Industry Statistics and Trends
Market size and recent performance (2014-2029)
Industry revenue has grown at a CAGR of 0.7 % over the past five years, to reach an estimated $29.2bn in 2024.
Trends and Insights
Downstream markets have seen mixed success
- Supermarkets have increasingly sourced directly from manufacturers in recent years. This strategy grants them greater control over supply chains and pricing, allowing them to offer competitively priced dairy products amid rising living costs while giving manufacturers greater control over pricing.
- Additional trends and insights available with purchase
Source: IBISWorld
Industry outlook (2024-2029)
Market size is projected to grow over the next five years.
Trends and Insights
Trade obstacles and rising competition will restrict demand from export markets
- In 2024, New Zealand's dairy sector faced significant financial losses, estimated at $120.0 million, due to Canada's alleged violation of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership. This has challenged domestic producers and future expansion efforts internationally.
Biggest companies in the Cheese, Butter and Milk Powder Manufacturing in New Zealand
| Company | Market Share (%)
2025 | Revenue ($m)
2025 |
|---|---|---|
Fonterra Co-op Group | 16,145.8 | |
Talley's | 2,140.8 | |
Synlait | 1,715.5 |
To view the market share and analysis for all 4 top companies in this industry, view purchase options.
Products & Services Segmentation
Source: IBISWorld
Industry revenue is measured across several distinct product and services lines, including Milk and cream concentrates, Butter and dairy spreads and Cheese. Milk and cream concentrates is the largest segment of the Cheese, Butter and Milk Powder Manufacturing in New Zealand.
Trends and Insights
Milk and cream concentrate sales are largely dependent on China
- This segment includes whole milk, skim milk and buttermilk powder; infant formula; cream powder; and ice cream and milkshake mix.
- More insights available in the full report
Table of Contents
About this industry
Industry definition
Industry operators primarily manufacture dairy products, like cheese, yoghurt, butter, milk powder, canned cream and condensed milk. The industry excludes the production of fresh milk, fresh cream and ice cream.
What's included in this industry?
Butter and dairy spreadsMilk and cream concentratesProteinsCheeseButtermilkFlavoured milkSour creamYoghurtCompanies
Fonterra Co-op GroupTalley'sSynlaitPurchase this report to view all 4 major companies in this industry.
Related Terms
LACTOFERRINANHYDROUS MILK FATFARMGATE PRICESDAIGOU CHANNELIndustry Code
ANZSIC 1133 - Cheese, Butter and Milk Powder Manufacturing in New Zealand
Performance
Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.
Analyst insights
International trade is crucial for the industry, contributing over 60% of total revenue and making trade relationships vital. Challenges in key markets like China have recent...
In this chapter (4)
- Current Performance
- Outlook
- Volatility
- Life Cycle
Key metrics
- Annual Revenue, Recent Growth, Forecast, Revenue Volatility
- Number of Employees, Recent Growth, Forecast, Employees per Business, Revenue per Employee
- Number of Businesses, Recent Growth, Forecast, Employees per Business, Revenue per Business
- Total Profit, Profit Margin, Profit per Business
Charts
- Revenue, including historical (2014-2023) and forecast (2024-2029)
- Employees, including historical (2014-2023) and forecast (2024-2029)
- Businesses, including historical (2014-2023) and forecast (2024-2029)
- Profit, including historical (2014-2024)
- Industry Volatility vs. Revenue Growth
- Industry Life Cycle
Detailed analysis
- Trends in supply, demand and current events that are driving current industry performance
- Expected trends, economic factors and ongoing events that drive the industry's outlook
- Key success factors for businesses to overcome volatility
- How contribution to GDP, industry saturation, innovation, consolidation, and technology and systems influence the industry's life cycle phase.
Products and Markets
Learn about an industry's products and services, markets and trends in international trade.
Analyst insight
China's economic slowdown and increased domestic dairy production have reduced its imports of New Zealand dairy products – specifically milk and cream concentrates. This drop...
In this chapter
- Products & Services
- Major Markets
- International Trade
Key metrics
- Largest market segment and value in 2024
- Product innovation level
- Total imports, level and trend
- Total exports, level and trend
- Trade Balance
Charts
- Products & services segmentation in 2024
- Major market segmentation in 2024
- International trade, including imports by country and exports by country
Detailed analysis
- Trends impacting the recent performance of the industry's various segments
- Innovations in the industry's product or service offering, specialization or delivery method
- Key factors that successful businesses consider in their offerings
- Buying segments and key trends influencing demand for industry products and services
- Recent trends in import and export volumes, country of origin or destination, and expected future trends
Geographic Breakdown
Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.
Analyst insights
Most cheese, butter and milk powder manufacturers are located in Waikato and Canterbury. These regions are the largest dairy cattle farming regions in the North and South isl...
In this chapter (1)
- Business Locations
Charts
- Share of revenue, establishment, wages and employment in each region
- Share of population compared to establishments in each region in 2024
Tables
- Number and share of establishments in each region in 2024
- Number and share of revenue each region accounts for in 2024
- Number and share of wages each region accounts for in 2024
- Number and share of employees in each region in 2024
Detailed analysis
- Geographic spread of the industry across Asia Pacific, and trends associated with changes in the business landscape
- Key success factors for businesses to use location to their advantage
Competitive Forces
Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.
Analyst insights
Cheese, butter and milk powder manufacturing is highly concentrated. The four largest operators count for over 70.0% of revenue, making it hard for smaller players to build a...
In this chapter (4)
- Concentration
- Barriers to Entry
- Substitutes
- Buyer & Supplier Analysis
Key metrics
- Industry concentration level
- Industry competition level and trend
- Barriers to entry level and trend
- Substitutes level and trend
- Buyer power level and trend
- Supplier power level and trend
Charts
- Market share concentration among the top 4 suppliers from 2019-2024
- Supply chain including upstream supplying industries and downstream buying industries, flow chart
Detailed analysis
- Factors impacting the industry’s level of concentration, such as business distribution, new entrants, or merger and acquisition activity.
- Key success factors for businesses to manage the competitive environment of the industry.
- Challenges that potential industry entrants face such as legal, start-up costs, differentiation, labor/capital intensity and capital expenses.
- Key success factors for potential entrants to overcome barriers to entry.
- Competitive threats from potential substitutes for the industry’s own products and services.
- Key success factors for how successful businesses can compete with substitutes.
- Advantages that buyers have to keep favorable purchasing conditions.
- Advantages that suppliers have to maintain favorable selling conditions.
- Key success factors for how businesses can navigate buyer and supplier power.
Companies
Learn about the performance of the top companies in the industry.
Analyst insights
The major companies offer diverse product ranges, broadening their customer base. Synlait produces milk powder, infant formula and cheese. Open Country produces milk powder, ...
In this chapter
- Market Share Concentration
- Companies
- Company Spotlights
Charts
- Industry market share by company in 2020 through 2024
- Major companies in the industry, including market share, revenue, profit and profit margin in 2024
- Overview of Fonterra Co-op Group's performance by revenue, market share and profit margin from 2018 through 2024
- Overview of Talley's's performance by revenue, market share and profit margin from 2018 through 2024
- Overview of Synlait's performance by revenue, market share and profit margin from 2018 through 2024
- Overview of revenue, market share and profit margin trend for one additional company
Detailed analysis
- Description and key data for Fonterra Co-op Group, and factors influencing its performance in the industry
- Description and key data for Talley's, and factors influencing its performance in the industry
- Description and key data for Synlait, and factors influencing its performance in the industry
- Description, key data and performance trends for one additional company
External Environment
Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.
Analyst insights
Industry manufacturers must adhere to the Australia New Zealand Joint Food Standards Code. The code sets out rules on acceptable ingredients and required nutrition levels for...
In this chapter
- External Drivers
- Regulation & Policy
- Assistance
Key metrics
- Regulation & policy level and trend
- Assistance level and trend
Charts
- Regulation & Policy historical data and forecast (2014-2029)
- Assistance historical data and forecast (2014-2029)
Detailed analysis
- Demographic and macroeconomic factors influencing the industry, including Regulation & Policy and Assistance
- Major types of regulations, regulatory bodies, industry standards or specific regulations impacting requirements for industry operators
- Key governmental and non-governmental groups or policies that may provide some relief for industry operators.
Financial Benchmarks
View average costs for industry operators and compare financial data against an industry's financial benchmarks over time.
Analyst insights
Farmgate milk prices influence the cost of the industry’s largest expense, and hikes over the past five years have led to growing purchase costs. Rising world sugar prices an...
In this chapter
- Cost Structure
- Financial Ratios
- Key Ratios
Key metrics
- Profit margin, and how it compares to the sector-wide margin
- Average wages, and how it compares to the sector-wide average wage
- Largest cost component as a percentage of revenue
- Industry average ratios for days' receivables, industry coverage and debt-to-net-worth ratio
Charts
- Average industry operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
- Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
- Investment vs. share of economy
Data tables
- Cash Flow & Debt Service Ratios (2014-2029)
- Revenue per Employee (2014-2029)
- Revenue per Enterprise (2014-2029)
- Employees per Establishment (2014-2029)
- Employees per Enterprise (2014-2029)
- Average Wage (2014-2029)
- Wages/Revenue (2014-2029)
- Establishments per Enterprise (2014-2029)
- IVA/Revenue (2014-2029)
- Imports/Demand (2014-2029)
- Exports/Revenue (2014-2029)
Detailed analysis
- Trends in the cost component for industry operators and their impact on industry costs and profitability
Key Statistics
Industry Data
Data Tables
Including values and annual change:
- Revenue (2014-2029)
- IVA (2014-2029)
- Establishments (2014-2029)
- Enterprises (2014-2029)
- Employment (2014-2029)
- Exports (2014-2029)
- Imports (2014-2029)
- Wages (2014-2029)
Top Questions Answered
Unlock comprehensive answers and precise data upon purchase. View purchase options.
What is the market size of the Cheese, Butter and Milk Powder Manufacturing industry in New Zealand in 2024?
The market size of the Cheese, Butter and Milk Powder Manufacturing industry in New Zealand is $29.2bn in 2024.
How many businesses are there in the Cheese, Butter and Milk Powder Manufacturing in New Zealand industry in 2024?
There are 111 businesses in the Cheese, Butter and Milk Powder Manufacturing industry in New Zealand, which has grown at a CAGR of 0.6 % between 2019 and 2024.
Has the Cheese, Butter and Milk Powder Manufacturing industry in New Zealand grown or declined over the past 5 years?
The market size of the Cheese, Butter and Milk Powder Manufacturing industry in New Zealand has been growing at a CAGR of 0.7 % between 2019 and 2024.
What is the forecast growth of the Cheese, Butter and Milk Powder Manufacturing industry in New Zealand over the next 5 years?
Over the next five years, the Cheese, Butter and Milk Powder Manufacturing industry in New Zealand is expected to grow.
What are the biggest companies in the Cheese, Butter and Milk Powder Manufacturing market in New Zealand?
The biggest companies operating in the Cheese, Butter and Milk Powder Manufacturing market in New Zealand are Fonterra Co-op Group, Talley's and Synlait
What does the Cheese, Butter and Milk Powder Manufacturing in New Zealand include?
Butter and dairy spreads and Milk and cream concentrates are part of the Cheese, Butter and Milk Powder Manufacturing industry.
Which companies have the highest market share in the Cheese, Butter and Milk Powder Manufacturing in New Zealand?
The company holding the most market share in New Zealand is Fonterra Co-op Group.
How competitive is the Cheese, Butter and Milk Powder Manufacturing industry in New Zealand?
The level of competition is moderate and increasing in the Cheese, Butter and Milk Powder Manufacturing industry in New Zealand.
Related Industries
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Competitors
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Complementors
View all industries in New Zealand
Methodology
How are IBISWorld reports created?
IBISWorld has been a leading provider of trusted industry research for over 50 years to the most successful companies worldwide. With offices in Australia, the United States, the United Kingdom, Germany and China, we are proud to have local teams of analysts that conduct research, data analysis and forecasting to produce data-driven industry reports.
Our analysts start with official, verified and publicly available sources of data to build the most accurate picture of each industry. Analysts then leverage their expertise and knowledge of the local markets to synthesize trends into digestible content for IBISWorld readers. Finally, each report is reviewed by one of IBISWorld’s editors, who provide quality assurance to ensure accuracy and readability.
IBISWorld relies on human-verified data and human-written analysis to compile each standard industry report. We do not use generative AI tools to write insights, although members can choose to leverage AI-based tools within the platform to generate additional analysis formats.
What data sources do IBISWorld analysts use?
Each industry report incorporates data and research from government databases, industry-specific sources, industry contacts, and our own proprietary database of statistics and analysis to provide balanced, independent and accurate insights.
Key data sources in New Zealand include:
- Statistics New Zealand
- New Zealand Company Register
- Ministry of Business, Innovation & Employment
Analysts also use industry specific sources to complement catch-all sources, although their perspective may focus on a particular organization or representative body, rather than a clear overview of all industry operations. However, when balanced against other perspectives, industry-specific sources provide insights into industry trends.
These sources include:
- Industry and trade associations
- Industry federations or regulators
- Major industry players annual or quarterly filings
Finally, IBISWorld’s global data scientists maintain a proprietary database of macroeconomic and demand drivers, which our analysts use to help inform industry data and trends. They also maintain a database of statistics and analysis on thousands of industries, which has been built over our more than 50-year history and offers comprehensive insights into long-term trends.
How does IBISWorld forecast its data?
IBISWorld’s analysts and data scientists use the sources above to create forecasts for our proprietary datasets and industry statistics. Depending on the dataset, they may use regression analysis, multivariate analysis, time-series analysis or exponential smoothing techniques to project future data for the industry or driver. Additionally, analysts will leverage their local knowledge of industry operating and regulatory conditions to impart their best judgment on the forecast model.
IBISWorld prides itself on being a trusted, independent source of data, with over 50 years of experience building and maintaining rich datasets and forecasting tools. We are proud to be the keystone source of industry information for thousands of companies across the world.
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