Butter - New Zealand | Statista Market Forecast

Revenue in the Butter market amounts to US$98.88m in 2024. The market is expected to grow annually by 2.18% (CAGR 2024-2029).
In global comparison, most revenue is generated India (US$7bn in 2024).
In relation to total population figures, per person revenues of US$18.76 are generated in 2024.
In the Butter market, volume is expected to amount to 10.89m kg by 2029. The Butter market is expected to show a volume growth of 0.5% in 2025.0.
The average volume per person in the Butter market is expected to amount to 2.02kg in 2024.

Definition:

Butter is a dairy product made up of several components, such as milk fat, milk proteins, and water. Butter contains a minimum of 80% fat and is widely used in baking and cooking, and as a flavor enhancer for a variety of dishes.

Additional Information:

The market comprises revenue and average revenue per capita, volume and average volume per capita, price per unit (unit refers to kilogram), sales channels. 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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Salted butter
Unsalted butter
Cultured butter
Light butter
Flavored butter

Margarine
Vegetable oils
Other animal fats (e.g. lard)
Clarified butter (Ghee)
Peanut butter
Out-of-home consumption

The Butter Market within the Oils & Fats sector in New Zealand is experiencing negligible growth, primarily due to changing consumer preferences towards plant-based alternatives and health-conscious choices, alongside a stable yet saturated market environment.

Customer preferences: Consumer preferences in the Butter Market within New Zealand are shifting significantly, with an increasing focus on plant-based diets and dairy alternatives. Health-conscious individuals, particularly millennials and Gen Z, are opting for products perceived as healthier, such as nut butters and vegan spreads. Additionally, rising awareness of sustainability and animal welfare is influencing purchasing decisions. This demographic shift, combined with lifestyle changes emphasizing convenience and nutrition, is reshaping the market landscape, pushing traditional butter options to the periphery.

Trends in the market: In New Zealand, the Butter Market is experiencing a notable shift as consumers increasingly gravitate towards plant-based alternatives and dairy-free options. The rise of health-conscious eating, particularly among younger demographics, is fueling demand for nut butters and vegan spreads, perceived as healthier substitutes. Additionally, awareness around sustainability and animal welfare is driving purchasing decisions, further reshaping the market landscape. As convenience and nutrition become paramount, traditional butter products may face declining relevance, posing challenges and opportunities for industry stakeholders to innovate and adapt to evolving consumer preferences.

Local special circumstances: In New Zealand, the Butter Market is uniquely influenced by the country’s strong dairy farming heritage and a growing emphasis on sustainability. With a significant portion of the population advocating for environmentally friendly practices, local producers are pivoting towards organic and non-GMO butter options. Cultural factors also play a role, as Māori traditions emphasize the importance of natural ingredients, further boosting the appeal of plant-based alternatives. Regulatory pressures aimed at reducing carbon footprints are prompting innovations in production methods, reshaping consumer choices and market dynamics.

Underlying macroeconomic factors: The Butter Market in New Zealand is significantly shaped by macroeconomic factors such as global dairy price fluctuations, domestic economic conditions, and government fiscal policies. The country's robust export-oriented dairy sector benefits from rising global demand for dairy products, particularly in Asia, which supports local producers. Additionally, New Zealand's economic stability and relatively low inflation rates foster consumer confidence, encouraging spending on premium butter products. Environmental regulations aimed at sustainability also influence production methods and costs, prompting innovation. Furthermore, the increasing focus on health and wellness trends globally is driving demand for higher-quality, organic butter options, aligning with consumer preferences for natural ingredients.

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.