Swiss drinking milk products was one of the categories that were most affected by the decline in milk prices. According to the OFAG (Federal Office for Agriculture), over a 12-year period, the price of milk paid to producers declined by 27% in Switzerland. The average price was CHF0.80 in 2000, while it reached only CHF0.58 in 2012, thereby affecting the milk industry.
Value sales of drinking milk products declined overall in current terms over the review period, which was in line with the expected decline of 2% in current terms in 2013, indicating the general state of disarray in the drinking milk products industry. The combination of trade liberalisation, overproduction and the economic recession dramatically changed the direction of the category. In addition, the rate of milk consumption had already been declining steadily, which could be easily observed during the review period. According to Swissmilk (the association for milk producers), milk consumption dropped by an estimated 3% in 2012.
Other non-dairy milk alternatives, which include rice milk or almond milk are still a niche area in Switzerland. Growing health awareness and interest to move away from the traditional dairy-based drinking milk pushed the performance to be the fastest in 2013.
Soy milk was also another strong performer for the similar reason. The trend towards healthy eating was largely responsible for this accelerated growth, as well as more comprehensive educational and marketing efforts by suppliers. The latter helped value sales growth by raising awareness of the positive impact soy has on heart and bone health, as well as cancer prevention. In addition, there was an increase in the number of people who are lactose intolerant, a group that sees soy as an attractive substitute