Asia-Pacific Milk Protein Market Size and Share

Asia-Pacific Milk Protein Market Summary
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Asia-Pacific Milk Protein Market Analysis by Mordor Intelligence

The Asia-Pacific milk protein market size reached USD 415.11 million in 2026 and is projected to attain USD 540.21 million by 2031, progressing at a 5.41% CAGR. Demand expansion is anchored in the continuing penetration of protein-fortified foods, the rapid scale-up of sports nutrition across South and Southeast Asia, and the emergence of personal-care uses that shelter suppliers from commodity cycles. China remained the largest revenue contributor in 2025, holding 36.72%, yet India is poised for faster growth through 2031 as government dairy programs close supply gaps and a young population boosts per-capita protein intake. Form-factor dynamics reveal a divide between concentrates, which keep costs low in bakery and beverage uses, and isolates that answer purity needs in infant formula, clinical nutrition, and premium sports powders. New charged-membrane and cold microfiltration lines reduce energy use and improve bioactive retention, sharpening the competitive edge of processors able to finance modern plants. Ingredient producers also face divergent demographic pressures: East Asia’s declining birth rates cool infant-formula volumes, while South Asia’s rising fitness culture accelerates demand for high-protein drinks and bars in urban centers.

Key Report Takeaways

  • By Form, Concentrates held 52.48% of the Asia-Pacific milk protein ingredients market share in 2025, while isolates advanced at a 6.81% CAGR through 2031.
  • By End-User, Food and beverages accounted for an 81.25% share of the Asia-Pacific milk protein ingredients market size in 2025, whereas personal care and cosmetics are forecast to expand at a 7.02% CAGR to 2031.
  • By Geography, China captured 36.72% revenue share in 2025; India is projected to register a 7.28% CAGR between 2026 and 2031 as dairy modernization programs lift raw-milk quality.

Note: Market size and forecast figures in this report are generated using Mordor Intelligence’s proprietary estimation framework, updated with the latest available data and insights as of January 2026.

Segment Analysis

By Form–Concentrates Retain Volume, Isolates Capture Premium Margins

In 2025, concentrates accounted for 52.48% of the Asia-Pacific milk protein ingredients market, as bakers and beverage companies balanced functionality with cost considerations. For example, water-binding enhances the texture of bread and cookies, while emulsification ensures the stability of ready-to-drink (RTD) coffees. With protein levels ranging from 35-80%, companies can meet nutrition claims without exceeding budget constraints. Regional processors in Indonesia and Thailand prefer concentrates sourced from Oceania to fortify sweetened condensed milk, maintaining affordability for lower-income consumers.

Isolates, growing at a 6.81% CAGR, are projected to continue outpacing the Asia-Pacific milk protein ingredients market through 2031. With purity levels above 90% and negligible lactose content, isolates meet the stringent requirements of infant formulas and clinical nutrition. Additionally, elite sports powders in South Korea and Japan are driving demand. The use of cold microfiltration preserves bioactive peptides, making these products appealing to brands focused on recovery and immune support. This additional 1.4 percentage-point CAGR advantage underscores a market shift toward high-margin specialization, even as concentrates continue to dominate bulk tonnage.

Asia-Pacific Milk Protein Market: Market Share by Form
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By End User–Personal Care Achieves Frontier Growth

In 2025, food and beverages contributed a significant 81.25% of revenues, with milk proteins incorporated into yogurt, ready-to-drink shakes, protein coffee, and various bakery snacks. Reformulations now replace part of the wheat flour with protein concentrates, increasing protein content to 7–10 grams per serving without affecting texture. In Singapore, beverage innovators combine these concentrates with oat milk, blending dairy nutrition with a plant-based appeal. Meanwhile, the supplement sector, which includes infant nutrition, sports powders, and medical foods, relies on isolates to comply with regulatory requirements.

Although personal care and cosmetics represent a smaller segment, they are set to grow at a strong 7.02% CAGR through 2031, surpassing the overall growth of the Asia-Pacific milk protein ingredients industry. Lactoferrin is being used in antimicrobial creams, while milk-derived growth factors are incorporated into anti-aging serums aimed at boosting collagen synthesis. Prestige brands from Japan and Korea are launching sheet masks infused with hydrolyzed casein, priced three times higher than conventional options. This diversification not only protects ingredient suppliers from dairy commodity fluctuations but also supports higher gross margins.

Asia-Pacific Milk Protein Market: Market Share by End-User
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Geography Analysis

China's 36.72% market share in 2025 reflects decades of dairy infrastructure investment and urbanization-driven consumption growth, yet India's 7.28% forecast CAGR through 2031 signals a structural shift. India's sports nutrition market is expanding at approximately 9.5% annually, propelled by a median age of 28 years and rising disposable incomes among millennials and Gen Z cohorts. Government initiatives, National Programme for Dairy Development (INR 2,790 crore), Rashtriya Gokul Mission (INR 3,400 crore), and Animal Husbandry Infrastructure Development Fund (INR 29,610 crore), modernize milk procurement and processing, reducing supply-chain losses and improving ingredient quality, according to the Government of India[3]Source: Department of Animal Husbandry & Dairying, “National Programme for Dairy Development,” Government of India, dahd.nic.in

China's infant formula market contracted by an estimated USD 4.8 billion between 2024 and 2029 due to declining birth rates, forcing suppliers to pivot toward clinical nutrition and functional foods for aging consumers. Japan and South Korea, though smaller in absolute market size, lead in per-capita consumption of high-value protein ingredients, driven by aging demographics and established sports nutrition cultures. Australia and New Zealand function as export-oriented production hubs, leveraging pasture-based dairy systems and stringent quality controls to supply ingredient-grade proteins to the broader Asia-Pacific region. 

Southeast Asian markets, Indonesia, Thailand, Vietnam, Malaysia, exhibit the fastest urbanization rates and rising middle-class populations, creating greenfield opportunities for functional food penetration. Indonesia's growing infant formula demand, driven by maternal employment and nuclear family structures, contrasts with Thailand's mature sports nutrition market, illustrating the diversity of growth drivers across the region. Regulatory harmonization under ASEAN frameworks remains incomplete, requiring suppliers to navigate country-specific food safety standards and labeling requirements that favor regional specialists over global generalists.

Competitive Landscape

Asia-Pacific milk protein ingredients market competition registers moderate concentration at 5 on a 10-point scale. Global cooperatives such as Fonterra, FrieslandCampina, and Arla leverage scale in milk pools and drying assets to supply multi-country clients. Fonterra finalized a NZD 1 billion investment wave in China in 2025 to install two innovation centers and extend WPC capacity, locking in proximity to key customers. FrieslandCampina formed a joint venture with a Chinese dairy to produce 15,000 t of concentrates for domestic bakers, demonstrating local partnership as a route to regulatory ease.

Regional players like Morinaga and Westland exploit niche strengths: Morinaga expanded lactoferrin output by 40% through fermentation, targeting cosmetics, while Westland pushes grass-fed whey isolates at a sustainability premium. Technology adoption drives differentiation. Plants retrofitted with charged-membrane and cold-process lines gain energy savings and satisfy clean-label criteria. Regulatory mastery, especially of China’s GB and India’s FSSAI frameworks, becomes a barrier that entrenches incumbents.

Smaller innovators are establishing their presence by tailoring amino-acid profiles and developing unique flavor variants that align with local consumer preferences. In India, contract manufacturers are actively collaborating with sports-nutrition startups to create isolates infused with Ayurvedic-inspired flavors, catering to the growing demand for traditional and functional ingredients. Similarly, Thai companies are enhancing their ready-to-drink (RTD) shakes by incorporating locally popular flavors such as matcha and durian, appealing to regional tastes. This strategic diversification not only addresses consumer preferences but also helps maintain a balanced competitive landscape. By avoiding aggressive price wars and destructive discounting, the market remains sustainable, even as production capacities continue to expand.

Asia-Pacific Milk Protein Industry Leaders

  1. Arla Foods amba

  2. Fonterra Co-operative Group Limited

  3. Glanbia PLC

  4. Kerry Group PLC

  5. Koninklijke FrieslandCampina N.V.

  6. *Disclaimer: Major Players sorted in no particular order
Asia-Pacific Milk Protein Market
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Recent Industry Developments

  • September 2025: FrieslandCampina Ingredients, a global leader in proteins and prebiotics, has launched a new state-of-the-art application centre in Singapore, expanding local R&D space by 30% with support from the Singapore Economic Development Board (EDB).
  • May 2025: Arla Foods Ingredients and Alchemy Agencies established a distribution partnership to serve the animal proteins for the performance nutrition market in Australia, New Zealand, and the Pacific Islands. The agreement focuses on the Australia and New Zealand (ANZ) markets.
  • September 2024: Arla Foods Ingredients has introduced the "Go High in Protein" campaign to help dairy manufacturers develop innovative high-protein products using its patented Nutrilac ProteinBoost range of microparticulated whey proteins, rich in essential amino acids.

Table of Contents for Asia-Pacific Milk Protein Industry Report

1. INTRODUCTION

  • 1.1 Study Assumptions and Market Definition
  • 1.2 Scope of the Study

2. RESEARCH METHODOLOGY

3. EXECUTIVE SUMMARY

4. MARKET LANDSCAPE

  • 4.1 Market Overview
  • 4.2 Market Drivers
    • 4.2.1 Rising Health Consciousness Boosting Demand for Protein-Rich Foods and Supplements
    • 4.2.2 Popularity of Functional Foods Like Protein Shakes and Fortified Yogurt
    • 4.2.3 Demand for Infant Formula and Clinical Nutrition Products
    • 4.2.4 Technological Advancements in Protein Extraction and Processing
    • 4.2.5 Government Initiatives Targeting Protein Deficiency and Dairy Promotion
    • 4.2.6 Rising Preference for High-Protein Diets and Sports Nutrition
  • 4.3 Market Restraints
    • 4.3.1 Stringent Food Safety, Labeling, and Regulatory Standards
    • 4.3.2 Lactose Intolerance and Dairy Allergies in Populations
    • 4.3.3 Competition from Plant-Based Protein Alternatives
    • 4.3.4 Consumer Worries Over Additives, Preservatives, and Artificial Ingredients
  • 4.4 Consumer Behaviour Analysis
  • 4.5 Regulatory Outlook
  • 4.6 Porter's Five Forces Analysis
    • 4.6.1 Bargaining Power of Suppliers
    • 4.6.2 Bargaining Power of Buyers
    • 4.6.3 Threat of New Entrants
    • 4.6.4 Threat of Substitutes
    • 4.6.5 Degree of Competition

5. MARKET SIZE AND GROWTH FORECASTS (VALUE)

  • 5.1 Form
    • 5.1.1 Concentrates
    • 5.1.2 Isolates
  • 5.2 End User
    • 5.2.1 Animal Feed
    • 5.2.2 Food and Beverages
    • 5.2.2.1 Bakery
    • 5.2.2.2 Beverages
    • 5.2.2.3 Breakfast Cereals
    • 5.2.2.4 Condiments / Sauces
    • 5.2.2.5 Confectionery
    • 5.2.2.6 Dairy and Dairy-Alternative Products
    • 5.2.2.7 RTE / RTC Foods
    • 5.2.2.8 Snacks
    • 5.2.3 Personal Care and Cosmetics
    • 5.2.4 Supplements
    • 5.2.4.1 Baby Food and Infant Formula
    • 5.2.4.2 Elderly and Medical Nutrition
    • 5.2.4.3 Sport / Performance Nutrition
  • 5.3 Geography
    • 5.3.1 Australia
    • 5.3.2 China
    • 5.3.3 India
    • 5.3.4 Indonesia
    • 5.3.5 Japan
    • 5.3.6 Malaysia
    • 5.3.7 New Zealand
    • 5.3.8 South Korea
    • 5.3.9 Thailand
    • 5.3.10 Vietnam
    • 5.3.11 Rest of Asia-Pacific

6. COMPETITIVE LANDSCAPE

  • 6.1 Market Concentration
  • 6.2 Strategic Moves
  • 6.3 Market Share Analysis
  • 6.4 Company Profiles (Includes Global-level Overview, Market-level Overview, Core Segments, Financials, Strategic Info, Market Rank/Share, Products & Services, Recent Developments)
    • 6.4.1 Arla Foods amba
    • 6.4.2 Fonterra Co-operative Group Ltd
    • 6.4.3 Glanbia PLC
    • 6.4.4 Kerry Group PLC
    • 6.4.5 Koninklijke FrieslandCampina N.V.
    • 6.4.6 Groupe Lactalis
    • 6.4.7 Morinaga Milk Industry Co. Ltd.
    • 6.4.8 Olam International Ltd.
    • 6.4.9 Milligans Food Group Ltd.
    • 6.4.10 Westland Milk Products
    • 6.4.11 Hilmar Cheese Company Inc.
    • 6.4.12 Grassland Dairy Products Inc.
    • 6.4.13 Saputo Inc.
    • 6.4.14 Idaho Milk Products
    • 6.4.15 AMCO Proteins
    • 6.4.16 Gansu Hua'an Biotechnology Group
    • 6.4.17 Darigold Ingredients
    • 6.4.18 Nutrinnovate Australia
    • 6.4.19 Tatura Milk Industries
    • 6.4.20 Enka Süt
    • 6.4.21 Cabot Creamery Cooperative
    • 6.4.22 Paras Dairy

7. MARKET OPPORTUNITIES AND FUTURE OUTLOOK

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Asia-Pacific Milk Protein Market Report Scope

Milk protein is the natural protein found in milk, primarily composed of casein (about 80%) and whey (about 20%), offering all essential amino acids for muscle growth, repair, and overall health.

Asia-Pacific milk protein is segmented by form into concentrates and isolates. By end-user, the market is segmented into animal feed, food and beverages, personal care and cosmetics, and supplements. Food and beverages are further segmented into bakery, beverages, breakfast cereals, condiments/sauces, dairy and dairy-alternatives, RTE/RTC foods, and snacks. Supplements are further segmented into baby food and infant formula, elderly and medical nutrition, and sports/performance nutrition. The market is segmented by geography into Australia, China, India, Indonesia, Japan, Malaysia, New Zealand, South Korea, Thailand, Vietnam, and the rest of Asia-Pacific. The market sizing has been done in value terms in USD for all the abovementioned segments.

Form
Concentrates
Isolates
End User
Animal Feed
Food and Beverages Bakery
Beverages
Breakfast Cereals
Condiments / Sauces
Confectionery
Dairy and Dairy-Alternative Products
RTE / RTC Foods
Snacks
Personal Care and Cosmetics
Supplements Baby Food and Infant Formula
Elderly and Medical Nutrition
Sport / Performance Nutrition
Geography
Australia
China
India
Indonesia
Japan
Malaysia
New Zealand
South Korea
Thailand
Vietnam
Rest of Asia-Pacific
Form Concentrates
Isolates
End User Animal Feed
Food and Beverages Bakery
Beverages
Breakfast Cereals
Condiments / Sauces
Confectionery
Dairy and Dairy-Alternative Products
RTE / RTC Foods
Snacks
Personal Care and Cosmetics
Supplements Baby Food and Infant Formula
Elderly and Medical Nutrition
Sport / Performance Nutrition
Geography Australia
China
India
Indonesia
Japan
Malaysia
New Zealand
South Korea
Thailand
Vietnam
Rest of Asia-Pacific
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Market Definition

  • End User - The Protein Ingredients Market operates on a B2B basis. Food, Beverages, Supplements, Animal Feed, and Personal Care & Cosmetic manufacturers are considered to be end-consumers in the market studied. The scope excludes manufacturers buying liquid/dry whey to be used for application as a binding agent or thickener or other non-protein applications.
  • Penetration Rate - Penetration Rate is defined as the percentage of Protein-Fortified End User Market Volume in the Overall End User Market Volume.
  • Average Protein Content - Average protein content is the average protein content present per 100 g of product manufactured by all end-user companies considered under the scope of this report.
  • End User Market Volume - End-user market volume is the consolidated volume of all types and forms of end-user products in the country or region.
Keyword Definition
Alpha-lactalbumin (α-Lactalbumin) It is a protein that regulates the production of lactose in the milk of almost all mammalian species.
Amino acid It is an organic compound that contains both amino and carboxylic acid functional groups, which are required for the synthesis of body protein and other important nitrogen-containing compounds, such as creatine, peptide hormones, and some neurotransmitters.
Blanching It is the process of briefly heating vegetables with steam or boiling water.
BRC British Retail Consortium
Bread improver It is a flour-based blend of several components with specific functional properties designed to modify dough characteristics and give quality attributes to bread.
BSF Black Soldier Fly
Caseinate It is a substance produced by adding an alkali to acid casein, a derivative of casein.
Celiac disease Celiac disease is an immune reaction to eating gluten, a protein found in wheat, barley, and rye.
Colostrum It is a milky fluid that’s released by mammals that have recently given birth before breast milk production begins.
Concentrate It is the least processed form of protein and has a protein content ranging from 40-90% by weight.
Dry protein basis It refers to the percentage of "pure protein" present in a supplement after the water in it is completely removed through heat.
Dry whey It is the product resulting from drying fresh whey which has been pasteurized and to which nothing has been added as a preservative.
Egg protein It is a mixture of individual proteins, including ovalbumin, ovomucoid, ovoglobulin, conalbumin, vitellin, and vitellenin.
Emulsifier It is a food additive that facilitates the blending of foods that are immiscible with one another, such as oil and water.
Enrichment It is the process of addition of micronutrients that are lost during the processing of the product.
ERS Economic Research Service of the USDA
Extrusion It is the process of forcing soft mixed ingredients through an opening in a perforated plate or die designed to produce the required shape. The extruded food is then cut to a specific size by blades.
Fava Also known as Faba, it is another word for yellow split beans.
FDA Food and Drug Administration
Flaking It is a process in which typically a cereal grain (like corn, wheat, or rice) is broken down into grits, cooked with flavors and syrups, and then pressed into flakes between cooled rollers.
Foaming agent It is a food ingredient that makes it possible to form or maintain a uniform dispersion of a gaseous phase in a liquid or solid food.
Foodservice It refers to the part of the food industry which includes businesses, institutions, and companies which prepare meals outside the home. It includes restaurants, school and hospital cafeterias, catering operations, and many other formats.
Fortification It is the deliberate addition of micronutrients that are not found in them naturally or which are lost during processing, to improve a food product's nutritional value.
FSANZ Food Standards Australia New Zealand
FSIS Food Safety and Inspection Service
FSSAI Food Safety and Standards Authority of India
Gelling agent It is an ingredient that functions as a stabilizer and thickener to provide thickening without stiffness through the formation of gel.
GHG Greenhouse Gas
Gluten It is a family of proteins found in grains, including wheat, rye, spelt, and barley.
Hemp It is a botanical class of Cannabis sativa cultivars grown specifically for industrial or medicinal use.
Hydrolysate It is a form of protein manufactured by exposing the protein to enzymes that can partially break the bonds between the protein's amino acids and break down large, complicated proteins into smaller pieces. Its processing makes it easier and quicker to digest.
Hypoallergenic It refers to a substance that causes fewer allergic reactions.
Isolate It is the purest and most processed form of protein which has undergone separation to obtain a pure protein fraction. It typically contains ≥ 90% of protein by weight.
Keratin It is a protein that helps form hair, nails, and the outer layer of skin.
Lactalbumin It is the albumin contained in milk and obtained from whey.
Lactoferrin It is an iron‑binding glycoprotein that is present in the milk of most mammals.
Lupin It is the yellow legume seeds of the genus Lupinus.
Millenial Also known as Generation Y or Gen Y, it refers to the people born from 1981 to 1996.
Monogastric It refers to an animal with a single-compartmented stomach. Examples of monogastric include humans, poultry, pigs, horses, rabbits, dogs, and cats. Most monogastric are generally unable to digest much cellulose food materials such as grasses.
MPC Milk protein concentrate
MPI Milk protein isolate
MSPI Methylated soy protein isolate
Mycoprotein Mycoprotein is a form of single-cell protein, also known as fungal protein, derived from fungi for human consumption.
Nutricosmetics It is a category of products and ingredients that act as nutritional supplements to care for skin, nails, and hair natural beauty.
Osteoporosis It is a medical condition in which the bones become brittle and fragile from loss of tissue, typically as a result of hormonal changes, or deficiency of calcium or vitamin D.
PDCAAS Protein digestibility-corrected amino acid score (PDCAAS) is a method of evaluating the quality of a protein based on both the amino acid requirements of humans and their ability to digest it.
Per-capita consumption of animal protein It is the average amount of animal protein (such as milk, whey, gelatin, collagen, and egg proteins) that is readily available for consumption by each person in an actual population.
Per-capita consumption of plant protein It is the average amount of plant protein (such as soy, wheat, pea, oat, and hemp proteins) that is readily available for consumption by each person in an actual population.
Quorn It is a microbial protein manufactured using mycoprotein as an ingredient, in which the fungus culture is dried and mixed with egg albumen or potato protein, which acts as a binder, and then is adjusted in texture and pressed into various forms.
Ready-to-Cook (RTC) It refers to food products that include all of the ingredients, where some preparation or cooking is required through a process that is given on the package.
Ready-to-Eat (RTE) It refers to a food product prepared or cooked in advance, with no further cooking or preparation required before being eaten.
RTD Ready-to-Drink
RTS Ready-to-Serve
Saturated fat It is a type of fat in which the fatty acid chains have all single bonds. It is generally considered unhealthy.
Sausage It is a meat product made of finely chopped and seasoned meat, which may be fresh, smoked, or pickled and which is then usually stuffed into a casing.
Seitan It is a plant-based meat substitute made out of wheat gluten.
Softgel It is a gelatin-based capsule with a liquid fill.
SPC Soy protein concentrate
SPI Soy protein isolate
Spirulina It is a biomass of cyanobacteria that can be consumed by humans and animals.
Stabilizer It is an ingredient added to food products to help maintain or enhance their original texture, and physical and chemical characteristics.
Supplementation It is the consumption or provision of concentrated sources of nutrients or other substances that are intended to supplement nutrients in the diet and is intended to correct nutritional deficiencies.
Texturant It is a specific type of food ingredient that is used to control and alter the mouthfeel and texture of food and beverage products.
Thickener It is an ingredient that is used to increase the viscosity of a liquid or dough and make it thicker, without substantially changing its other properties.
Trans fat Also called trans-unsaturated fatty acids or trans fatty acids, it is a type of unsaturated fat that naturally occurs in small amounts in meat.
TSP Textured soy protein
TVP Textured vegetable protein
WPC Whey protein concentrate
WPI Whey protein isolate
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Research Methodology

Mordor Intelligence follows a four-step methodology in all our reports.

  • Step-1: Identify Key Variables: The quantifiable key variables (industry and extraneous) pertaining to the specific product segment and country are selected from a group of relevant variables & factors based on desk research & literature review; along with primary expert inputs. These variables are further confirmed through regression modeling (wherever required).
  • Step-2: Build a Market Model: In order to build a robust forecasting methodology, the variables and factors identified in Step-1 are tested against available historical market numbers. Through an iterative process, the variables required for market forecast are set and the model is built on the basis of these variables.
  • Step-3: Validate and Finalize: In this important step, all market numbers, variables and analyst calls are validated through an extensive network of primary research experts from the market studied. The respondents are selected across levels and functions to generate a holistic picture of the market studied.
  • Step-4: Research Outputs: Syndicated Reports, Custom Consulting Assignments, Databases & Subscription Platforms
research-methodology
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