Study: Evaporators, drying equipment to be fastest growing market by 2020
The market for dairy processing equipment is expected to be worth $10.9 billion by 2020, according to a study published by Markets and Markets, Dallas, Texas.
The report, "Dairy Processing Equipment Market by Type (Pasteurizers, Homogenizers, Separators, Evaporators & Dryers, Membrane Filtration Equipment), Application (Processed Milk, Cream, Milk Powder, Cheese, Protein Ingredients), & by Region - Global Forecast to 2020," shows the global dairy processing equipment market to grow at a CAGR of 5.4% from 2015 to 2020.
The growth of this market is attributed to the increasing demand for consumption of dairy products and technological advancements in dairy processing equipment. The major drivers are the rise in global consumer demand for dairy products, increasing dairy production, changing needs, taste and preferences among consumers and growing demand for healthier and palatable dairy products.
Evaporators and drying equipment in particular are projected to be the fastest growing market from 2015 to 2020.
The demand for evaporators and dryers from dairy processors is increasing in Europe, Asia-Pacific, Latin America and RoW, whereas in North America, the demand for membrane filtration is on the rise. In developed markets, consumer demand for fortified dairy products such as whey-based products and milk protein dairy products is on the rise; hence, the market for evaporators and dryers is growing at a higher pace. Protein concentrates and milk powders are used as fortifiers in these products and are processed through membrane filters and evaporators and dryers.
Furthermore, processed milk accounts for the largest market share in 2014, according to the report.
The emergence of high-income urban population group has changed the pattern of milk use. They show the preference for processed milk and milk products over ordinary raw milk because ordinary raw milk is relatively more perishable and susceptible to disease, while processed milk and milk products are convenient to handle, maintain higher value and facilitate large-scale use.
The Asia-Pacific region is the largest market for dairy processing equipment in the world. The two major countries that contributed the largest market share in this region are Australia and New Zealand. India is the largest producer of milk in the world. Hence, the market for pasteurizers and homogenizers has been consistently rising in the Indian dairy processing equipment market. Australia and New Zealand are the major manufacturers and suppliers of dairy products in the world, importing equipment from Germany and the United States.