Low-Fat Cheese Market Forecasts to 2030 – Global Analysis By Product (Feta, Ricotta, Mozzarella Sticks, Hard Cheese, Cheddar and Parmesan), Distribution Channel (Food Service, Retail, Hypermarkets & Supermarkets, Convenience Stores, Online and Other Distr

According to Stratistics MRC, the Global Low-Fat Cheese Market is accounted for $115.40 billion in 2024 and is expected to reach $159.12 billion by 2030 growing at a CAGR of 5.5% during the forecast period. Low-fat cheese is a healthier alternative to traditional cheese, offering a reduced fat content while retaining much of the rich flavour and creamy texture that cheese lovers enjoy. Skimmed or partially skimmed milk is used to make this kind of cheese, which drastically reduces the amount of calories and saturated fats. It is the best option for people who are concerned about their health and want to control their weight, cholesterol, or total intake of fat from food. Moreover, low-fat cheese can be added to a variety of foods, including salads, sandwiches, and baked goods. It comes in slices, blocks, and spreads.

According to the American Heart Association (AHA) recommends low-fat cheese as part of a heart-healthy diet to reduce saturated fat intake. They suggest choosing low-fat cheeses with no more than 3 grams of fat per ounce and no more than 1 gram of saturated fat per ounce.

Market Dynamics:

Driver:

Rising interest in functional foods

Demand is rising for functional foods that offer more health benefits than just basic nourishment. Low-fat cheese, which has a high protein and calcium content but a low fat content, is a great choice for people who want to maintain muscle mass, improve bone health, or maintain a balanced diet. Additionally, it has also become a favorite ingredient for kids' meals among health-conscious parents, who like that it offers nutritional benefits without being overly fattening.

Restraint:

Challenges with taste and texture

The idea that low-fat cheese tastes and feels less good than full-fat cheese is one of the main obstacles preventing it from becoming widely accepted. Fat reduction frequently affects cheese's flavor, creaminess, and meltability—three important qualities that customers appreciate. Furthermore, when compared to traditional cheese products, low-fat cheese is less appealing because many consumers still believe it to be less tasty or pleasurable, even though technological advancements have improved these qualities over time.

Opportunity:

Growing interest in effective food substitutes

The demand for food products that provide improved nutritional profiles without sacrificing taste is growing as global health consciousness continues to rise. Since low-fat cheese appeals to consumers looking for high-protein, low-calorie options that promote heart health and weight management, it is well-positioned to profit from this trend. Moreover, by reaching out to particular consumer groups, like athletes, fitness enthusiasts, and people with dietary restrictions who are actively searching for healthier food options, the market can grow even more.

Threat:

Tough competition in the dairy sector

Traditional full-fat cheese producers and plant-based cheese producers are major rivals in the low-fat cheese market. Shelf space is frequently dominated by well-known dairy brands with a sizable market share, making it challenging for low-fat cheese products to stand out. Additionally, the competition has gotten fiercer due to the growing popularity of plant-based and vegan cheese alternatives, making it harder for producers of low-fat cheese to hold onto market share and draw in health-conscious customers.

Covid-19 Impact:

The market for low-fat cheese was affected by the COVID-19 pandemic in a number of ways. First, supply chain disruptions and changes in consumer priorities affected sales. Logistics issues and lockdowns delayed production and delivery, and many consumers resorted to comfort foods, choosing decadent, full-fat cheese over healthier alternatives. The demand for wholesome, low-fat food items, like cheese, increased as the pandemic spread due to increased awareness of immunity and health. Furthermore, the move to e-commerce and home cooking also gave low-fat cheese brands a chance to connect with health-conscious consumers, cancelling out the initial setbacks and paving the way for a slow market recovery.

The Mozzarella Sticks segment is expected to be the largest during the forecast period

The Mozzarella Sticks segment is expected to account for the largest market share during the forecast period. Mozzarella is a popular choice because of its mild flavor, versatility, and widespread use in a variety of cuisines, especially in sandwiches, salads, and pizzas. It is a popular choice for consumers who are health-conscious because of its reduced fat content when compared to traditional cheeses. Moreover, mozzarella's dominance in the low-fat cheese market can be attributed to both the growing demand for healthier eating options and the global appeal of Italian cuisine. It is also very convenient for foodservice providers and retail customers because it comes in shredded, block, and string forms.

The Online segment is expected to have the highest CAGR during the forecast period

Over the forecast period, the Online segment is predicted to witness the highest growth rate. Low-fat cheese is increasingly being bought online by consumers due to the quick expansion of e-commerce platforms and their growing desire for convenience. Online platforms serve the hectic lifestyles of health-conscious customers by providing a wide range of product options, competitive pricing, and doorstep delivery. Additionally, the growing popularity of online channels for buying low-fat cheese can also be attributed to e-commerce's capacity to deliver comprehensive product information, customer reviews, and promotional offers.

Region with largest share:

During the forecast period, the North American region is expected to hold the largest market share. Low-fat and lower-calorie cheese options are becoming more popular in the region due to the strong emphasis on health and wellness trends as well as growing worries about obesity and heart disease. Due to its high level of innovation in low-fat cheese varieties and its extensive availability across retail and foodservice channels, the United States, in particular, plays a significant role in this market. Furthermore, the area also gains from sophisticated distribution networks and well-established dairy production systems, which increase its market share even more.

Region with highest CAGR:

Over the forecast period, the Asia-Pacific region is anticipated to exhibit the highest CAGR. Low-fat cheese options are becoming more and more popular as consumer preferences change toward healthier options and Western dietary practices continue to have an impact on nations like China, India, and Japan. This trend is being fuelled by the region's growing middle class, growing urbanization, and rising disposable incomes. Additionally, the demand for wholesome cheese substitutes is rising as more consumers become health-conscious and understand the advantages of low-fat products, which is driving the market's expansion in the Asia-Pacific area.

Key players in the market

Some of the key players in Low-Fat Cheese market include Danone S.A., Arla Foods, Inc, Kraft Heinz Company, Nestlé S.A., General Mills Inc., Sargento Foods Inc., Amul Limited, Land O' Lakes, Inc, Unilever N.V., Dairy Farmers of America, Inc., Leprino Foods Company, Kerry Group, Schreiber Foods Inc., Conagra Brands, Inc. and Lactalis Group.

Key Developments:

In May 2024, European dairy cooperative Arla Foods has signed a licensing agreement with snacks company Mondelēz International to produce, distribute and market chocolate milk under the Milka brand in Germany, Austria and Poland. Arla Foods is expanding its portfolio with the addition of one of the most popular chocolate brands around.

In May 2024, Kraft Heinz Canada and Highbury Canco announced the extension of their partnership agreement in Leamington for another four years, with the production deal now in place until the end of 2027. Today’s announcement marks the third consecutive extension in the longstanding partnership between the two organizations in Southern Ontario, a connection that has served to support jobs and bolster the local economy.

In January 2024, French food group Danone, opens new tab said on it had signed an agreement to sell its premium organic dairy units in the United States to investment firm Platinum Equity.The sale of the Horizon Organic and Wallaby businesses is part of the company's portfolio review and asset rotation program the company announced in March 2022, Danone said in a statement, without disclosing the financial details of the deal.

Products Covered:
• Feta
• Ricotta
• Mozzarella Sticks
• Hard Cheese
• Cheddar
• Parmesan

Distribution Channels Covered:
• Food Service
• Retail
• Hypermarkets & Supermarkets
• Convenience Stores
• Online
• Other Distribution Channels

Applications Covered:
• Biscuits
• Snacks
• Soups
• Sauces
• Other Applications

Regions Covered:
• North America
US
Canada
Mexico
• Europe
Germany
UK
Italy
France
Spain
Rest of Europe
• Asia Pacific
Japan
China
India
Australia
New Zealand
South Korea
Rest of Asia Pacific
• South America
Argentina
Brazil
Chile
Rest of South America
• Middle East & Africa
Saudi Arabia
UAE
Qatar
South Africa
Rest of Middle East & Africa

What our report offers:
- Market share assessments for the regional and country-level segments
- Strategic recommendations for the new entrants
- Covers Market data for the years 2022, 2023, 2024, 2026, and 2030
- Market Trends (Drivers, Constraints, Opportunities, Threats, Challenges, Investment Opportunities, and recommendations)
- Strategic recommendations in key business segments based on the market estimations
- Competitive landscaping mapping the key common trends
- Company profiling with detailed strategies, financials, and recent developments
- Supply chain trends mapping the latest technological advancements