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ESG

Resource scarcity: Dairy

Background

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Milk is a key part of a healthy diet for many people worldwide, thanks to its natural nutrients and proteins.

 

However, in many regions from South America to India and Africa, there’s a huge gap between the demand for milk and the available supply.

 

In Mexico, for example, 16 billion litres of milk are consumed every year, but only 12 billion litres are produced locally, leaving a shortage of 4 billion litres.

Insight

For more milk shortage insights, see this article from December 2024

Customer pain

With milk being a scarce resource in many places, millions of people are without access to this essential food.

Dairy producers are under pressure to address this problem by creating alternatives to milk that offer the same key nutrients.

These alternatives must also have a long shelf-life and be affordable for families living on tight budgets.

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Customer gain

These products provide essential nutrients, offer similar protein content, and have a shelf-life of up to 6 months.

Nutritious alternatives to milk with similar protein content and a long shelf-life

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Feature

Versatile and stable production mix (consisting of water, carbohydrates, milk/vegetable fats and milk protein)

Benefit

Nutritious alternatives to milk with similar protein content and a long shelf life 

Value

Helping to bridge the 4 billion litre milk deficit and ensuring access to nutrition for 25% of the population*

Value

Reasons to believe

  • Milk alternatives are an affordable, nutritious option

  • Helping to make a government-approved source of nutrition accessible to everyone, despite a national milk deficit (in Mexico)

Value

Improved ESG profile and brand image 

*figures relate to Mexico

  • Helping to make a government-approved source of nutrition accessible to everyone, despite a national milk deficit (in Mexico)
     

  • Supporting resource conservation and reducing the impact on animal welfare

HEADLINE HEADLINE

FEATURE

Twice as effective as lecithin in substituting the rheology effect of cocoa butter 

BENEFIT

Up to 8% cocoa butter savings compared to chocolate not using lecithin 

(up to 4% savings compared with lecithin) 

Objection handling

OBJECTION 1

“Environmental and sustainability initiatives are usually costly. This sounds expensive.” 

SUGGESTED ANSWER

Not at all! These milk alternatives are actually more affordable. On average, they cost 15-20% less than regular milk, making them a cost-effective solution for both producers and consumers.

Objection handling

OBJECTION 2

"If we don’t use real milk then consumers will notice the taste difference immediately”

SUGGESTED ANSWER

That’s a common concern, but in Mexico, where we’ve been developing milk alternatives for over 25 years, many consumers actually prefer their taste. These products are designed to deliver great flavour alongside essential nutrients at low prices.

Objection handling

OBJECTION 3

"I’m not aware of the specific areas of focus in our ESG strategy, so this might be irrelevant”

SUGGESTED ANSWER

This initiative directly supports sustainability and social responsibility by protecting a scarce resource and making nutritious food affordable for millions. It’s a strong ESG story to share with your team, investors, and the public.

Objection handling

OBJECTION 4

"Isn’t this just an inferior substitute for natural milk”

SUGGESTED ANSWER

Not at all. These products meet strict regulatory standards in Mexico and are officially classified as dairy products. They’re a reliable, high-quality alternative that offers the same essential nutrients.

Downloads

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ESG

Resource scarcity: dairy

VALUE PAPER

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ONE PAGER

How can Palsgaard help you

meet the rising milk demands?

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ESG

Resource scarcity: dairy
VALUE PAPER

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ESG

Resource scarcity: dairy
One pager

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