Dairy permeate

Dairy permeate takes off in global food and beverage industry

Global food and beverage new product launches containing dairy permeate are sharply increasing around the world, reaching a record high in 2014, according to an analysis of data from the Innova Market Insights database.

The number of tracked new permeate product launches around the world grew at a compound annual growth rate of 64% from 2010 to 2014, increasing significantly from 11% annual growth from 2005 to 2009.

Permeate, which also is called dairy products solids, is a high-lactose dairy ingredient produced through the removal of protein and other solids from milk or whey via physical separation techniques.

In an age of clean labels, increasing resource costs and changing consumer habits, the more function an ingredient can offer a formulation for the price, the better. These trends are the major reasons why permeate is taking off on a global scale.

By country, the United States leads product launches with a 15% share of total new introductions between 2005 and 2014. Western Europe leads by region with a 40% share during the same period.

New product launches with permeate also are emerging in various regions such as Asia, the Middle East and Africa. Data from Innova Market Insights further reveals that a wide range of companies are introducing new products with permeate, which indicates they have discovered its benefits — from browning and nutritional offerings to its high regard for salty flavour-enhancement characteristics. As word spreads and more companies become familiar with permeate’s capabilities, more is likely to follow suit.

While permeate is tracked as an ingredient across many categories, dairy accounts for 25% of all new product launches containing permeate, followed by bakery at 18% and hot drinks at 15%. All three categories have seen continuous growth from 2010 to 2014.

Dairy applications, such as dips, process cheese food, cheese sauces and ice cream could include permeate as a good source of solids.

Baked products, such as breads, crackers, cookies, snacks and sweet goods benefit from permeate’s contribution to browning, moisture retention, and pleasant salty and caramelised flavours.

Hot drink applications benefit from the clean dairy flavour of permeate.

“US suppliers have invested research and development efforts revealing the sensory, functional and nutritional benefits of whey and milk permeates as cost-saving, flavour-enhancing ingredients,” said Vikki Nicholson, senior vice president of global marketing for the US Dairy Export Council®. “In addition to dairy, bakery and beverages, permeate shows great promise for a wide range of applications, including soup and prepared meals as consumers look for savoury items without added sodium.”

The US leads the world in permeate production with an estimated volume of 450 000 metric tons in 2014. Production already increased 80% from 2009 to 2014, and is projected to continue to increase in years to come, in tandem with expansion in the production of high-protein whey and milk protein ingredients.

“USpermeate production has significant continued upside growth potential, enabling a stable, quality supply for years to come,” Nicholson said. “It is a smart, not-to-be-missed strategic business opportunity for product formulators looking for supply stability, product functionality and value.”

Source: FoodIngredientsFirst.com