Cheddar cheese
Cheddar cheese is one of the fastest growing varieties.

Cheese: A global opportunity

In 2016, the global cheese market was valued at approximately $136 billion, according to a report published by Allied Market Research, Portland, Ore., this past June. The firm forecast the market will grow at a compound annual growth rate of 2.7% and reach $164 billion in value by 2023.

The United States and Europe made up 80% of the market in 2016, with established quick-service restaurant chains in developed markets supporting sales, and the emergence of Q.S.R.s in emerging markets driving future growth. In addition, such trends as demand for convenience and protein-rich foods combined with an increase in disposable income around the world are key trends forecast to drive continued sales growth, according to Allied Market Research.

The company’s research report, titled “Cheese market by source, type, product and distribution channel: Global opportunity analysis and industry forecast 2017-2023,” said cheddar cheese accounted for significant global market share in 2016 and is expected to maintain its position.

“The cheddar and Parmesan cheese segments are the highest growing product type in the global market, owing to preference of consumer to natural food products,” said Eswara Prasad, team leader, food and beverages for Allied Market Research. “In addition, the European cheese market is quite mature and (has) the lowest CAGR among other regions. Thus, cheese suppliers over there should remake their business models and find new opportunities for the growth in the market.”

The Allied Market Research report also identified natural cheese as the leading industry sub-category that will drive growth in the future. Convenience and specialty retail stores were also forecast to be fast-developing distribution channels.