Dairy milk sales in the US are recovering after years of decline, driven in part by lower milk prices that drew cost-conscious consumers back from plant-based alternatives. Growing consumer focus on protein content and ingredient transparency is further supporting demand for dairy over plant-based options.
| Product | Region | Incoterm Basis | Price | Last Updated Month |
|---|---|---|---|---|
| Lactose | China | CIF | USD 1,468.00/MT | July 2026 |
| Lactose | India | CIF | USD 1,533.00/MT | July 2026 |
| Lactose | USA | FOB | USD 1,413.00/MT | July 2026 |
| Lactose | New Zealand | FOB | USD 1,861.37/MT | July 2026 |
| Lactose | Canada | FOB | USD 1,421.50/MT | July 2026 |
| Lactose | China | CIF | USD 1,405.73/MT | June 2026 |
| Lactose | India | CIF | USD 1,493.28/MT | June 2026 |
| Lactose | USA | FOB | USD 1,301.00/MT | June 2026 |
| Lactose | New Zealand | FOB | USD 1,807.15/MT | June 2026 |
| Lactose | Canada | FOB | USD 1,321.00/MT | June 2026 |
Stay updated with the latest Lactose prices, historical data, and tailored regional analysis
In China, Lactose prices were ~RMB 8.90/kg and ~RMB 11.28/kg, respectively, in the first two months of Q2’26, showing a ~26.8% increase. Similarly, in India, Lactose prices rose from ~INR 125.18/kg in April to ~INR 159.85/kg in May, showing a ~27.7% increase. The rise was mainly driven by tight edible-grade availability, heavy contract commitments, and limited spot volumes from North American suppliers. U.S. lactose production for human and animal use fell 3.2% year-on-year in April, even though dry whey and cheese output improved, showing that lactose availability did not expand in line with whey streams. Asian buyers faced firmer export offers, while China remained dependent on imported lactose-bearing whey products because domestic whey output was limited by its smaller cheese sector. However, price resistance started building, as China’s lactose buying fell 27% year-on-year, or 3,902 MT, in April. Europe showed stronger buying, with EU27 lactose demand rising 59% year-on-year, or 1,153 MT, which tightened export competition.
Analyst Insight
According to Procurement Resource, in the near term, lactose prices may stay firm if contracted supply remains tight, but high prices could slow fresh buying in China and Southeast Asia.
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In North America, lactose prices rose from 1107 USD/MT (Contract FD) in January to 1161 USD/MT in March, reflecting a 4.8% increase over the quarter. The rise was supported by stronger domestic protein demand in the United States, where milk supplies were increasingly absorbed locally due to growing consumption and new processing capacities not yet fully operational. Despite high milk production across the EU, the US, and New Zealand, reduced auction volumes and seasonal declines in New Zealand output tightened export availability. Trade activity remained strong, with North and South Asia leading purchases, while participation from Europe, the Middle East, and Africa increased despite logistical disruptions linked to geopolitical tensions.
Additionally, global dairy trade reached an all-time high in 2025, supported by a large exportable surplus and currency advantages, which sustained cross-border flows even amid uncertainty. However, continued strong domestic absorption in key markets limited surplus availability for export, supporting price stability.
Lactose is an example of a disaccharide. It is a sugar made of galactose and glucose subunits. It is naturally found in milk and makes up around 2–8% of milk (by weight). In appearance, Lactose is a white, water-soluble, non-hygroscopic solid with a mildly sweet taste. It is widely utilised in the food industry.
C12H22O11
Filler or diluent in tablets and capsules, Stabiliser, Infant formulas, Pharmaceutical industry, Sweetener, Ethanol production
5965-66-2, ß-D-Galactopyranosyl-(1?4)-D-glucose, Milk Sugar, Lactobiose, 4-O-ß-D-Galactopyranosyl-D-glucose
Nestlé SA, Fonterra Co-operative Group Limited, Dairy Farmers of America Inc., Lactalis International, Land O’Lakes, Inc.
CurrencyUS$ (Data can also be provided in local currency)
Supplier Database AvailabilityYes
Customization ScopeThe report can be customized as per the requirements of the customer
Post-Sale Analyst Support360-degree analyst support after report delivery
Note: Our supplier search experts can assist your procurement teams in compiling and validating a list of suppliers indicating they have products, services, and capabilities that meet your company's needs.
In the dairy industry, crystallisation is a vital separation process that is often utilised in the refining of lactose from whey solutions. In the refining operation, lactose crystals are removed from the whey solution through nucleation, growth, and aggregation.
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