Cheese Market Report, By Type (Unprocessed, Processed), Product (Mozzarella, Cheddar, Feta, Parmesan, Roquefort), Distribution Channel and Geography- Global Market Share, Trend Analysis & Forecast

Cheese is a traditional food product with its roots predating recorded history. It is a dairy food made from pressed milk curds and is almost produced all over the world. Numerous varieties are made from fresh cheese or ripened (aged) cheese.

There are more over 300 varieties of cheese—including American, Cheddar, Mozzarella and Colby—many of which are accessible in various flavors, forms (chunks, slices, cubes, shredded, grated, crumbled, sticks, spreads) and packages to meet consumer demands. 

Cheese consumption in the United States has increased dramatically over the past 30 years, jumping from 11.3 pounds per person in 1970 to 32 pounds per person in 2006. The state of Wisconsin is the major producer of cheese (26% of total U.S. production) followed by California (23%), Idaho (8%) and New York (7%). In 2006, cheese sales were nearly $12.8 billion, representing about 5.5 percent of total sales of food in the United States. The largest selling categories were American and Italian types, which together accounted for about 80 percent of the total cheese sales.

The consumption of cheese per person in U.S. was 39 pounds in 2017, a minor increase from the previous year. Cheddar cheese and mozzarella cheese remain the most popular varieties of cheese (USDA). Largely cheese consumption endures to increase due to its flexibility and adaptability to recipes, more accessible variations. The consumer shift from at-home food preparation to purchases of partially or fully prepared foods has also benefited cheese sales.

Market Dynamics- Global Cheese Market

The ever-increasing fast food culture has been playing a significant role in mounting the demand of cheese and likely to see its effects over the forecast period. Owing to unique flavours, processed cheese is utilized in local cuisines as well apart from obvious application in fast food. Moreover, rising urbanization and growing out of pocket expenditure all over the world coupled with inclining consumer trends towards authentic, natural cheese are some of the drivers that are anticipated to lift up the market over the years to come. Another contributing factor to cheese popularity in the United States has been mainstream acceptance of ethnic cooking, such as Italian and Mexican, which use substantially more cheese. The popularity of Latino foods and Hispanic cheeses is at an all-time high.

However, unfavorable regulatory conditions, growing consumer preference for vegan diet and rising incidences of lactose intolerance are the factors that are likely to hinder the market growth. 

Major Developments:

In May 2020, Royal DSM, a global science-based company active in Nutrition, Health and Sustainable Living, today announces the launch of its new Delvo Cheese CP-500 cultures for boosting the yield and resource efficiency of mozzarella cheese production.

Similarly, Arla Foods, the Denmark-based dairy giant announced of launching organic cheddar in the United Kingdom using locally sourced milk under its Yeo Valley brand, which it acquired in 2018.  

Cheese Market Segmental Overview

The study analyses Global Cheese market based on type, production, distribution channel and geography. 

• Processed and unprocessed are the two types of cheese accessible to the customers. Unprocessed cheese is likely to dominate the market over the forecast period owing to its natural flavors
• The various cheese products include mozzarella, cheddar, feta, parmesan, roquefort etc. Mozarella cheese is likely to be consumed majorly owing to its high content of calcium and rising demand from diabetic food manufacturers. Cheddar cheese is accessible in single slices wrapped in plastic, cheese spray, cheese spread, squeeze tube, and various other packaging options, which have opened a lot of opportunities for market growth.
• Cheese is available through various distribution channels such as food specialty stores, hypermarkets, supermarkets, convenience stores etc.

Cheese Market by Geography

Geographically, the study is comprised of the key countries of North America, Europe, Asia-Pacific and Rest of the World. Europe Cheese market is likely to dominate the market over the forecast period mainly due to rising demand from the food and beverage industry. Similarly, among the major cheese producing countries, the United States was ranked second with 5.3 million metric tons manufactured in 2015, following only the European Union. Wisconsin was the leading cheese producing state in the U.S. 

However, Asia Pacific is anticipated to be the fastest growing region lead by China, India, Japan, and South Korea and are likely to contribute significantly during the forecast period. Ease of trading across international borders in the region will positively impact the industry growth through the forecast timeframe. Rapid growth of the fast food industry and growing disposable income and urbanization are the major factors driving the market development in this region.

Global Cheese Market-Key Players

The major players involved in this market are Arla Foods, Bel group, Fonterra food, Kraft Heinz, Lactalis group, Savencia SA, Britannia Industries Limited, Saputo Inc. and Gujarat Cooperative Milk Marketing Federation Ltd. among others.