The global dairy market has already exceeded $1 trillion and could reach $1.5 trillion by 2034. According to Dairy Reporter, this growth is taking place against a backdrop of increased demand for protein products, the expansion of emerging markets, and active consolidation among the largest players.
The average annual market growth rate is estimated at 4.38%. The Asia-Pacific region accounts for the largest share of consumption: India is the largest consumer of milk, whilst China is seeing growing demand for cheese and yoghurt. At the same time, a surplus of milk continues to put downward pressure on dairy product prices.
A key trend is business consolidation through mergers and acquisitions, which enables companies to reduce costs, scale up production and enter premium segments with higher margins.
10. China Mengniu Dairy
Headquarters: Hohhot, Inner Mongolia
Revenue: $12.8 billion
Mengniu is actively transforming its business model by adopting a more customer-centric approach in order to innovate more quickly and meet the diverse needs of consumers.
The company is focusing on the Milk Deluxe, Just Yoghurt and Champion brands, targeting primarily a younger audience.
Mengniu forecasts a 7–8% decline in revenue in 2025 and is therefore optimising costs, cutting back on investment and improving asset utilisation.
9. Saputo
Headquarters: Montreal, Canada
Revenue: $14 billion
The company operates on the basis of the Saputo Promise, which encompasses product quality, safety, environmental protection, ethics and responsible sourcing.
Saputo is streamlining its global operations, having sold 80% of its Argentine business, Gloria Foods, in order to increase financial flexibility and invest in new growth opportunities.
8. Arla Foods
Headquarters: Viby J, Denmark
Revenue: $15.1 billion
Arla has delivered strong results thanks to the growth of its ingredients business. Arla Foods Ingredients achieved a 43.1% increase in revenue, driven by demand for protein ingredients and the integration of the Volac business.
The company focuses on producing ‘sustainable and nutritious milk’ and aims to be a leader in value creation and sustainable development.
7. Danone
Headquarters: Paris, France
Revenue: $15.2 billion (dairy segment)
Danone operates on the basis of the ‘Dual Project’ concept, combining profitability with social responsibility.
The company is actively expanding its presence – notably, it has increased its stake in a joint venture in Australia to 51% – and is focusing on functional nutrition and health.
6. Fonterra
Headquarters: Auckland, New Zealand
Revenue: $15.3 billion
Fonterra is changing its strategy by shifting to a B2B model and focusing on ingredients and foodservice.
More than 88% of the cooperative’s farmers supported the sale of the retail business (Mainland Group), which is expected to make the company more efficient and profitable.
5. FrieslandCampina
Headquarters: Amersfoort, Netherlands
Revenue: $15.57 billion
The company focuses on maximising value for farmers and developing its international business.
Between 2025 and 2026, FrieslandCampina expanded by bringing Milcobel farmers on board and acquiring the American whey protein producer Wisconsin Whey Protein.
4. Yili Group
Headquarters: Hohhot, Inner Mongolia
Revenue: $16 billion
Yili is actively expanding its global presence and already operates in over 60 countries.
The company invests in functional products, particularly dairy products containing ingredients from traditional Chinese medicine, and focuses on quality and innovation.
3. Dairy Farmers of America
Headquarters: Kansas City, USA
Revenue: $23 billion
The cooperative brings together around 9,500 farmers and is committed to innovation.
Among the new products is Milk50, which contains 75% less sugar and 9g of protein per serving.
The company has also received up to $46 million in government funding to implement sustainable practices in its manufacturing operations.
2. Nestlé
Headquarters: Vevey, Switzerland
Revenue: $24 billion (dairy segment)
Nestlé is expanding its dairy business as part of a broader nutrition and health strategy.
The company plans to step up innovation and investment to accelerate growth, and is also in talks to sell part of its ice cream business.
1. Lactalis
Headquarters: Laval, France
Revenue: $35 billion
Lactalis remains the largest player in the global dairy market, with a lead of over $10 billion over its nearest competitor.
The company is actively expanding through acquisitions, notably purchasing Fonterra’s consumer business (Mainland Group) for $4.22 billion.
Lactalis is also continuing to strengthen its position in Europe, notably through the acquisition of brands and production facilities in Sweden.
Source: Dairy Reporter
