Milk Protein Hydrolysate Market Size

Milk Protein Hydrolysate Market Size

The global milk protein hydrolysate market size was valued at USD 2.9 billion in 2024 and is estimated to grow at a CAGR of over 8.7% from 2025 to 2034. Milk protein hydrolysates are gaining traction in infant nutrition, sports supplements, and medical nutrition, thanks to their superior digestibility and bioavailability. These hydrolysates find their way into hypoallergenic formulas and functional foods, bolstering muscle recovery, immune health, and overall wellness.

The upward trajectory of this trend is fueled by a growing health consciousness, a surge in demand for high-protein diets, and an appetite for specialized nutrition products. Moreover, innovations like enzymatic hydrolysis in production techniques, coupled with heightened research on bioactive peptides derived from milk proteins, are propelling market growth, especially in the realms of sports nutrition and infant formulas.
 

The milk protein hydrolysate industry is witnessing robust growth, primarily driven by the surging demand for digestible and allergen-free protein sources, with a keen focus on infant and sports nutrition. As health awareness rises and high-protein diets gain traction, consumers are gravitating towards functional foods that promise benefits beyond mere sustenance. Technological advancements in hydrolysis are not only refining the production of bioactive peptides but also amplifying their use in niche dietary products.
 

Furthermore, with an aging population and a rise in chronic diseases, there's an escalating demand for medical nutrition solutions, bolstering the market's expansion. Highlighting the industry's dynamism, in November 2022, Arla Foods Ingredients made waves in the healthy beverage arena with its groundbreaking Refreshing Fermented Protein drink. Harnessing the prowess of 100% whey-based hydrolysates, notably Lacprodan HYDRO.365 and Nutrilac FO-8571, the product sets a new benchmark in the quality of fermented protein beverages.