Australia’s café culture and love affair with lattes has helped boost annual milk consumption for the second consecutive year, according to industry body Dairy Australia.
After almost ten years of declining per capita consumption, Aussies increased their consumption of milk last year to 100 litres per person. Total milk consumed in 2004/05 was more than two billion litres for the first time – up 1.5% on the previous year.
Dairy Australia’s national marketing chief Richard Lange said the increase follows the previous year’s slight rise and confirms the trend that “milk is back”.
“There were a number of factors that contributed to the renewed growth in the drinking milk market,” he said, “including the increase in coffee shops and consumption of breakfast cereals.”
Lange said: “Recent research showed a 100% increase in the number of coffee chain outlets between 2001 and 2004. It’s estimated approximately 1.6 billion coffees were served by the total foodservice industry last year – and the majority of these were milk-based cappuccinos or lattes.”

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By GlobalDataHe said that almost 30% of the total consumption was now attributed to the ever increasing demand for new ‘functional milks’ that have added nutrients, minerals and vitamins.
Elsewhere, milk consumption has been boosted by consistent growth in ready-to-eat breakfast cereals, and milk companies have concentrated their marketing efforts to expand the flavoured-milk market.
An enduring stayer – regular plain white milk – continues to grow with a 1% rise in consumption while modified and flavoured milk sales each gained in popularity with a 4% increase.
“We attribute the renewed growth to changing consumer habits and recognition of the health benefits dairy provides. These are the focus of Dairy Australia’s marketing efforts to consumers and it appears to be working,” Lange said.