Dairy Cream - Market Share Analysis, Industry Trends & Statistics, Growth Forecasts (2026 - 2031)

Dairy Cream Market Analysis

The dairy cream market was valued at USD 25.12 billion in 2025 and estimated to grow from USD 26.57 billion in 2026 to reach USD 35.14 billion by 2031, at a CAGR of 5.76% during the forecast period (2026-2031). Health-conscious consumers are increasingly scrutinizing fat content; however, the demand for dairy cream remains strong. This demand is driven by factors such as ongoing premiumization, the rapid expansion of foodservice channels, and the growing number of home bakers. Europe continues to dominate the category by capitalizing on its artisanal positioning and well-established cold-chain infrastructure. Meanwhile, the Asia-Pacific region is experiencing the highest volume growth, fueled by urbanization, the increasing adoption of digital grocery platforms, and the influence of Western eating habits. Companies in the market are actively focusing on expanding production capacities, introducing innovative flavors, and utilizing advanced shelf-life technologies. These efforts enable processors to secure higher profit margins and effectively manage fluctuations in raw milk costs.

Global Dairy Cream Market Trends and Insights

Growth of convenience foods demand

The growing demand for convenience foods is a significant driver in the dairy cream market. Consumers increasingly prefer ready-to-eat and easy-to-prepare food products due to their busy lifestyles and the need for time efficiency. Dairy cream, being a versatile ingredient, is widely used in various convenience food products, including desserts, sauces, bakery items, and ready-made meals. This trend is further supported by the expanding urban population and the increasing number of working professionals, who seek quick meal solutions without compromising on taste, texture, and quality. Additionally, the rise in disposable income and changing dietary preferences are contributing to the growth of convenience foods, thereby boosting the demand for dairy cream. The growing influence of Western food culture in developing regions has also led to an increased consumption of convenience foods, further driving the demand for dairy cream. Moreover, advancements in food processing technologies have enabled manufacturers to develop innovative dairy cream-based products with extended shelf life, catering to the evolving needs of consumers.

Expansion of bakery and confectionery industries

The bakery and confectionery industries are expanding, driving the growth of the dairy cream market. The increasing demand for bakery and confectionery products, such as cakes, pastries, cookies, and chocolates, has significantly boosted the consumption of dairy cream as a key ingredient. Dairy cream is widely used in these industries for its rich texture, flavor enhancement, and versatility in various recipes. Additionally, the growing trend of premium and artisanal bakery products has further fueled the demand for high-quality dairy cream. This expansion is supported by changing consumer preferences, rising disposable incomes, and the increasing popularity of indulgent food products, making the bakery and confectionery industries a critical driver of the dairy cream market. Furthermore, the rise of innovative product offerings, such as cream-filled desserts and fusion bakery items, has amplified the need for dairy cream. The growing influence of Western food culture in emerging markets and the increasing penetration of organized retail chains have also contributed to the rising demand for bakery and confectionery products, thereby boosting the dairy cream market.

Increasing health awareness and shift to low-fat and plant-based alternatives

Health-conscious consumers are increasingly opting for low-fat and plant-based alternatives, which poses a significant restraint on the growth of the global dairy cream market. The rising awareness about the adverse health effects of high-fat dairy products, such as increased cholesterol levels, obesity, and heart-related issues, has led to a substantial shift in consumer preferences. This trend is further fueled by the increasing prevalence of lifestyle diseases, which has prompted individuals to adopt healthier dietary habits. Additionally, the growing popularity of plant-based diets, driven by ethical concerns, environmental sustainability, and health considerations, has further accelerated this transition. Consumers are now actively seeking dairy cream substitutes made from almond, soy, oat, coconut, and other plant-based sources, which directly impacts the demand for traditional dairy cream products. The availability of innovative plant-based cream alternatives with improved taste, texture, and nutritional profiles has also contributed to this shift. According to the Good Food Institute, 59% of United States households purchased plant-based foods in 2024, with nearly 80% demonstrating repeat purchase behavior . This data highlights the growing consumer inclination toward plant-based products, further intensifying the challenges faced by the traditional dairy cream market.

Other drivers and restraints analyzed in the detailed report include:

1. Urbanization and changing dietary habits
2. Innovation in product formulations and flavors
3. Fluctuations in raw milk prices

For complete list of drivers and restraints, kindly check the Table Of Contents.

Segment Analysis

The whipping cream segment holds the largest market share, commanding approximately 29.86% of the dairy cream market in 2025. This dominance is attributed to its widespread use in culinary applications due to its rich texture and versatile functionality. Whipping cream remains a staple in foodservice and retail sectors, favored for its ability to enhance desserts, beverages, and savory dishes. Its popularity is reinforced by established consumer familiarity and broad availability. The segment benefits from consistent demand driven by both commercial and household use, serving as a reliable revenue driver for market players. Despite the growth of alternative cream types, whipping cream maintains a stronghold through product innovation and premium offerings.

In contrast, the fresh cream segment is emerging as the fastest-growing category, expected to achieve a CAGR of 6.43% through 2031. This robust growth reflects increasing consumer preference for minimally processed dairy products that align with clean-label trends and premium positioning strategies. Fresh cream appeals to health-conscious consumers seeking natural, less-processed options without compromising on taste or functionality. This segment is benefiting from rising awareness around ingredient transparency and the demand for clean-label products in both retail and foodservice channels. Its growth highlights a market evolution toward offerings that combine health benefits with culinary performance. Fresh cream’s momentum is further supported by innovations in packaging and shelf life extension, enabling wider adoption across geographic regions.

The Dairy Cream Market Report is Segmented by Product Type (Fresh Cream, Thickened Cream/Heavy Cream, Whipping Cream, Sour Cream, Other Types), Packaging (Cartons, Plastic Tubs, Glass Jars, Others), Distribution (On-Trade and Off-Trade), and Geography (North America, Europe, Asia-Pacific, South America, Middle East and Africa). The Market Forecasts are Provided in Terms of Value (USD) and Volume (Units).

Geography Analysis

In 2025, Europe commands a dominant 35.98% share of the dairy cream market, highlighting its well-established and mature dairy processing infrastructure. The region benefits from a long-standing tradition of dairy production, which has evolved to meet the sophisticated preferences of its consumers. European consumers exhibit a strong inclination toward premium products, including organic and artisanal dairy cream, which aligns with their demand for high-quality and sustainably sourced goods. Additionally, the region's robust regulatory framework ensures product safety and quality, further enhancing consumer trust. The presence of leading dairy companies and their focus on innovation and product diversification also contribute to Europe's market leadership. This dominance is further supported by the region's extensive distribution networks, which facilitate the availability of dairy cream across various retail and foodservice channels.

Asia-Pacific is set to outpace other regions with a remarkable 6.22% CAGR through 2031, driven by rapid urbanization and the increasing adoption of Western dietary habits. The region's growing middle-class population, coupled with rising disposable incomes, has significantly boosted the demand for dairy cream, particularly in urban centers. Major metropolitan areas, such as Beijing, Mumbai, and Jakarta, are witnessing a surge in the consumption of dairy-based products, including cream, as consumers seek convenience and indulgence in their food choices. China, in particular, represents the largest growth opportunity within the region, despite facing economic challenges such as real estate sector instability and elevated youth unemployment. These factors may temper near-term consumption growth; however, the long-term outlook remains positive due to the country's large population base and increasing awareness of dairy's nutritional benefits. Furthermore, the expansion of e-commerce platforms and the growing influence of Western culinary trends are expected to further drive the demand for dairy cream in the region.

North America continues to maintain steady growth in the dairy cream market, supported by technological advancements and a well-established foodservice infrastructure. The region's dairy industry is characterized by its focus on innovation, with companies investing in advanced processing techniques and the development of new product formulations to cater to evolving consumer preferences.

South America and the Middle East and Africa are emerging as promising markets for dairy cream, driven by economic development and evolving dietary patterns. In South America, countries such as Brazil and Argentina are witnessing a gradual shift in consumer preferences toward dairy-based products, supported by rising incomes and urbanization. Meanwhile, in the Middle East and Africa, the increasing adoption of Western lifestyles and the rising awareness of dairy's nutritional benefits are driving incremental growth in the market.

List of Companies Covered in this Report:

1. Groupe Lactalis
2. Nestlé S.A.
3. Fonterra Co-operative Group Limited
4. Dairy Farmers of America, Inc.
5. Arla Foods AMBA
6. Saputo Inc.
7. Schreiber Foods
8. Dean Foods
9. The Kraft Heinz Company
10. Gujarat Cooperative Milk Marketing Federation (Amul)
11. FrieslandCampina N.v.
12. Danone S.A.
13. Valio
14. Clover Industries
15. Almarai
16. Bulla Dairy Foods
17. Woodlands Dairy
18. Prairie Farms Dairy
19. Agropur Cooperative
20. Fauji Foods (Nurpur)

Additional Benefits:

• The market estimate (ME) sheet in Excel format
• 3 months of analyst support