The global organic dairy products market to grow at a CAGR of 7.51% during the period 2017-2021.
Global Organic Dairy Products Market 2017-2021, has been prepared based on an in-depth market analysis with inputs from industry experts. The report also includes a discussion of the key vendors operating in this market. Owing to the increased awareness of organic dairy products, consumers are increasingly purchasing them. This has resulted in the growth of the market.
According to the report, one driver in the market is positioning as a premium product. Organic dairy products are generally priced high and positioned as a premium product. This is mainly due to the increased cost associated with the procurement of the organic raw materials for the production process. The price of organic milk has increased in the recent years due to a supply shortage and lack of interest in organic dairy farming among farmers. Due to this, certain manufacturers offer price advantages to organic farmers to engage them in organic dairy farming.
Further, the report states that one challenge in the market is fluctuations in the supply of organic raw materials. The global organic dairy products market is affected by the supply shortage of organic raw materials. The market is witnessing a huge demand for organic milk, but the dearth of cattle is affecting the organic milk production. Therefore, sourcing of organic milk is getting difficult for the organic dairy product manufacturers.