Global Calf Milk Replacer Market Report: Emphasizing Sustainable Development Goals (SDGs)

Introduction

The global calf milk replacer market is projected to grow significantly, increasing from US$ 5,753.2 million in 2025 to US$ 8,323.2 million by 2032, at a compound annual growth rate (CAGR) of 5.4% during 2025–2032. This growth aligns with Sustainable Development Goal 2 (Zero Hunger) and Goal 12 (Responsible Consumption and Production), as the dairy industry adopts modernization and science-based nutritional strategies to improve early-life nutrition for calves, thereby enhancing livestock productivity and sustainability.

Market Outlook: 2019 to 2032

Between 2019 and 2024, the calf milk replacer market expanded at a CAGR of 4.1%, driven by increased awareness of calf health in developed regions such as North America and Europe. From 2025 onwards, accelerated growth is expected due to:

1. Expansion of dairy industries in emerging economies (supporting SDG 8: Decent Work and Economic Growth)
2. Increased investments in animal nutrition
3. Government programs promoting best practices in calf rearing (aligned with SDG 17: Partnerships for the Goals)

Key Industry Highlights

• Awareness of early-life nutrition is transforming global calf-rearing practices, contributing to SDG 3 (Good Health and Well-being).
• Collaborations between companies and veterinary institutions foster market education, supporting SDG 4 (Quality Education).
• Powdered milk replacers dominate due to cost-efficiency and extended shelf life.
• North America leads in regulatory frameworks and technological innovation, promoting SDG 9 (Industry, Innovation, and Infrastructure).
• Asia Pacific emerges as a high-growth region driven by population growth and government support, advancing SDG 1 (No Poverty) and SDG 2.
• Farmer education campaigns facilitate the transition from traditional to scientific feeding methods.

Market Dynamics

Driver: Rising Awareness of Early-Life Nutrition

Early calf health is critical for future dairy productivity. Awareness of scientifically formulated calf milk replacers, which provide essential nutrients and immune support, is increasing among farmers. This supports SDG 3 by improving animal health and productivity. The Food and Agriculture Organization (FAO) reports that even small improvements in calf health can lead to higher milk yields, reduced mortality, and increased profitability, aligning with SDG 2 and SDG 8.

Restraint: High Production Costs for Small-Scale Farmers

High-quality milk replacers often involve advanced ingredients and processing, increasing costs and limiting access for small and medium-scale farmers in developing regions. This challenge impacts SDG 1 and SDG 10 (Reduced Inequalities), as affordability remains a barrier without subsidies or cooperative support.

Opportunity: Institutional Partnerships and Educational Outreach

Partnerships with veterinary institutions, NGOs, and governments to conduct training and awareness campaigns represent a key growth opportunity. These initiatives promote SDG 4 and SDG 17 by enhancing knowledge and fostering collaboration. Successful programs include AMUL in India and the U.S. National Dairy FARM Program.

Category-wise Analysis

By Source: Dairy-Based Milk Replacers Dominate

Dairy-based milk replacers are preferred for their nutritional similarity to cow’s milk, supporting:

• Accelerated weight gain
• Enhanced immunity
• Improved bone and digestive health
• Reduced disease susceptibility

This contributes to SDG 3 by promoting animal health and productivity.

By Form: Powdered Replacers Hold the Largest Market Share

Powdered calf milk replacers dominate due to:

• Cost-effectiveness
• Easy handling and storage
• Longer shelf life
• Reduced transportation costs

These attributes support SDG 12 by reducing waste and improving resource efficiency.

Regional Insights

North America: Innovation-Led Growth

The U.S. leads in technology integration and research in calf nutrition, with over 70% of dairy farms using milk replacers enriched with prebiotics, probiotics, and immunoglobulins. Key companies such as Land O’Lakes, ADM, and Cargill focus on precision nutrition models, supporting SDG 9 and SDG 12. Canada’s emphasis on organic and sustainable livestock management further advances SDG 15 (Life on Land).

Europe: Cooperative Strength and Nutritional Precision

Europe’s dairy cooperatives and regulatory frameworks emphasize animal welfare, traceability, and quality, supporting SDG 3 and SDG 16 (Peace, Justice, and Strong Institutions). Countries like Germany, the Netherlands, and France drive demand for high-specification replacers with bioactive compounds. Collaborative R&D and farmer-centric policies foster continuous innovation and widespread adoption.

Asia Pacific: Fastest-Growing Market

The Asia Pacific region is expected to grow at a CAGR of 5.8% through 2032, driven by:

• Increasing dairy consumption (SDG 2)
• Government-funded animal husbandry programs (SDG 17)
• Expanding calf populations in India, China, and Vietnam (SDG 1 and SDG 2)

Programs like AMUL’s educational campaigns and doorstep nutrition initiatives reduce calf mortality and improve productivity. Rising consumer demand for safe dairy products in China and labor-saving solutions in Japan further stimulate market growth.

Competitive Landscape

The market is fragmented with multinational and regional players including:

• Land O’Lakes, Inc.
• Arla Foods Ingredients Group
• Cargill, Inc.
• ADM Animal Nutrition
• Volac International Ltd.
• Nutreco
• Mole Valley Farmers Ltd.

These companies invest in:

• Product innovation mimicking colostrum and enhancing gut health (SDG 3)
• Sustainability efforts to reduce carbon footprints (SDG 13: Climate Action)
• Farmer support services including helplines and advisory projects (SDG 4 and SDG 17)

Key Industry Developments

1. January 2025 – Launch of “Calf Rearing Series” by Agriland & Volac Milk Replacers Ireland Ltd to promote best practices through digital and in-person sessions (SDG 4).
2. October 2024 – Introduction of skim milk-based replacer by Volac Milk Replacers Limited targeting dairy-protein-rich formulas.
3. June 2024 – Mole Valley Farmers launched a colostrum-inspired replacer enhancing digestive health.
4. May 2024 – Land O’Lakes recognized as one of the “Most Innovative Companies” for advancements in agri-tech and livestock nutrition.

Future Outlook

The calf milk replacer market’s future growth will be driven by:

• Technological integration such as precision feeding systems (SDG 9)
• Sustainability-focused innovations including plant-based and organic replacers (SDG 12 and SDG 13)
• Strategic partnerships with agricultural extension services and cooperatives (SDG 17)
• Expansion of dairy operations in emerging economies (SDG 8 and SDG 1)

Manufacturers prioritizing product transparency, local farmer engagement, and scalable education platforms will capitalize on the evolving global dairy landscape, advancing multiple SDGs simultaneously.

Conclusion

The calf milk replacer market is a critical component of modern dairy farming, optimizing animal health, farm productivity, and sustainability. The sector’s growth supports Sustainable Development Goals by enhancing food security, promoting sustainable agriculture, and fostering innovation and partnerships. From North America’s technology-driven approaches to Asia Pacific’s grassroots initiatives, the market is positioned for robust expansion through 2032 and beyond.

1. Sustainable Development Goals (SDGs) Addressed or Connected

1. SDG 2: Zero Hunger
   • The article focuses on improving calf nutrition to enhance dairy productivity, which contributes to food security and sustainable agriculture.
2. SDG 3: Good Health and Well-being
   • Improving calf health through early-life nutrition reduces mortality and disease susceptibility, promoting animal health and indirectly supporting human health via safer dairy products.
3. SDG 9: Industry, Innovation and Infrastructure
   • The article highlights technological innovations in calf milk replacers and precision feeding systems, fostering sustainable industrial development.
4. SDG 12: Responsible Consumption and Production
   • Focus on sustainability in manufacturing and packaging of milk replacers aligns with sustainable consumption and production patterns.
5. SDG 17: Partnerships for the Goals
   • Collaborations between companies, veterinary institutions, NGOs, and governments to promote education and best practices reflect strong partnerships.

2. Specific Targets Under Identified SDGs

1. SDG 2: Zero Hunger
   • Target 2.3: By 2030, double the agricultural productivity and incomes of small-scale food producers, including livestock farmers.
   • Target 2.4: Ensure sustainable food production systems and implement resilient agricultural practices.
2. SDG 3: Good Health and Well-being
   • Target 3.4: Reduce mortality from communicable diseases and promote health and well-being (implied through improved animal health reducing disease risk).
3. SDG 9: Industry, Innovation and Infrastructure
   • Target 9.5: Enhance scientific research, upgrade technological capabilities of industrial sectors.
4. SDG 12: Responsible Consumption and Production
   • Target 12.2: Achieve sustainable management and efficient use of natural resources.
   • Target 12.5: Substantially reduce waste generation through prevention, reduction, recycling, and reuse.
5. SDG 17: Partnerships for the Goals
   • Target 17.17: Encourage and promote effective public, public-private, and civil society partnerships.

3. Indicators Mentioned or Implied to Measure Progress

1. SDG 2 Indicators
   • Increase in average daily gain (ADG) of calves as a measure of improved livestock productivity.
   • Reduction in calf mortality rates due to improved nutrition.
   • Growth rate of dairy production and income of small-scale farmers.
2. SDG 3 Indicators
   • Incidence of diseases and mortality rates in calves.
   • Improved immunity markers in calves (implied through bioactive compounds in replacers).
3. SDG 9 Indicators
   • Number of technological innovations introduced in calf nutrition products.
   • Adoption rate of precision feeding systems and advanced formulations.
4. SDG 12 Indicators
   • Reduction in carbon footprint of manufacturing and packaging processes.
   • Use of sustainable and organic ingredients in milk replacers.
5. SDG 17 Indicators
   • Number and effectiveness of partnerships and educational programs conducted.
   • Farmer engagement and adoption rates of improved feeding practices.

4. Table: SDGs, Targets and Indicators

Source: vocal.media