Anhydrous lactose is a purified, low-moisture form of lactose that resists water absorption, making it highly suitable for pharmaceutical applications. It is widely used as a filler or diluent in tablets and capsules to ensure consistent dosing and improve tablet integrity. Due to its stability, it is ideal for moisture-sensitive formulations and also enhances powder flow during manufacturing processes.
The primary product categories of anhydrous lactose include edible lactose, pharmaceutical lactose, and technical lactose. Edible anhydrous lactose is a food-grade, moisture-free milk sugar used as a stable and mild sweetener in bakery, confectionery, and dairy products, helping maintain texture and quality in dry food items. It comes in various forms, such as powder, granules, and tablets, and is distributed through multiple channels, including online retail, supermarkets or hypermarkets, specialty stores, and pharmacies. Its applications span across pharmaceutical excipients, lyophilized products, infant formulas, and more. The main end-users include the food industry, pharmaceutical industry, animal feed sector, cosmetics industry, and others.
The anhydrous lactose market research report is one of a series of new reports from The Business Research Company that provides anhydrous lactose market statistics, including the anhydrous lactose industry global market size, regional shares, competitors with the anhydrous lactose market share, detailed anhydrous lactose market segments, market trends, opportunities, and any further data you may need to thrive in the anhydrous lactose industry. This anhydrous lactose market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenarios of the industry.
The anhydrous lactose market size has grown strongly in recent years. It will grow from $1.17 billion in 2024 to $1.24 billion in 2025 at a compound annual growth rate (CAGR) of 6.1%. The growth during the historic period can be attributed to increasing demand for infant formula production, the expansion of the pharmaceutical excipient industry, growth in dairy processing capacities, greater use in confectionery and bakery products, and advancements in shelf-stability requirements for food formulations.
The anhydrous lactose market size is expected to see strong growth in the next few years. It will grow to $1.56 billion in 2029 at a compound annual growth rate (CAGR) of 5.8%. The growth projected for the forecast period can be attributed to the rising adoption of sports nutrition and dietary supplements, increased investments in pharmaceutical research and development, expansion of lactose-free and modified lactose products, technological progress in lactose refinement, and growing demand from emerging economies. Key trends expected during this period include a higher demand for pharmaceutical-grade lactose, improvements in lactose purification technologies, expanded use in infant formulas and nutritional products, development of lactose-based excipients for controlled drug release, and increased adoption in the food and beverage industry for enhancing texture.
The growth of the anhydrous lactose market is expected to be driven by the rising pharmaceutical drug production in the coming years. Pharmaceutical drug production involves the controlled and systematic manufacturing of medicines to ensure their safety, efficacy, and quality for medical use. This production is increasing due to a growing aging population that demands more advanced treatments for managing chronic diseases effectively. Anhydrous lactose serves as a versatile excipient in this process, primarily functioning as a filler and binder. Its moisture-free properties improve the stability and shelf life of tablets and capsules, ensuring consistent drug delivery and quality. For example, in June 2023, the European Federation of Pharmaceutical Industries and Associations (EFPIA), a Belgium-based trade association representing Europe's pharmaceutical industry, reported that total pharmaceutical production in Europe reached €390 billion ($422.8 billion) in 2023, up from €363.3 billion ($393.9 billion) in 2022. Consequently, the rise in pharmaceutical drug production is fueling the growth of the anhydrous lactose market.
Leading companies in the anhydrous lactose market are concentrating on developing advanced products like inhalation-grade lactose to improve drug delivery effectiveness in respiratory treatments. Inhalation-grade lactose is a purified form used as a carrier in dry powder inhalers, providing uniform particle size and excellent flow properties. This helps deliver the active pharmaceutical ingredient (API) efficiently to the lungs, ensuring precise dosing and enhanced drug performance. For example, in July 2022, DFE Pharma, a Germany-based supplier of pharmaceutical and nutraceutical excipients, introduced Lactohale 400, a milled anhydrous lactose. This product broadens DFE Pharma's dry powder inhalation (DPI) range and is designed for formulations needing good flow with moderate cohesiveness, featuring a median particle size of 100 μm. The anhydrous nature of Lactohale 400 sets it apart from traditional lactose monohydrate carriers, providing distinct aerosolization characteristics and allowing customization for specific pharmaceutical uses.
In April 2025, LBB Specialties, a U.S.-based distributor of specialty chemicals and ingredients, formed a partnership with Kerry Group to expand access and improve quality in pharmaceutical solutions. This collaboration seeks to increase the availability of Kerry's premium Sheffield brand pharmaceutical-grade lactose excipients throughout the U.S., enhancing product consistency, supply chain efficiency, and innovation in life sciences formulations. Kerry Group is an Ireland-based producer of pharmaceutical-grade lactose excipients.
Major players in the anhydrous lactose market are Kerry Group, Sigma-Aldrich, Fagron Group, Spectrum Chemical Mfg. Corp., DFE Pharma, Wako Pure Chemical Industries Ltd., Anshul Life Sciences, Salius Pharma Pvt. Ltd., SimSon Pharma Limited, MEGGLE GmbH & Co. KG, VIVAN Life Science, Aurora Industry Co. Ltd, Glentham Life Sciences Limited, Lactalis Ingredients, Colorchem Industries Ltd., Jiangsu Dawning Phramaceutical Co. Ltd., International Ingredients & Excipients Pvt. Ltd., Fengchen Group Co. Ltd, Xi'an Harmonious Natural Biotechnology Co. Ltd., and Hexon Laboratories Private Limited.
North America was the largest region in the anhydrous lactose market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in anhydrous lactose report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa.
The countries covered in the anhydrous lactose market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.
The anhydrous lactose market consists of sales of anhydrous alpha-lactose and anhydrous beta-lactose. Values in this market are 'factory gate' values, that is, the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.
The market value is defined as the revenues that enterprises gain from the sale of goods and services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
Anhydrous Lactose Global Market Report 2025 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.
This report focuses on anhydrous lactose market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
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Where is the largest and fastest growing market for anhydrous lactose ? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward? The anhydrous lactose market global report from the Business Research Company answers all these questions and many more.
The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.
The market characteristics section of the report defines and explains the market.
The market size section gives the market size ($b) covering both the historic growth of the market, and forecasting its development.
The forecasts are made after considering the major factors currently impacting the market. These include:
The forecasts are made after considering the major factors currently impacting the market. These include the Russia-Ukraine war, rising inflation, higher interest rates, and the legacy of the COVID-19 pandemic.
Market segmentations break down the market into sub markets.
The regional and country breakdowns section gives an analysis of the market in each geography and the size of the market by geography and compares their historic and forecast growth. It covers the growth trajectory of COVID-19 for all regions, key developed countries and major emerging markets.
The competitive landscape chapter gives a description of the competitive nature of the market, market shares, and a description of the leading companies. Key financial deals which have shaped the market in recent years are identified.
The trends and strategies section analyses the shape of the market as it emerges from the crisis and suggests how companies can grow as the market recovers.
Regions: Asia-Pacific; Western Europe; Eastern Europe; North America; South America; Middle East; Africa
Time series: Five years historic and ten years forecast.
Data: Ratios of market size and growth to related markets, GDP proportions, expenditure per capita,
Data segmentations: country and regional historic and forecast data, market share of competitors, market segments.
Sourcing and Referencing: Data and analysis throughout the report is sourced using end notes.
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Table of Contents
1. Executive Summary
2. Anhydrous Lactose Market Characteristics
3. Anhydrous Lactose Market Trends And Strategies
4. Anhydrous Lactose Market - Macro Economic Scenario Including The Impact Of Interest Rates, Inflation, Geopolitics, Trade Wars and Tariffs, And Covid And Recovery On The Market
5. Global Anhydrous Lactose Growth Analysis And Strategic Analysis Framework
5.1. Global Anhydrous Lactose PESTEL Analysis (Political, Social, Technological, Environmental and Legal Factors, Drivers and Restraints)
5.2. Analysis Of End Use Industries
5.3. Global Anhydrous Lactose Market Growth Rate Analysis
5.4. Global Anhydrous Lactose Historic Market Size and Growth, 2019 - 2024, Value ($ Billion)
5.5. Global Anhydrous Lactose Forecast Market Size and Growth, 2024 - 2029, 2034F, Value ($ Billion)
5.6. Global Anhydrous Lactose Total Addressable Market (TAM)
6. Anhydrous Lactose Market Segmentation
6.1. Global Anhydrous Lactose Market, Segmentation By Product Type, Historic and Forecast, 2019-2024, 2024-2029F, 2034F, $ Billion
Edible Lactose
Pharmaceutical Lactose
Technical Lactose
6.2. Global Anhydrous Lactose Market, Segmentation By Form, Historic and Forecast, 2019-2024, 2024-2029F, 2034F, $ Billion
Powder
Granules
Tablets
6.3. Global Anhydrous Lactose Market, Segmentation By Distribution Channel, Historic and Forecast, 2019-2024, 2024-2029F, 2034F, $ Billion
Online Retail
Supermarkets Or Hypermarkets
Specialty Stores
Pharmacies
6.4. Global Anhydrous Lactose Market, Segmentation By Application, Historic and Forecast, 2019-2024, 2024-2029F, 2034F, $ Billion
Pharmaceutical Excipients
Lyophilized Products
Formula For Baby Food
Other Applications
6.5. Global Anhydrous Lactose Market, Segmentation By End-User, Historic and Forecast, 2019-2024, 2024-2029F, 2034F, $ Billion
Food Industry
Pharmaceutical Industry
Animal Feed Industry
Cosmetic Industry
Other End-Users
6.6. Global Anhydrous Lactose Market, Sub-Segmentation Of Edible Lactose, By Type, Historic and Forecast, 2019-2024, 2024-2029F, 2034F, $ Billion
Infant Formula
Baked Goods
Confectionery
Dairy Products
Dietary Supplements
6.7. Global Anhydrous Lactose Market, Sub-Segmentation Of Pharmaceutical Lactose, By Type, Historic and Forecast, 2019-2024, 2024-2029F, 2034F, $ Billion
Direct Compression Grade
Inhalation Grade
Granulation Grade
Spray-Dried Lactose
6.8. Global Anhydrous Lactose Market, Sub-Segmentation Of Technical Lactose, By Type, Historic and Forecast, 2019-2024, 2024-2029F, 2034F, $ Billion
Animal Feed
Industrial Fermentation
Bioplastics
Cosmetics And Personal Care Products
7. Anhydrous Lactose Market Regional And Country Analysis
7.1. Global Anhydrous Lactose Market, Split By Region, Historic and Forecast, 2019-2024, 2024-2029F, 2034F, $ Billion
7.2. Global Anhydrous Lactose Market, Split By Country, Historic and Forecast, 2019-2024, 2024-2029F, 2034F, $ Billion