Baby Milk Market Size - By Product Type, Ingredient Type, Form, Source, Nature, Distribution Channel, Growth Forecast, 2025 - 2034

Baby Milk Market Size

The global baby milk market size was valued at USD 16.5 billion in 2024, with expectations to reach USD 27.7 billion by 2034, growing at a CAGR of 5.4%.
 

The baby milk industry is essential in aiding infant feeding for mothers that cannot breastfeed for some reason, or who take the option of not ensuing to do so. This sector includes a range of products such as infant formula (0-6 months), follow-on formula (6-12 months), growing-up milk (12-36 months), and specialized hypoallergenic, lactose-free and preterm baby formulas. These products are designed to provide infants with appropriate proteins, fats, carbohydrates, vitamins, and minerals crucial for healthy development by emulating breast milk.
 

The application of baby milk products is more segmented by age and particular health concerns. In the early month’s infancy, a baby is completely catered to in terms of nutrition using infant formula. Growing up milk logically serves as a booster for solid foods mid-toddler age. Specialist formulas tackle problems like allergy, lactose, intolerance, preterm birth etc that require focused sustenance.
 

Major contributors towards competition include enhanced non-subsidized economy as well as the non-GMO and organic reasoning behind them, priced reasonably. Also, more women joining the working base, awareness towards infant nutrition changes, and better availability via e-commerce websites, pharmacies, and school vendors has generally boosted the use of the services provided.
 

Regulatory policies, innovation in formula ingredients such as probiotics and human milk oligosaccharides and growing demand for clean-label and sustainable products also shape market dynamics. Collectively, these elements portray the baby milk market as one of the vibrant and critical components of the worldwide nutrition industry.
 

For instance, according to the CIA World Factbook, Niger has the highest birth rate in the world at 44.5 average annual births per 1,000 people per year. The birth rate in Angola decreased significantly from 46.89 in 2000 to 37.1 in 2024. High birth rates in countries like Niger and Angola support steady demand for baby milk, positively impacting market growth by expanding the consumer base for infant nutrition products.
 

Baby Milk Market Trends

Due to the changes in technology, shifts in consumer behaviour, and policy changes, the baby milk market is undergoing rapid transformation. Parents’ concerns regarding synthetic additives and their consequences are increasing which is propelling the market for organic, non-GMO, and clean label formulas. There is an increasing concern among parents regarding products that help in immune system health, gut development, and are breast milk substitutes, prompting them to be better informed. 
 

Product formulation is undergoing change due to technological advancements. Enhancements to the nutritional profile now include the addition of HMOs, probiotics, and other bioactive proteins. Moreover, precision fermentation and biotechnology are being employed to manufacture formulas with components that, more than ever, make comparative human nutrients and bioavailable nutrients closely resemble breast milk. 
 

Company-led product innovation is strong as they focus on bringing plant-based, hypoallergenic alternatives, and even formulas for premature infants. With these changes, there is also a shift towards sustainability, increased focus on the transparency of ingredients used with labelling, and personalization. 
 

Internationally, regulations differ from one region to another, which directly impacts market access and product development. To ensure the best possible safety standards and nutritional adequacy, both the FDA (U.S.) and EFSA (Europe) alongside CFDA (China) force requirements on barring free guidelines.
 

Safety, traceability, and long-term developmental benefits are some focal points of parental concern. Brands that strategically market scientific evidence and traceable high-quality formulations are gaining a competitive advantage in the emerging global marketplace. 
 

Baby Milk Market Analysis

Based on product type the baby milk market is segmented into infant formula (0-6 months), follow-on formula (6-12 months), growing-up formula (12-36 months), specialty baby formula. The infant formula accounted for 40.2% of the market share in 2024 and is expected to grow with the CAGR of 5.6% in 2034.
 

• Due to its unparalleled value as a complete nourishment substitute for non-breastfed newborns, the milk formula industry is still led by its Infant Formula (0-6 months) segment. This is an important period within the first few years of life, so parents have great trust in scientifically formulated products designed to meet the crucial intake of various building blocks.
   
• In contrast, Follow-on Formula (6-12 months) and Growing-up Formula (12-36 months) are designed to aid toddlers as they shift from purees and baby food to more solid meals. Specialty baby formula is still a niche segment but caters to specific health needs like lactose intolerance or allergies. Regardless, these segments do not come close to the universally accepted infant formula on which specialized segments are built.
   

Based on ingredient type the baby milk market is segmented into carbohydrates, fats, proteins, vitamins & minerals, prebiotics & probiotics, others. Carbohydrates hold the market share of 28.1% in 2024 and expected to grow at a faster rate of 5.5% CAGR in 2034.
 

• Carbohydrates, specifically in the form of lactose, have a leading role in the composition of baby formulas as they are critical in providing energy needed for growth and development, as well as for rapid brain development. They also greatly enhance the growth of beneficial bacteria in the intestines and assist in absorbing calcium, which makes their role increasingly significant.
   
• Though proteins, prebiotics, probiotics, fats, vitamins & minerals are equally important to function such as tissue growth, immune support, metabolism, bone health, and lipid aided brain development, they work best synergistically with carbohydrates making them the dominant ingredient for nearly every baby milk formulation.
   

Based on form the baby milk market is segmented into powder, liquid concentrate, ready-to-feed. The powder holds a significant market size of USD 10.8 billion of the market in 2024.
 

• The market is dominated by powdered formulas because they are economical, inexpensive to ship, have a long shelf life, and are easy to store. This is the best option available for families living in developing regions which are highly price sensitive. Healthcare facilities, retail shops, and pharmacies are also keen to order these formulas due to their lower logistical costs and reduced refrigeration requirements.
   
• Some consumers may perceive the need to refrigerate and dilute liquid concentrate as more efficient in form, but considering the preparation step, the time spent increases. As with the feeding ready formulas, no prior preparation is needed, which makes it very convenient, but it is the most expensive option and has a shorter shelf life. The growth in popularity of these formats is on the rise, though practicality and demand still support the advancement of powdered formula.
   

Based on source the baby milk market is segmented into cow milk based, soy based, goat milk based, other plant-based alternatives. The cow milk segment holds a significant market size of USD 11.6 billion of the market in 2024.
 

• The infant milk formula market is largely dominated by cow milk-based formula which supports and maintains infant growth and development due to its nutritional profile in comparison to breast milk. It is accepted widely by parents as well as health care professionals as the standard option for nearly every baby who does not have any allergies or sensitivity.
   
• Dietary balance exists in cow milk’s protein, fats, and carbohydrates, thus serving the nutritional needs of infants. Moreover, other nutrients are frequently added to enrich its value toward infants. Its widespread use is attributed to easy access and low cost, coupled with the system developed for its production.
   
• While soy based and goat milk-based formulas serve as alternatives for lactose intolerant infants or those with cow milk protein allergies, other plant-based alternatives appeal to vegans but occupy niche segments relative to the plethora of cow milk-based alternatives.
   

Based on nature the baby milk market is segmented into conventional, organic, non-GMO. Conventional holds the market share of 60.2% in 2024 and expected to grow at a faster rate of 5.5% CAGR in 2034.

• Even with the increasing concern for health and the environment, organic and non-GMO formulas still cater to a niche premium market due to high cost. Conventional formulas easily dominate the market because they are low cost and readily available. Unlike organic formulas, conventional milk products are produced on a mass scale which ensures widespread availability in retail stores across multiple regions. Although the popularity of organic and non-GMO baby milk formulas is on the rise, they still need to be priced lower and made more accessible in specific areas to compete against the firm hold conventional formulas.
   

Based on distribution channel the baby milk market is segmented into hypermarkets & supermarkets, pharmacies & drug stores, convenience stores, online retail, specialty stores, others. Hypermarkets & supermarket holds the market share of 30.2% in 2024 and expected to grow at a faster rate of 5.6% CAGR in 2034.
 

• The preferred channels of distribution remain hypermarkets and supermarkets, owing to their assortment and the pricing of products. These retailers enable parents to facilitate one-stop shopping as they simultaneously compare several brands and formulations within the same visit. Their expansive shelf space allows for bulk buying and promotional offers, enhancing affordability. Pharmacies and drug stores are trusted for catering to expert recommendations, especially for specialty or medical formulations. Convenience Stores assist in small, immediate purchases but have a narrow selection.
   

In the baby milk market, U.S. accounts the major share in North America by accounting USD 3.9 billion in 2024 and is expected to grow at a CAGR of 4.4% in 2034.
 

• In North America, the United States has a well-established infant formula industry owing to its robust manufacturing and ample distribution infrastructure alongside an extremely educated populace. Competitors’ product sufficiency and innovation are enhanced by the presence of key infant formula marketers in the country such as Abbott Laboratories, Mead Johnson (Reckitt), and Nestlé in the United States.
   
• Infant dietary needs, fuel demand for conventional and specialty formulas, making the U.S. a key market for both. Strong market barriers combined with extensive research and development add to the existing trust of the consumers. Economically priced and easily accessible to numerous consumers in the United States, the U.S. reigns over Canada in the infant formula industry leading North American markets.
   

Baby Milk Market Share

Top 5 companies include Arla Foods amba, Ausnutria Dairy Corporation Ltd., Abbott Laboratories, Bellamy's Organic, Biostime (H&H Group). These are prominent companies within the baby milk industry operating in their respective regions. These companies hold strong positions globally due to their extensive experience in baby milk market. Their diverse product portfolios, backed by robust production capabilities and distribution networks, enable them to meet the rising demand for baby milk across various regions.
 

Baby Milk Market Companies

Arla Foods amba: The company produces cow milk-based baby formulas. Arla Foods is known to market high quality baby formulas around the world. Arla is known to compete in baby nutrition industry over premium organic offerings in emerging markets. Arla also focuses on clean label innovation in baby nutrition.
 

Ausnutria Dairy Corporation Ltd.: The company started having a niche position with their vertically integrated supply chain that focused on the digestibility and hypoallergenic features of goat milk. Their premium, hypoallergenic source of sensitive infant nutrition is gaining them popularity in Asia and the Western markets.
 

Abbott Laboratories: Abbott dominates the global market of baby milk products, particularly in North America, with flagship products such as Similac. Abbott possesses long-standing brand equity, strong relationships with retailers, and even boasts notable government contract affiliation. Besides these strengths, the company’s emphasis on innovation with specialty formulas, such as hypoallergenic and premature infant formulas, sets it apart.
 

Bellamy’s Organic: Bellamy’s Organic is an Australian brand that offers organic formula and baby food. Its competitive advantage stems from a clean organic image backed by certifications and strict policies regarding sourcing. In China, Bellamy's is popular among health-conscious parents who are concerned with meeting certified organic standards for imported products. The company takes advantage of the Australian-made label and is expanding through online sales, specialty retailers, and targeted marketing.
 

Biostime (H&H Group): H&H Group’s Biostime is one of the leading Chinese premium infant formula brands. The company offers cow and goat milk-based products and has further branched out into probiotics and supplements. Biostime’s competitive advantage stems from its robust market presence and the focus on scientifically developed nutrition formulas. Domestically, Biostime enjoys a strong reputation which is increasingly bolstered overseas as well, leveraging partnerships with European dairy producers.
 

Baby Milk Industry News:

• In July 2023, Danone Early Life Nutrition introduced a new infant formula containing milk droplets that closely mimic the structure found in mother's milk in China.
   
• In May 2022, Nestlé Health Science acquired The Bountiful Company, including Osteo Bi-Flex, Nature's Bounty, Solgar, Ester-C, Puritan's Pride, and Sundown. This initiative, intended to attract customers in the global nutrition and supplement category, will enable the company to strengthen its footprint in the infant formula industry.
   

The baby milk market research report includes an in-depth coverage of the industry with estimates and forecast in terms of revenue in USD Billion from 2021 - 2034 for the following segments:

Market, By Product Type

• Infant formula (0-6 months)
• Follow-on formula (6-12 months)
• Growing-up formula (12-36 months)
• Specialty baby formula
  • Hypoallergenic formula
  • Lactose-free formula
  • Premature baby formula
  • Other specialty formulas

Market, By Ingredient Type

• Carbohydrates
• Fats
• Proteins
• Vitamins & minerals
• Prebiotics & probiotics
• Others

Market, By Form

• Powder
• Liquid concentrate
• Ready-to-feed

Market, By Source

• Cow milk based
• Soy based
• Goat milk based
• Other plant-based alternatives

Market, By Nature

• Conventional
• Organic
• Non-GMO

Market, By Distribution Channel

• Hypermarkets & supermarkets
• Pharmacies & drug stores
• Convenience stores
• Online retail
  • E-commerce platforms
  • Direct-to-consumer websites
  • Subscription services
• Specialty stores
• Others

The above information is provided for the following regions and countries:

• Key trends
• North America
  • U.S.
  • Canada
• Europe 
  • Germany
  • UK
  • France
  • Italy
  • Spain
• Asia Pacific
  • China
  • India
  • Japan
  • Australia
  • South Korea
• Latin America
  • Brazil
  • Mexico
  • Argentina
• Middle East & Africa
  • Saudi Arabia
  • South Africa
  • UAE