Prices for whey protein ingredients are up as much as 250% on U.S. dairy commodities markets as demand soars

Global consumers want more protein in every bite, but the dairy industry is struggling to give it to them. Athletes and older adults have long used smoothies and shakes blended with whey protein concentrate – a powdered byproduct of cheese-making – to build or maintain muscle. More recently, food companies have sprinkled it into everything from breakfast cereals, Pop-Tarts and potato chips to bagels, tortillas and Starbucks drinks to meet growing consumer demand. The average U.S. supermarket now has 38,708 products advertising their protein content, according to NielsenIQ, a market research company. But the eagerness to appeal to ingredient-focused shoppers is causing shortages of food-grade whey protein and pushing prices to new records. “Demand is very firm and seemingly outpacing supply for right now,” said Kathleen Wolfley, vice president of Ever.Ag Insights, a data provider and consulting company for the agriculture industry. Wholesale prices for whey protein began rising in 2024, and the pace accelerated last year and so far this year, Wolfley said. Whey protein concentrate with 80% protein – the type often used by food makers and supplement companies as a booster – is trading on the dairy commodities market at more than $13 per pound in the U.S., up 250% from a year ago, according to Ever.Ag. Whey protein isolate, a more refined vesion that contains at least 90% protein, is 150% more expensive than last year, the company said. That’s raising prices for consumers. U.S. prices for whey protein concentrate powder have increased by around 15% over the past year, while more premium whey isolate powder has seen steeper gains, according to Datasembly, a price-tracking company. It’s a similar story in Europe. In late May, 80% whey protein concentrate hit a new record average of 26,450 euros ($30,518) per metric ton, a price more than double from less than a year earlier, according to DCA Market Intelligence, a Netherlands-based commodity pricing firm. Here’s wh