Butter Market Size & Share Analysis – Growth Trends & Forecasts (2025 – 2030)

The Global Butter Market Report is Segmented by Product Type (Cultured Butter and Uncultured Butter), Distribution Channel (Supermarkets/Hypermarkets, Convenience/Grocery Stores, Online Retail Stores, and Other Distribution Channels), and Geography (North America, Europe, Asia-Pacific, South America, and Middle East and Africa). The Report Offers the Market Size in Value Terms in USD for all the Abovementioned Segments.

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Butter Market Size & Share Analysis – Growth Trends & Forecasts (2025 – 2030)

Butter Market Size

Study Period 2019 – 2030
Market Size (2025) USD 29.08 Billion
Market Size (2030) USD 35.52 Billion
CAGR (2025 – 2030) 4.08 %
Fastest Growing Market Asia Pacific
Largest Market Europe
Market Concentration Low

Major Players

*Disclaimer: Major Players sorted in no particular order

Compare market size and growth of Butter Market with other markets in Food & Beverage Industry

Beverages

Food

Food Ingredients and Food Additives

Food Supplements

Butter Market Analysis

The Butter Market size is estimated at USD 29.08 billion in 2025, and is expected to reach USD 35.52 billion by 2030, at a CAGR of 4.08% during the forecast period (2025-2030).

In some cultures, butter holds significant culinary and cultural importance, leading to sustained or increased demand for butter worldwide. Moreover, there has been a substantial shift in consumer preferences toward minimally processed food products. For instance, according to the Federal Ministry of Food and Agriculture, in 2022/23, around 90% of German consumers bought organic products due to animal husbandry considerations, and about 90% of consumers across Germany preferred buying natural/untreated groceries due to their concerns regarding health and wellbeing. As a result, manufacturers focus on the innovation of different butter forms with lesser fat content, spreadable format, and convenient packaging. For instance, in March 2023, Lactalis UK & Ireland launched light and spreadable butter under the President brand. This product was claimed to have 50% less fat compared to standard butter products. Furthermore, the market studied is characterized by the large number of brands catering to the B2C market by offering quality products at different price points. Therefore, new product offerings by emerging companies in the market are anticipated to play a significant role in propelling the demand for butter during the study period.

Europe Dominates the Market

Spain has a longstanding tradition of using butter in pastries, sauces, and classic desserts like Roscones and Magdalena. According to Eurostat, the industry revenue for manufacturing bread, fresh pastry goods, and cakes in Spain was USD 7,327.04 million in 2023. Therefore, the prevailing societal inclination toward butter in baking and cooking contributes to the consistent market demand.

In the United Kingdom, butter is used in home bakery products, such as cakes and bread. According to the Agriculture and Horticulture Development Board (AHDB) data from 2022, the annual volume of butter produced in the United Kingdom was 209 thousand metric tons. As a result, the market players focus on increasing the production of butter in the country. For instance, in March 2023, Wyke Farms invested EUR 10 million in a new butter dairy facility in the United Kingdom. This expansion aimed to provide a wide range of premium butter products in the market.

Moreover, consumer demand for vegan, organic, and plant-based products is increasing in Germany due to growing consumer consciousness about the negative health impacts of synthetic ingredients in standard butter. According to data from the United States Department of Agriculture, in 2023, 1.58 million people in Germany were vegan. Due to this, the market players are launching vegan and plant-based butter in the country. For instance, in July 2023, Willicroft, a plant-based dairy startup, launched plant-based fermented butter. This butter is created using European soybeans.

Butter Industry Overview

The global butter market is fragmented, with many domestic and multinational players competing for market shares. Some major companies operating in the market studied are Fonterra Co-operative Group, Arla Foods Amba, Dairy Farmers of America, and Land O’ Lakes Inc. Companies are competing based on price, quality, innovation, and promotions. Additionally, mergers, expansions, acquisitions, and partnerships are other common strategies adopted by players to enhance the brand presence and boost the market share.

Butter Market Leaders

  1. Dairy Farmers of America
  2. Ornua Co-operative Ltd.
  3. Land O’ Lakes, Inc.
  4. Arla Foods Amba
  5. Fonterra Co-operative Group
  6. *Disclaimer: Major Players sorted in no particular order

Butter Market News

  • January 2024: Bregott expanded its product portfolio by launching three new package size formats: 250 g, 500 g, and 750 g. According to the company’s claim, the new packages would be available in grocery store refrigerators.
  • January 2024: Arla Foods AMBA, the Danish dairy giant, increased its shareholding in Massby Facility and Service, a property management company that serviced a dairy in Sipoo, near Helsinki, from 60% to 100%.
  • October 2023: Ornua Co-operative invested EUR 40 million at Kerrygold Park, its flagship butter production facility in Mitchelstown, Country Cork. The facility contains ten packing lines and 50 different product formats.

Butter Market Report – Table of Contents

1. INTRODUCTION

  • 1.1 Study Assumptions and Market Definition
  • 1.2 Scope of the Study

2. RESEARCH METHODOLOGY

3. EXECUTIVE SUMMARY

4. MARKET DYNAMICS

  • 4.1 Market Drivers
    • 4.1.1 Consumer Inclination Toward Natural/Organic Food Products
    • 4.1.2 Flavor Diversification Driving the Market
  • 4.2 Market Restraints
    • 4.2.1 Adverse Health Impacts of High-Fat Content in Butter
  • 4.3 Porter’s Five Forces Analysis
    • 4.3.1 Threat of New Entrants
    • 4.3.2 Bargaining Power of Buyers/Consumers
    • 4.3.3 Bargaining Power of Suppliers
    • 4.3.4 Threat of Substitute Products
    • 4.3.5 Intensity of Competitive Rivalry

5. MARKET SEGMENTATION

  • 5.1 Product Type
    • 5.1.1 Cultured Butter
    • 5.1.2 Uncultured Butter
  • 5.2 Distribution Channel
    • 5.2.1 Supermarkets/Hypermarkets
    • 5.2.2 Convenience/Grocery Stores
    • 5.2.3 Online Retail Stores
    • 5.2.4 Other Distribution Channels
  • 5.3 Geography
    • 5.3.1 North America
    • 5.3.1.1 United States
    • 5.3.1.2 Canada
    • 5.3.1.3 Mexico
    • 5.3.1.4 Rest of North America
    • 5.3.2 Europe
    • 5.3.2.1 Spain
    • 5.3.2.2 United Kingdom
    • 5.3.2.3 Germany
    • 5.3.2.4 France
    • 5.3.2.5 Italy
    • 5.3.2.6 Netherlands
    • 5.3.2.7 Rest of Europe
    • 5.3.3 Asia-Pacific
    • 5.3.3.1 China
    • 5.3.3.2 Japan
    • 5.3.3.3 India
    • 5.3.3.4 Australia
    • 5.3.3.5 Rest of Asia-Pacific
    • 5.3.4 South America
    • 5.3.4.1 Brazil
    • 5.3.4.2 Argentina
    • 5.3.4.3 Rest of South America
    • 5.3.5 Middle East and Africa
    • 5.3.5.1 South Africa
    • 5.3.5.2 United Arab Emirates
    • 5.3.5.3 Rest of Middle East and Africa

6. COMPETITIVE LANDSCAPE

  • 6.1 Most Adopted Strategies
  • 6.2 Market Share Analysis
  • 6.3 Company Profiles
    • 6.3.1 Fonterra Co-operative Group
    • 6.3.2 Arla Foods Amba
    • 6.3.3 Ornua Co-operative Ltd
    • 6.3.4 Land O’ Lakes, Inc.
    • 6.3.5 CROPP Cooperative (Organic Valley)
    • 6.3.6 Dairy Farmers of America Inc.
    • 6.3.7 Gujarat Co-operative Milk Marketing Federation Ltd (GCMMF)
    • 6.3.8 EATNUF
    • 6.3.9 CavinKare
    • 6.3.10 Upfield group B.V

7. MARKET OPPORTUNITIES AND FUTURE TRENDS

Butter Industry Segmentation

Butter is a solid dairy product made by separating butterfat from buttermilk by churning fresh or fermented cream or milk. The global butter market is segmented based on product type, distribution channel, and geography. The market is segmented by product type into cultured and uncultured butter. The market is segmented by distribution channel into supermarkets/hypermarkets, convenience/grocery stores, specialty stores, online retail stores, and other distribution channels. By geography, the market is segmented into North America, Europe, Asia-Pacific, South America, and Middle East and Africa. For each segment, the market sizing and forecasts have been provided on the basis of value (in USD).

Product Type Cultured Butter
Uncultured Butter
Distribution Channel Supermarkets/Hypermarkets
Convenience/Grocery Stores
Online Retail Stores
Other Distribution Channels
Geography North America United States
Canada
Mexico
Rest of North America
Geography Europe Spain
United Kingdom
Germany
France
Italy
Netherlands
Rest of Europe
Geography Asia-Pacific China
Japan
India
Australia
Rest of Asia-Pacific
Geography South America Brazil
Argentina
Rest of South America
Geography Middle East and Africa South Africa
United Arab Emirates
Rest of Middle East and Africa

Butter Market Research FAQs

How big is the Butter Market?

The Butter Market size is expected to reach USD 29.08 billion in 2025 and grow at a CAGR of 4.08% to reach USD 35.52 billion by 2030.

What is the current Butter Market size?

In 2025, the Butter Market size is expected to reach USD 29.08 billion.

Who are the key players in Butter Market?

Dairy Farmers of America, Ornua Co-operative Ltd., Land O’ Lakes, Inc., Arla Foods Amba and Fonterra Co-operative Group are the major companies operating in the Butter Market.

Which is the fastest growing region in Butter Market?

Asia Pacific is estimated to grow at the highest CAGR over the forecast period (2025-2030).

Which region has the biggest share in Butter Market?

In 2025, the Europe accounts for the largest market share in Butter Market.

What years does this Butter Market cover, and what was the market size in 2024?

In 2024, the Butter Market size was estimated at USD 27.89 billion. The report covers the Butter Market historical market size for years: 2019, 2020, 2021, 2022, 2023 and 2024. The report also forecasts the Butter Market size for years: 2025, 2026, 2027, 2028, 2029 and 2030.