Butter - United States | Statista Market Forecast

Revenue in the Butter market amounts to US$4.05bn in 2024. The market is expected to grow annually by 3.03% (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$11.84 are generated in 2024.
In the Butter market, volume is expected to amount to 396.50m kg by 2029. The Butter market is expected to show a volume growth of 0.8% in 2025.0.
The average volume per person in the Butter market is expected to amount to 1.12kg 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 The Food market in the United States is experiencing minimal growth, influenced by factors like shifting consumer preferences towards plant-based alternatives and health concerns regarding saturated fats.

Customer preferences: Consumers are showing a growing inclination towards plant-based diets, which has significantly impacted the Butter Market within the Oils & Fats sector in the United States. This trend is fueled by increasing health consciousness and a desire for sustainable food choices, particularly among younger demographics. As a result, alternative spreads and dairy-free butter substitutes are gaining traction. Additionally, cultural shifts emphasizing wellness and clean eating are prompting consumers to scrutinize ingredient lists more closely, driving demand for natural and organic options.

Trends in the market: In the United States, the Butter Market within the Oils & Fats sector is experiencing a notable shift towards plant-based alternatives, as consumers increasingly prioritize health and sustainability. This trend is particularly evident among millennials and Gen Z, who are seeking dairy-free and organic options. As a result, traditional butter is facing competition from innovative spreads made from nuts, seeds, and plants. Industry stakeholders, including manufacturers and retailers, must adapt to this evolving landscape by expanding their product lines and highlighting clean ingredient profiles to meet the growing demand for healthier, eco-friendly choices.

Local special circumstances: In the United States, the Butter Market within the Oils & Fats sector is shaped by diverse regional culinary traditions and consumer preferences. The West Coast, for instance, embraces health-conscious trends, resulting in a strong demand for organic and plant-based butter alternatives. In contrast, the Midwest maintains a preference for traditional dairy butter, influenced by agricultural heritage and local dairy farming. Additionally, stringent regulatory standards regarding food labeling and sustainability practices accelerate the shift towards cleaner, transparent ingredient sourcing, impacting how products are marketed and sold across the nation.

Underlying macroeconomic factors: The Butter Market within the Oils & Fats sector in the United States is significantly influenced by macroeconomic factors such as consumer spending patterns, agricultural productivity, and trade policies. As the national economy shows signs of recovery, increased disposable income drives demand for premium butter products. Additionally, fluctuations in dairy prices due to global supply chain disruptions and climate change impact production costs and availability. Trade agreements and tariffs also play a critical role, as they can affect the import of alternative fats and oils, ultimately shaping consumer choices and market dynamics. Furthermore, growing awareness of health and sustainability trends continues to steer the market toward innovative and environmentally friendly butter alternatives.

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.