Summary: Ireland targeting ASEAN for dairy growth
- Bord Bia has launched a €3.2m (US$3.76m) campaign to boost Irish dairy exports in Asia
- South East Asia’s dairy market is projected to grow at a 7.8% CAGR over five years, with continued reliance on imports.
- ASEAN dairy imports are expected to surpass China’s by 2030, despite China’s large domestic production.
- Rising populations, income growth, and a growing middle class in SEA are driving demand for premium dairy.
- By 2050, 20.3% of SEA’s population will be elderly, increasing demand for high-protein dairy products.
The Irish Food Board (Bord Bia) recently announced the launch of a three-year campaign valued at EUR3.2m (US$3.76m), focused on driving Irelands’ dairy products in Asia, with Singapore, Vietnam and China at the heart of this initiative.
Dairy is already Ireland’s largest food export, valued at EUR6.3bn (US$7.4bn) in 2024 – but Asia makes up for just 11% of its total dairy exports behind the EU (38%), the United Kingdom (17%) and North America (14%).
“We believe there is a lot more potential for Irish dairy to grow in Asia and particularly to South East Asia, as the dairy industry here is expected to grow at 7.8% CAGR in the coming five years – and importantly, this region will remain reliant on dairy imports to meet demand,” Bord Bia Director for South East Asia and Australia Lisa Phelan told us.
“Indeed, expert consultancy firms such as GIRA have predicted that combined ASEAN dairy imports in this period are likely to surpass that of China by 2030.”
China would be one of the world’s largest dairy markets due to population size and strong government support for the industry, but is unlikely to rely strongly on dairy imports due to the emergence of local dairy giants like Yili and Mengniu.
“New opportunities in this region are also supported by macroeconomic trends such as an increasing population driving demand, and well as increased income leading to a growing middle class with better spending power, keen to purchase higher quality dairy products,” she added.
“It is also worthwhile to note that this region is going to be home to a large number of elderly consumers, a segment expected to make up 20.3% of the population here by 2050, and their needs tie in well with dairy’s high protein content.”
Grass-fed protein
Dairy growth is expected to be closely tied in with new product innovations focused on protein-fortified products.
“Dairy research has advanced to the point where a very wide range of foods and beverages can contain dairy protein for various functions,” Bord Bia SEA market specialist Patrick Lim added.
“This can include dairy casein protein as a nutritional fortifier in bread and biscuits or an emulsifier in meat processing, or whey protein being used as a health supplement to meet specific nutritional needs, such as for athletes or seniors.”
The agency has also claimed that Irish dairy is one of the best in the world for both food and nutraceutical purposes due to the milk being certified under the Grass Fed Standard.
“This standard is the world’s first independently-verified grass-fed certification, and provides reassurance that these dairy products have been made with milk from Irish grass-fed cows,” he said.
“Demand for grass-fed dairy is on the rise due to its many benefits, from sustainability to nutrition – Grass-fed dairy has been shown to have higher levels of beneficial nutrients compared to indoor-based dairy.”
Among the many beneficial nutrients in dairy are specialised ones that can target different demographics and health conditions.
Examples include milk fat globule membrane (MFGM) for middle-aged and elderly individuals to support brain health; lactoferrin and α-lactalbumin to strengthen the immune system of young children; and the well-known colostrum for infants, popular as a fortification ingredient for infant formula in markets such Vietnam.
