Alternatives to dairy have been making significant inroads into the fresh and UHT 'milk' segment in first world countries. So Tetra Pak’s Dairy Index 7 contains unexpected news. The report that tracks facts and figures in the global dairy industry, has found that total global demand for milk is set to overtake the available supply with a persistent gap over the next decade.
Even though the supply of milk is set to increase during this period, it will not match the rise in demand. Global consumption will rise by 36% by 2024, with widening gap between developed and emerging dairy markets.
The company has stated, therefore, that producers in both developed and emerging dairy markets need to address the careful balancing act required to ensure sustainable business success.
The surge in the global demand for milk over the next decade will be largely due to population growth, rising prosperity and urbanisation in Africa, Asia and Latin America.
Milk supply and demand is imbalanced across the world, so rising demand in emerging dairy markets is unlikely to be fulfilled by locally produced raw milk, while developed dairy markets producing a milk surplus face the challenges of competing for the export and responding to falling domestic consumption.
Producers in both developed and emerging dairy markets need to consider that the careful balancing act requires sustainable business success.
Dennis Jönsson, president and chief executive officer of Tetra Pak Group commented, "The predicted surge in global demand offers a huge opportunity for dairy companies in developed markets to export powder and ambient liquid dairy products to growing economies. However, to ensure long-term success, these producers need to balance the 'quick wins' of export against the requirement to continue to grow their domestic markets.
"Meanwhile, dairy companies in import markets must overcome the challenge of securing a sustainable, high quality milk supply while keeping pace with growing demand. Markets such as China and Saudi Arabia are doing so in multiple ways: increasing investment in domestic dairy farming, partnering with well-established foreign companies, and diversifying their offer with value-added products. Fundamentally, these are measures that will help to achieve the vital balancing act of shoring up the future of a sustainable dairy industry."
Boxer & Co is one of the companies benefitting from Asia’s demand for Australia’s milk products. It has just completed the redesign of Nutrico baby formula’s cans and UHT milk cartons.
As well as being sold in Australia, Nutrico baby formula is exported to many Asian countries, where concerns regarding contamination of local products run high.
The new design had to reassure Asian – and Australian - parents that it is a clean, green and Australian brand. Nutrico wanted to celebrate the Australian-ness of its product but in a modern and original way.
Boxer & Co.’s solution features simple, minimalistic graphics of mother and baby animals to evoke an emotional connection, in a clean and uncluttered design. A large circle device houses all the necessary information, including the all-important ‘Made in Australia.’ Small pieces of gold were included in the design to underscore quality.
The brand was also looking for a modern Australian packaging design for its long life UHT milk for the Asian market. A large, pure and fresh milk splash and crafted it into the shape of a map of Australia was incorporated. Clean colours and effects were used to deliver vitality and freshness. One side of the pack was executed in English, whilst the reverse side was in Chinese.
