For the Quarter Ending September 2025
North America
• In United States, the Whey Protein Price Index rose quarter-over-quarter in Q3 2025, driven by strong consumer demand and broader inflationary pressures.
• Whey Protein production costs declined in Q3 2025, influenced by lower milk prices in August and September and reduced natural gas costs.
• Demand for whey protein remained robust in Q3 2025, supported by strengthening consumer health and fitness trends.
• Retail sales, excluding auto and gas, increased 5.42% year-over-year in September 2025, boosting consumer-facing products.
• U.S. milk production surged in July and August 2025, leading to expanded dry whey output and increased supply.
• Inventories of major dairy products remained firm in September 2025, indicating stable supply levels.
• U.S. dairy exports, including protein concentrates, showed gains in Q3 2025, maintaining sustained international demand.
• The unemployment rate at 4.3% in September 2025 and declining consumer confidence impacted discretionary spending.
• Industrial production grew minimally at 0.1% in September 2025, suggesting limited expansion in industrial ingredient demand.
Why did the price of Whey Protein change in September 2025 in North America?
• Strong retail sales, up 5.42% in September 2025, boosted consumer demand for whey protein.
• Production costs eased from declining milk prices and natural gas trends in Q3 2025.
• Increased U.S. milk production and expanding dry whey output contributed to robust market supply.
APAC
• In China, the Whey Protein Price Index fell quarter-over-quarter in Q3 2025, driven by soft domestic demand and increased imports.
• Whey Protein production costs saw initial declines in fresh milk prices in early July 2025, then stabilized.
• Consumer preference for protein-rich products strengthened, with retail sales up 3.0% year-over-year in September 2025.
• China's Manufacturing Index was contracting in September 2025, indicating reduced industrial activity and raw material demand.
• Industrial production increased by 6.5% year-over-year in September 2025, providing some counter-balancing demand.
• Imports of whey and whey products increased in Q3 2025, contributing to higher market supply.
• The Consumer Price Index decreased by 0.3% year-over-year in September 2025, reflecting deflationary pressures.
• The Producer Price Index decreased by 2.3% year-over-year in September 2025, signaling weak industrial demand.
• Low consumer confidence (89.6) and a 5.2% unemployment rate in September 2025 constrained discretionary spending.
Why did the price of Whey Protein change in September 2025 in APAC?
• Soft domestic consumer demand and a contracting Manufacturing Index in September 2025 dampened consumption.
• Increased imports of whey and whey products in Q3 2025, facilitated by reduced tariffs, contributed to higher market supply.
• Deflationary pressures, with CPI down 0.3% and PPI down 2.3% year-over-year in September 2025, weakened pricing power.
Europe
• In Germany, the Whey Protein Price Index fell quarter-over-quarter in Q3 2025, influenced by contracting industrial production and lower producer prices.
• Production costs were mixed; raw milk prices remained elevated, and industrial electricity surged in Q3 2025.
• Producer Price Index decreased by 1.7% year-over-year in September 2025, driven by lower energy costs.
• Consumer Price Index rose 2.4% year-over-year in September 2025, eroding purchasing power and increasing overall production costs.
• Demand for high-protein snacks and sports nutrition strengthened in Germany during Q3 2025.
• Industrial production declined by 1.0% year-over-year in September 2025, with the Manufacturing Index contracting in Q3.
• Retail sales modestly rose by 0.2% year-over-year in September 2025, but stable 6.3% unemployment constrained discretionary spending.
• Increased EU imports of whey products in Q3 2025 responded to growing demand, balancing supply dynamics.
Why did the price of Whey Protein change in September 2025 in Europe?
• Lower Producer Price Index (-1.7% YoY in September 2025) reduced overall industrial input costs.
• Contracting Manufacturing Index in Q3 2025 and declining industrial production dampened demand.
• Elevated raw milk prices and surging industrial electricity costs in Q3 2025 increased production expenses.
