Feed & Additive Magazine Issue 4 May 2021

MARKET REPORT FEED & ADDITIVE MAGAZINE May 2021 71 In Africa, a strong production increase is expected from larger herds. It is thought that especially goat's and sheep's milk will contribute to the production in the region. During the period of 2020-2029, it is esti- mated that about a third of the worldwide herd popu- lation will be located in Africa, where production will account for about 5 percent of world milk production. CONSUMPTION TRENDS IN MILK AND DAIRY PRODUCTS The vast majority of milk production in the world is consumed in the region where it is produced, in the form of fresh dairy products, including pasteur- ized and fermented products. According to USDA data, world milk consump- tion was approximately 190 million tons in 2020. India ranks first in world milk consumption with 81 million tons. India is expected to consume around 83 million tons in 2021. India is followed by the European Union with 33.4 million tons, the US with 21.2 million tons, China with 12 million tons and Brazil with 11 million tons in terms of milk con- sumption in 2020. No significant change is expected in the milk consumption of these countries in 2021. The share of fresh dairy products in global con- sumption will increase between 2020 and 2029 due to strong demand growth, especially in India, Pakistan, and Africa according to the OECD-FAO report. Based on income and population growth, it is predicted that per capita consumption of fresh dairy products in the world will increase by 1 percent annually. Milk consumption in terms of solid dairy products per capita is also expected to vary widely around the world. The share of processed dairy products (es- pecially cheese) in total consumption of solid dairy products is expected to be closely related to income growth, with changes due to local preferences and the level of urbanization. Country income per capita and the impact of re- gional preferences will be important factors driving this change in consumption. For example, per capita intake is expected to be high in India and Pakistan and low in China. In Europe and North America, total per capita demand for fresh dairy products is expected to decline, while demand for dairy fat, such as full-fat drinking milk and cream, is expected to increase due to the health emphasis. In Europe and North America, where cheese consumption is the highest, per capita consumption is expected to con- tinue in the upcoming period. Countries India EU USA China Brazil Russia Ukraine Mexico Japan Canada World Total 2018 77,000 33,500 21,623 12,700 10,762 7,318 4,862 4,183 3,995 2,832 186,813 2019 79,000 33,300 21,250 13,200 10,900 7,270 4,967 4,190 4,000 2,816 188,787 2020 81,000 33,400 21,200 12,000 11,010 7,200 4,550 4,200 4,000 2,875 189,494 2021-Dec 83,000 33,350 21,000 13,000 11,100 7,115 4,409 4,175 4,005 2,910 192,220 Source: USDA Cows Milk (Fluid) Consumption: Summary For Selected Countries 1,000 Metric Tons