Natural Cheese Market Size

Market Size Snapshot

Note – Market size depicts the revenue generated over the financial year

The global natural cheese market is estimated to be worth about $60.56 billion in 2023 and is expected to reach $80 billion by 2032, registering a CAGR of 3.07% from 2024 to 2032. This steady growth is driven by the increasing demand for natural cheeses, as well as the increasing popularity of cheeses in various cooking methods in different regions. Moreover, with the increasing popularity of snacking, cheese is a convenient and nutritious snack choice for consumers looking for healthier snack options. The natural cheese market is also driven by the development of cheese-making technology, which can improve the quality and shelf life of products. The development of e-commerce has also made it easy for consumers to buy cheeses with different appearances, thus expanding the market. The leading companies in the industry, such as Kraft Heinz, Lactalis Group and Arla Foods, have been active in strategic cooperation and new product development, and have occupied a large share of the market. Recent product launches, such as specialty cheeses and organic offerings, are an industry response to changing consumer preferences.

Regional Market Size

Regional Deep Dive

In the past few years, the natural cheese market has grown rapidly in many regions, mainly driven by the growing demand for natural and organic products. North America is characterized by a strong preference for artisanal and specialty cheeses. Europe is a cheesemaking region with a long history and a variety of products. Asia-Pacific is characterized by a strong increase in cheese consumption, especially in China and India, where Western diets are increasingly gaining influence. The Middle East and Africa are gradually adopting cheese, mainly due to changes in dietary habits and urbanization. Latin America is also a potential market, with increasing income and the desire for more varieties of cheese. Generally speaking, the natural cheese market is characterized by the development of consumer preferences and the innovation of products.

Europe

• The European Union's Common Agricultural Policy (CAP) has introduced initiatives to support traditional cheese-making practices, which are helping to preserve regional varieties and promote local producers.
• Innovations in cheese production, such as the use of plant-based rennet and lactose-free options, are gaining traction among consumers, with companies like Arla Foods leading the way in product development.

Asia Pacific

• The growing popularity of Western cuisine in countries like China and India is driving an increase in cheese consumption, with local companies like Britannia Industries adapting their products to cater to regional tastes.
• Government initiatives aimed at improving dairy farming practices are expected to enhance the quality and availability of natural cheese, thereby boosting market growth in the region.

Latin America

• Rising disposable incomes and a growing middle class in countries like Brazil and Mexico are contributing to an increased interest in premium cheese products, with local brands beginning to innovate and diversify their offerings.
• The introduction of government programs aimed at supporting dairy farmers is expected to enhance the production capacity and quality of natural cheese, fostering market growth in the region.

North America

• The rise of health-conscious consumers has led to an increased demand for natural and organic cheeses, prompting companies like Kraft Heinz and Tillamook to expand their product lines to include cleaner labels and fewer additives.
• Regulatory changes, such as the USDA's emphasis on labeling transparency, are pushing manufacturers to provide clearer information about sourcing and production methods, which is expected to enhance consumer trust and drive sales.

Middle East And Africa

• The increasing urbanization and changing dietary habits in the Middle East are leading to a higher demand for processed and natural cheeses, with companies like Almarai expanding their product offerings to meet this demand.
• Cultural shifts towards Western eating habits are influencing cheese consumption patterns, with a notable rise in the popularity of cheese in traditional dishes, which is expected to further drive market growth.

Did You Know?

“Did you know that the global cheese consumption has increased by over 20% in the last decade, with natural cheese accounting for a significant portion of this growth?” — International Dairy Federation

Segmental Market Size

Natural cheeses are currently growing at a steady rate, driven by the growing preference for clean label products and the increasing demand for artisanal and special cheeses. The main reasons for this are the trend towards healthier eating and the increasing popularity of artisanal cheeses in the kitchen. In addition, the regulations favouring natural ingredients over artificial ingredients also support the natural cheeses market. The natural cheeses market is currently at a mature stage, with strong players such as Kraft Heinz and Bel leading the way. The market is particularly strong in Europe and North America, where a wide range of products is available, from the traditional Cheddar to the newest savoury flavours. The main applications are in the retail sector, foodservice, and cooking in restaurants and catering. The growing popularity of plant-based diets and the increasing demand for sustainable products are also driving the market, as natural cheese alternatives and eco-friendly packaging are developed. In addition, technological developments such as improved fermentation and improved supply chains are shaping the market, improving the quality and availability of products.

Future Outlook

Natural cheese market is expected to grow at a CAGR of 2.95% from 2023 to 2032. The natural cheese market is driven by the growing demand for natural and organic food products due to the increasing health awareness among consumers. Natural cheese, which is considered healthier and more authentic than processed cheese, is expected to increase in popularity. Natural cheese will represent 35% of the total cheese market in 2032, up from 27% in 2023, indicating a strong penetration rate among consumers. Also, the technological advancements in cheesemaking, such as improved fermentation processes and improved aging techniques, are expected to increase product quality and variety, thus promoting market growth. In addition, government initiatives such as the organic farming and sustainable dairy farming policies are expected to play a key role in shaping the natural cheese market. Also, the rising popularity of artisanal cheese and the rise in plant-based cheese alternatives are expected to influence the natural cheese market. As the natural cheese market evolves, the industry must remain agile to adapt to the trends and capitalize on the opportunities presented by the growing health awareness of consumers.