Baby Milk & Infant Formula - LATAM

Revenue in the Baby Milk & Infant Formula market amounts to US$3.93bn in 2024. The market is expected to grow annually by 5.33% (CAGR 2024-2029).
In global comparison, most revenue is generated China (US$17bn in 2024).
In relation to total population figures, per person revenues of US$6.18 are generated in 2024.
In the Baby Milk & Infant Formula market, volume is expected to amount to 206.10m kg by 2029. The Baby Milk & Infant Formula market is expected to show a volume growth of 4.3% in 2025.0.
The average volume per person in the Baby Milk & Infant Formula market is expected to amount to 0.3kg in 2024.

Definition:

Baby milk and infant formula are types of milk made specifically for infants and young children who are not yet able to consume solid food or who cannot be breastfed. They are also intended for children aged between 1 and 3 who do not get enough nutrients from their regular diet.

Baby milk is typically made from cow’s milk that has been modified to make it more easily digestible for babies. It may also contain added nutrients, such as vitamins and minerals, to ensure that infants or young children receive all the nutrients they need for healthy growth and development. Infant formula is specially designed to mimic the nutrient content of breast milk as closely as possible. Baby milk and infant formula may come in different forms, such as in powdered form, as a liquid concentrate, or in a ready-to-feed form.

Additional information:

The market comprises revenue and average revenue per capita, volume and average volume per capita, price per unit (unit refers to kilogram). The market encompasses retail sales through both online and offline sales channels to private end customers (B2C). The market only covers at-home consumption, out-of-home consumption is not included.

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Infant formula, such as Nestlé NAN PRO 1 Infant Formula, Aptamil Gold Infant Formula Milk Powder for Babies, Similac Advance Infant Formula, and Nestlé LACTOGEN 1 Infant Formula Powder
Baby milk, such as Milupa Milupino for 1–3-year-old toddlers and Aptamil Pronutra 1+

Milk and milk products intended for adult consumption, such as Danone’s dairy drinks
Milk substitutes (soy-based) for babies and infants
Out-of-home consumption

The Baby Milk & Infant Formula Market in LATAM is seeing minimal growth, influenced by factors such as declining birth rates and increased breastfeeding rates. However, the convenience of online shopping and rising disposable incomes are driving growth in the region.

Customer preferences: As consumers continue to prioritize health and wellness, there has been a noticeable increase in demand for organic and natural baby milk and infant formula in LATAM. This trend is driven by the growing awareness of the potential health benefits and safety of these products. Additionally, there has been a shift towards more eco-friendly and sustainable options, with consumers seeking out environmentally-friendly packaging and production processes. This reflects a larger trend of conscious consumerism and the desire for products that align with personal beliefs and values.

Trends in the market: In LATAM, the Baby Milk & Infant Formula Market of the Baby Food Market within The Food market is seeing a shift towards organic and natural products, driven by increasing health and wellness concerns among parents. This trend is expected to continue, with more manufacturers focusing on developing clean label and eco-friendly options. Additionally, there is a growing demand for convenience and time-saving products, leading to the introduction of ready-to-use formula and innovative packaging solutions. These trends highlight the importance of sustainability and transparency in the industry, and present opportunities for companies to differentiate themselves in the market.

Local special circumstances: In LATAM, the Baby Milk & Infant Formula Market of the Baby Food Market within The Food market is heavily influenced by cultural factors. In countries like Mexico and Brazil, traditional beliefs and customs around breastfeeding have led to a slower adoption of formula feeding. However, with increasing urbanization and working mothers, there is a rising demand for convenient and safe formula options. Additionally, stringent regulations in countries like Argentina and Chile have led to the development of high-quality and trustworthy formula brands.

Underlying macroeconomic factors: The Baby Milk & Infant Formula Market of the Baby Food Market within The Food market is heavily influenced by macroeconomic factors such as economic stability, consumer purchasing power, and government policies. Countries with stable economies and high consumer spending are experiencing significant growth in this market, as parents are willing to invest in high-quality and nutritious products for their children. Government policies promoting breastfeeding and regulating formula marketing also impact market performance. Additionally, global economic trends, such as rising disposable income and changing lifestyles, are driving the demand for convenience and premium baby food products, further fueling market growth.

Data coverage:

The data encompasses B2C enterprises. Figures are based on the total consumer spending on food, which comprises all private household spending on food that is meant for at-home consumption (out-of-home consumption is not accounted for).

Modeling approach:

Market sizes are determined through a top-down approach, building on specific predefined factors for each market segment. As a basis for evaluating markets, we use resources from the Statista platform as well as in-house market research, national statistical offices, international institutions, trade associations, companies, the trade press, and the experience of our analysts. In addition, we use relevant key market indicators and data from country-specific associations, such as GDP, consumer spending, and consumer price index. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, the exponential trend smoothing is well suited for forecasting the Food market with a projected steady growth. The main drivers are GDP per capita and consumer spending per capita.

Additional notes:

The data is modeled using current exchange rates. The impact of the COVID-19 pandemic and the Russia-Ukraine war are considered at a country-specific level. The market is updated twice a year.