MPC 85 market overview 2026 [Global Report]

The market for MPC 85% (Milk Protein Concentrate 85) remains closely linked to the global availability of raw milk, but its real commercial supply is primarily driven by the allocation of the milk stream between products with different margins and the technological capabilities of protein concentration (ultrafiltration) and drying. MPC 85 is made from milk (most often skimmed milk) through ultrafiltration followed by spray drying – making it a ‘highly processable’ product, dependent on plant infrastructure and priorities.

In practice, this means that even when milk supply stabilises or increases in parts of the region, the availability of MPC 85 in the B2B market may be constrained by processing decisions (e.g. diverting milk to cheese, milk powders or other protein ingredients). At the same time, consumer and industry trends support the demand for high-protein products (dairy, RTD beverages, functional nutrition), which reinforces the importance of milk protein concentrates as formulation ingredients.

Global MPC market analysis 85

The availability and cost of raw milk remain a key element of the MPC 85 cost structure also in 2026. In structural terms, milk production in the European Union remains relatively high, with a volume of around 161.8 million tonnes in 2024, according to Eurostat data, which is the benchmark for current raw material supply. At the same time, the market continues to operate under conditions of increased cost volatility. Short-term fluctuations in milk and energy prices remain an important factor influencing processors’ decisions on the production structure and allocation of raw material between product categories. The price levels of raw material and key dairy commodities monitored by DG AGRI continue to have a direct impact on the economics of producing protein ingredients, including high protein concentrates.

The production of MPC 85 in 2026 remains strongly dependent on the availability of advanced technological infrastructure. The manufacturing process based on ultrafiltration and spray drying requires specialised production lines and stable quality regimes, which limits the flexibility of supply in the short term. Technological characteristics published by manufacturers confirm that the combination of ultrafiltration and spray drying continues to be the standard in the production of MPC 85. In practice, this means that the market’s ability to rapidly increase supply remains limited, and the response to changes in demand is delayed and dependent on investment decisions and plant production priorities.

On the demand side, MPC 85 functions in 2026 primarily as a B2B ingredient, widely used in the food and dairy industry. Applications include dairy products such as cheese, yoghurt and ice cream, as well as beverages and high-protein formulations. Continued interest in high-protein diets and ‘protein-centric’ products continues to support demand for milk protein concentrates as components of industrial formulations. The nature of demand remains largely structural, limiting its susceptibility to short-term cyclical fluctuations.

The conditions for the MPC 85 market in 2026 are also indirectly influenced by regulatory and labelling considerations. In the US, the lack of a formal, standardised definition of the ‘milk protein concentrate’ category in FDA documents remains a feature of the regulatory environment, and issues of the use of protein ingredients in some standardised products – particularly in selected cheese categories – continue to influence the formulation practices of some manufacturers. While these factors do not directly determine the global supply of MPC 85, they may limit or modify the scope of its use in selected markets.

Regional analysis of the MPC 85 market

The structure of supply and demand for MPC 85 varies significantly from region to region, which translates into varying commercial availability, the roles of individual markets and their impact on the global balance. The regional analysis captures how global commodity and processing conditions materialise locally, shaping trade flows and market dynamics in 2026.

Oceania (New Zealand)

Oceania, and New Zealand in particular, remains one of the key exporters of dairy ingredients to the global market. The USDA FAS report for NZ highlights the sector’s strong export orientation (around 95% of milk production is exported in various forms) and a forecast of stable milk production in 2026 MY (21.9 million tonnes).

For the MPC 85 market, this means that export availability depends on the product mix and whether plants direct milk to powders/ingredients vs. other higher value categories. At the same time, the range of large ingredient players (e.g. NZMP/Fonterra) shows the continued presence of MPC 85 in export portfolios.

Europe

Europe is an important producer and supplier of dairy ingredients and its market is shaped by a combination of: energy costs, quality/regulation requirements and milk supply dynamics. DG AGRI data shows the evolution of production and prices of key commodities and the Milk Market Observatory’s real-time monitoring of the market, which usually translates into processor strategies in the powders and protein ingredients segment.

Consequently, MPC 85 supply elasticity in Europe may be constrained by the profitability of alternative processing streams (e.g. SMP/WMP, cheese), as well as the degree to which volumes are contracted in the B2B channel.

North America (USA/Canada)

North America is an important market for the consumption of high-protein products and an important producer of dairy ingredients. The regulatory factor (lack of a standard definition of MPC in the FDA in the context of some of the documents/standards) and labelling requirements for certain uses in standardised cheese may influence how MPC is positioned and used in the industry.

On the demand side, the ‘protein-first’ trend is reinforced by the growth of convenience and health categories (including RTD beverages), which favours protein ingredients.

Asia (and Southeast Asia)

Asia remains a key growth area for protein applications and functional foods more broadly. Increased demand for ‘protein’ products (including in dairy) is being signalled in market analysis and sector commentary, with some companies additionally pointing to the impact of health trends (including the popularity of GLP-1 therapy) on interest in high-protein products.

For MPC 85, this means that the region acts primarily as a strong import ‘absorber’ of ingredient – especially where the local supply of highly processed milk proteins is limited or less cost-competitive.

Middle East and Africa (MENA/Africa) and Latin America

In these regions, the importance of MPC 85 is mainly due to imports and industrial applications (formulations, fortification, high-protein products), and the sensitivity of demand often increases with currency fluctuations and freight costs. In practice, these are markets where availability may be more ‘logistical’ than ‘manufacturing’ and purchasing decisions are strongly influenced by import financing conditions.

Trends and forecasts for 2026

In 2026, demand for MPC 85 remains supported by a continued global high-protein trend in the food and beverage segment, particularly in value-added categories such as premium, functional and health-oriented products. Protein products are maintaining a stable growth rate, with metabolic health and long-term diet management trends reinforcing interest in milk protein concentrates as an additional factor. In practice, this supports the continued demand for highly concentrated proteins as base ingredients in recipes, rather than just functional additives.”

Liudmyla Mykhasiuk

International Commodity Trader

On the supply side in 2026, how processors manage the raw material stream is key. Product mix decisions – in particular the relationship between protein ingredient production and other dairy categories – directly affect the availability of MPC 85 in the market. High and variable energy and processing costs remain an important element of profitability calculations, limiting the ability to rapidly increase supply even with a relatively stable raw material base.

The situation in key export regions also remains significant. The stability of milk production in areas such as Oceania, including New Zealand, mitigates the risk of sudden supply-side disruptions, but at the same time does not guarantee an increase in available MPC 85 volumes. With a high degree of contracting and selective allocation of processing capacity, additional supply coming to market remains limited.

As a result, the MPC 85 market in 2026 operates in a model where the annual milk balance is secondary to the real commercial availability of the product. Purchase opportunities are determined primarily by the ability and willingness of processors to direct milk towards highly processed protein components and the rate of demand absorption in import regions. This structure is conducive to maintaining relatively stable demand while keeping the market sensitive to changes on the cost side and production decisions.

Global Reports from Foodcom S.A.

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