consumers for low sodium products, which results to the increasing use of permeate in various applications including bakery, prepared meals, soup and others. Moreover, high lactose in permeate results in brown appearance and caramelized aroma in baked products. Whey permeate is formed as a co-product of whey protein concentrate and whey protein isolate. However, milk permeate is a formed as the co-product of milk protein isolate and milk protein concentrate. Permeate is used as an alternative to ingredients such as whole milk powder and skim milk. Overall dairy industry is much consolidated market with various small players operating in it. Permeate market is expected to contribute significant growth in the next four to five years due to the evolving needs related to the milk coupled with the rising population in the forthcoming years.

Permeate Market Segmentation

Global permeate market is segmented on the basis of product type, application and region. Based on the product type global permeate segmentation includes whey and milk. Of which, whey permeate is expected to be the dominating segment over forecast period ,followed by the milk permeate segment due the various benefits associated with it such as it is less sweet than sucrose, absorbs synthetic and natural pigments, absorbs volatile flavor compounds and comparatively more moisture resistant. On the basis of application permeate market is segmented into, soups and sauces, dairy foods, beverages and meat. Among all the segments of permeate market dairy food is the leading segment, followed by other segments over the forecast period. Permeate market is expanding especially in Asia Pacific due to the rising awareness among consumers regarding the health benefits associated with the consumption of dairy products which includes high protein content  coupled with increasing number of upper middle class population in the Asia Pacific region. Global permeate market is segmented on the basis of region into North America, Latin America, Eastern Europe, Western Europe, Asia Pacific, Middle East and Africa and Japan.

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Permeate Market: Region-wise Outlook

The Global permeate market is expected to witness robust growth over the forecast period due the various health benefit related to the consumption of permeate. Globally, among all regions, North America is expected to contribute the maximum market share during the forecast period. In North America, U.S is the dominating segment that contributes highest market share owing to the increasing production of permeate in U.S. However Asia Pacific is anticipated to witness significant growth owing to the rising awareness among consumers related to benefits of dairy ingredient such as permeate coupled with rising high income consumers in region such as India and China.

Permeate Market: Drivers

Major factors that fuel the growth of permeate market includes increasing consumption of milk and rising awareness among the consumers related to the health benefits associated with the consumption of permeate in the mature markets. However factor that hinder the growth of permeate market include lack of awareness among consumers in the emerging countries related to the benefits of the dairy ingredient such as permeate. 

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Permeate Market: Key Players

Major companies operating in permeate market are Arla Foods Ingredients Inc., American dairy product institute, Fonterra Co-Operative Group, Nestle S.A, Silwan International General Trading LLC , La Belle Inc. and Volac International Limited

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