Butter Market Research Reports & Industry Analysis

Butter, like all food products, is at the mercy of supply and demand. Butter supply is dependent on milk production. Extremes in temperature or drought brings the supply down; cows simply aren’t producing milk. This scarcity is passed on to the consumer via higher prices. When external conditions are good, the cows are happy and they produce more than enough milk. There is a surplus of butter and prices go down. Prices have risen in the recent era due to the reduction of government price support programs.

All butter comes from dairy cows. It is a yellowish white mixture of fat, water, and the inorganic salts created when cow’s milk or cream is churned into butter. Butter contains largely Vitamin A, plus small amounts of calcium and phosphorus. Carotene gives it the yellowish-white pigment. (In the United States, manufacturers are allowed to add vegetable color to make butter more yellow.)

Butter in the United States is made under strict FDA regulations. Fresh milk is first inspected for weight, quality, and milkfat levels. The cream is then separated and pasteurized with at least 161◦ heat for about 15 seconds. Ultra-pasteurized milk is heated to at least 280 for 2 seconds. This extreme heat kills bacteria and gives the butter more shelf life. After pasteurization is complete, the cream is churned until it is solid: butter. The butter is then packaged and ready to be shipped to market.

All butter is considered food; it must contain at least 80% milkfat to be considered butter. There are three different types:

  • Lightly salted butter is used primarily for basic cooking. It usually comes in pre-measured sticks.
  • Unsalted butter is preferred for baking and for people on salt-restricted diets. It too usually comes in pre-measured sticks.
  • Whipped butter, made by whipping air or nitrogen into soft butter, makes spreading more convenient. It usually comes in tubs.
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Butter Industry Research & Market Reports

  • Slovenia Butter and Spreads

    ... consumption. Saturated fats have been the subject of negative publicity across both national and social media, which has heightened consumer awareness of their potential harmful effects. As a result, many Slovenians are reducing their intake ... Read More

  • Creamery Butter Manufacturing - 2024 U.S. Market Research Report with Updated Recession Risk Forecasts

    ... the United States with over 100 data sets covering 2015-2028. This 63-page Kentley Insights report is packed with insightful data sets and forecasts to give you a comprehensive understanding of the industry including historical and ... Read More

  • Canada Butter and Spreads

    ... softening retail current value growth at the end of the review period. However, overall retail volume growth is also set to be slower than in 2023, underpinned by a decline in the demand for cooking ... Read More

  • 2024 Global: Dairy Machinery (Including Homogenisers, Irradiators, Butter-Making Machines, Cheese-Making Machines) Products-Manufacturing Forecast (2030) report

    ... projected growth/decline and regional data for the period 2019 through 2030. Perry/Hope Partners' reports provide the most accurate industry forecasts based on our proprietary economic models. Our forecasts project the product market size nationally and ... Read More

  • Sweden Butter and Spreads

    ... Rapeseed is increasingly seen as a local superfood; besides its cholesterol-lowering attributes, the Becel brand points out that its products have a natural content of omega-3 and omega-6, due to the rapeseed content. Valio, meanwhile, ... Read More

  • Kenya Butter and Spreads

    ... for cooking fats, but continue to fall strongly for butter. Kenyan consumers remain price-sensitive and tend to opt for cooking fats and margarine and spreads or alternatives instead. In addition, severe drought conditions have hampered ... Read More

  • Shortenings

    ... of 4.4% over the analysis period 2023-2030. Oil Ingredient, one of the segments analyzed in the report, is expected to record a 4.9% CAGR and reach US$2.2 Billion by the end of the analysis period. ... Read More

  • Uzbekistan Butter and Spreads

    ... increased sales. Also, an increasing range of local brands, which are more affordable, also supports sales. Euromonitor International's Butter and Spreads in Uzbekistan report offers in-depth knowledge of the market at a national level, providing ... Read More

  • Malaysia Butter and Spreads

    ... drop strongly. Cooking fats is expected to see a double-digit drop in retail volume sales, with demand dampened as these products are not widely used in the home and awareness is low. In terms of ... Read More

  • Serbia Butter and Spreads

    ... popularity, attracting consumers with their lower prices. Price-sensitive Serbian consumers are particularly drawn to products on discount, prompting producers to frequently offer price reductions to remain competitive. The presence of private label products, which often ... Read More

  • Cameroon Butter and Spreads

    ... the French-speaking regions of the country and in areas serving expatriates and tourists. Most consumers who purchase butter through the retail channel are generally less price-sensitive compared to those looking for margarine and spreads. Therefore, ... Read More

  • Slovakia Butter and Spreads

    ... being a traditionally popular and widely used product in the country. We also note that the steep unit price hikes previously seen in butter are stabilising, which helps to support sales. Added to which, retailers ... Read More

  • The Philippines Butter and Spreads

    ... as adobo variations, and are also popular as spreads for bread, making them a versatile ingredient in everyday meals. The retail value growth in this category has been significantly driven by efforts from key players ... Read More

  • South Africa Butter and Spreads

    ... alternatives. However, there is still elevated retail demand for butter compared to pre-pandemic levels, as it is a core ingredient for certain recipes. This is resulting in consumers shifting their spending patterns to account for ... Read More

  • Tunisia Butter and Spreads

    ... butter brands in both modern and traditional grocery retailers. Low levels of milk production were caused by a range of factors, including poor weather conditions and the high cost of animal feed. This shortage resulted ... Read More

  • Pakistan Butter and Spreads

    ... capitalising on their established distribution networks and strong brand loyalty to secure a share of the butter market. In addition to these expansions, innovations in packaging and flavour diversity are being introduced to appeal to ... Read More

  • Taiwan Butter and Spreads

    ... begin indulging in dining out again, significantly reducing the demand for butter which is used in home cooking and baking. This trend has continued into 2024 with it undermining the retail demand for butter. Additionally, ... Read More

  • Turkey Butter and Spreads

    ... category, butter continues to see a healthy rebound in consumption in 2024. The decrease in the demand for butter demand coincided with a notable reduction in butter production in 2022. This was informed by export ... Read More

  • Singapore Butter and Spreads

    ... used as an ingredient in the preparation of numerous dishes sold through foodservice outlets. Meanwhile, international tourist arrivals to Singapore in 2023 fell short of the Singapore Tourism Board’s estimates, achieving approximately 71% of the ... Read More

  • Nigeria Butter and Spreads

    ... brands in this category have risen sharply, consumers, faced with diminished buying power, have significantly reduced their consumption. Despite this, margarine has maintained a relatively stable position, as many consumers consider it an essential product, ... Read More

  • Uruguay Butter and Spreads

    ... was largely attributed to product shortages resulting from conflicts between key producers and trade unions. The butter and spreads category is mature, with Uruguay boasting one of the highest per capita consumption rates in Latin ... Read More

  • Lithuania Butter and Spreads

    ... 2022, when high inflation led to a sharp increase in unit prices, the stabilisation of the economy has renewed consumer interest in butter, which is cherished in Lithuania for its rich taste and natural qualities. ... Read More

  • Israel Butter and Spreads

    ... prices of their non-price controlled dairy products as well. This led to an increase in the prices of butter, which has been removed from the price control mechanism. Until 2020, butter was subject to a ... Read More

  • Guatemala Butter and Spreads

    ... then butter. Cooking fat is expected to register the highest value and volume growth, largely due to its affordability. Butter is mainly bought by higher-income consumers and there are numerous brands available in modern grocery ... Read More

  • Kazakhstan Butter and Spreads

    ... to the more negative performance of margarine and spreads, while butter achieved positive volume growth. Butter is seen as a healthier option compared to margarine and spreads, due to its more natural composition and lower ... Read More

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