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Anhydrous Milk Fat Expanding due to its Functional Properties and Growing Applications in Dairy and Non-Dairy Products

Food & Beverages


Anhydrous Milk Fat (AMF) is obtained through the process of centrifugation of cream or butter. The fat content separated through this process is then placed in a vacuum in order to remove the moisture. It contains at least 99.8% fat concentrate and is either white or yellow in colour. Unlike butter, AMF does not occupy much storage space and its shelf life can be extended up to 12-24 months from the date of manufacture under recommended conditions. It is preferred by the manufacturers due to its compositional properties which facilitate easy transportation and storage. Two other fat-based products namely, anhydrous butteroil and butteroil are also separated during the centrifugation process and are used widely in the food manufacturing industry. A report by IMARC Group finds that the market for AMF reached a volume of 465.5 Thousand Tons in 2016, growing at a CAGR of 4.7% during 2009-2016.

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Applications

In recent years, there has been a shift in the preferences of the consumers from butter to AMF. As compared to butter, AMF blends with other products quite easily and is convenient to use in liquid form. Nowadays, it is also being used along with other dairy and non-dairy products such as croissants, chocolates, spreads, ice-creams and a number of bakery products. In the dairy industry, AMF is combined with other milk products in order to make products with different functional properties such as skim milk, whole milk, cheese, butter and vegetable oils. Moreover, customised fat products for various applications can be obtained by fractionation of AMF.

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Regions and Key Players

Oceania represents the largest market for AMF, accounting for the majority of total global shares. Some of the other major markets include the European Union and North America where the demand for AMF is increasing owing to flourishing food and beverage industry.

The competitive landscape of the market comprises of some of the major companies such as Hilmar Cheese Company, Murray Goulburn, Westland Milk Products, Fonterra, Dairy Farmers of America and Synlait Milk Ltd.

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