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Dairy Milk and Bakery Product: An Important Part of Interconnected Food Industry

Dairy Milk and Bakery Product: An Important Part of Interconnected Food Industry

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Home Page > Food and Beverage > Dairy Milk and Bakery Product: An Important Part of Interconnected Food Industry

Dairy Milk and Bakery Product: An Important Part of Interconnected Food Industry

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Posted: Nov 03, 2010 |Comments: 0

Food and beverage industry in truth is nothing but a collection of reasonable disparate albeit interconnected categories of food components. Dairy milk and bakery products are integral part of the food industry despite looking distinct in features. Especially dairy products permeate multiple other types of categories. Similarly, fruits, vegetables, and bread are components in many other products in the food industry.

Phenomenal Growth of Bread Market

In the wake of the recent worldwide economic recessions, it is the bread market that has experienced phenomenal growth. Originally predicted for a growth of 2.1% in the year 2008, the industry experienced a phenomenal growth of around 7% annually during 2009 and 2010. Such trend is expected to continue through 2013. Among the bakery products, sale of bread reached .5 million in 2008, and the fresh bread sales reached .6 billion while registering continuous growth during the following years.

New Trends

Some new trends are marking the progress of the dairy milk and bakery products market in United States today. Key trends in the new products in bread market include whole grain, added calcium, fiber, and organic products. All these products are natural and HFCS-free. While whole grain breads would remain stronger as ever and consumers demanding more and more natural bread made of natural ingredients, the new trends are quite visible in the bread market. Traditional grains are getting popular with wheat-intolerant consumers.

Dairy Products

Perhaps the biggest issue that the dairy industry in United States is facing today is raw milk pricing. Roller coaster of the pricing that has neither been good for the producers of milk or dairy products has been the trend the market. Prices of raw milk that shoot up in 2008 went down substantially during the year 2009 resulting in recession in the market. Price that was .97 for 100 lbs of milk in 2008, dropped dramatically to .41 during the later part of 2009. Such low prices resulted in farmers taking cows out of milk production and use them for meat products instead. Requirements during 2010 thus were stable milk price to revive the somewhat sagging industry.

Revival of Dairy Milk Industry 2010

Good news for the dairy milk and bakery products industry in United States in 2010 was that the dairy milk market was making a slow albeit steady recovery. Increasing retail sales in food outlets, growing popularity of specialty coffee drinks containing high milk percentages, and focus on the functional foods contributed largely to the revival of the dairy milk industry in United States during 2010.

Corresponding Effects on Dairy Products

Rise and fall of the prices of bread and milk in the dairy milk and bakery products industry also resulted in corresponding fluctuations in prices of by products in the market. On the one hand with the fall of prices of milk, the prices of by products like cheese and yogurt came down by 4% and 1% respectively. On the other hand the rise in the price of bread also resulted in rise in prices of cakes and roles in a corresponding manner.

Major challenge for the dairy milk and bakery products market has been keeping alive the growth by making a healthy balance between production and prices of commodities marketed by businessmen.

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Vaiv Jais -
About the Author:

Author has wide knowledge of B2B Marketplace and Business industries. For more information and trade leads on milk dairy products and bakery products, visit online trade portal Trade.indiaMART.com

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Article Tags:
milk products, dairy products, bakery products