Dairy looks to become Japan’s next big growth market
According to research by Canadean, the sector will see a compound annual growth rate of 4.6% and volume CAGR of 3.9% over the period. It also identified that milk will hold the largest value as its volume continues to dominate the dairy market over the next four years.
Milk the strongest
The dairy food sector is the third largest in the Japanese food industry and will witness the fifth fastest growth towards 2017. Of these categories, milk is by far the strongest with a value share of 42.7% and a volume share of 51.8%. It is expected to continue growing with a forecast growth rate of 5.0% in value and 4.2% in volume towards 2017 – making it the second fastest growth dairy food category.
The second largest category, yoghurt, has a value share of 25.4% and a volume of 23.1%, although it is projected to have only the fifth fastest growth of 3.8% in value and 2.9% in volume.
Cheese in third
Cheese follows in third place with a value share of 13.9% and a volume share of 13%, and should witness the fastest growth in the sector, increasing by 5.6% and expanding by 4.8%. Puddings and desserts accounted for the fourth largest value share of 8.5% and volume share 5.0%, but is forecast to see the least growth of all Japan’s dairy food sector, with value growth of 3.3% and volume growth of just 2.5%.
Next is butter and spreadable fats, with a value share of 6.3% and a volume of 4.5%, and is projected to witness the fourth fastest growth of 4.2% in terms of value and 3.4% in terms of volume. Cream holds the smallest share of the dairy food sector, with a value share of 3.2% and a volume share of just 2.5%. However, it will witness the third fastest value growth of 4.3% and 3.5% in volume.