Hybrid Milks: Exploring the Sustainability and Market Challenges

The concept of hybrid milks, which blend traditional cow's milk with plant proteins, has garnered attention for its potential environmental benefits, such as a 20-30% reduction in greenhouse gas emissions. At the World of Private Label International Trade Show in Amsterdam, Dutch company Farm Dairy and Denmark's PlanetDairy introduced a lineup of these hybrid products.

Jakob Skovgaard, CEO of PlanetDairy, emphasized the need to maintain taste, nutrition, and price competitiveness to appeal to consumers prioritizing sustainability. He noted that the support of major retailer Albert Heijn provides a solid foundation for these products, although consumer awareness still needs significant growth.

In contrast, in the UK, Kerry Dairy's Smug Dairy hybrid milks are being phased out after 18 months on the market due to challenges in establishing a foothold. Despite positive reviews, the brand is preparing for a relaunch with a new product lineup next year.

Hybrid milks are priced competitively; for instance, they are offered at €1.29, making them cheaper than organic dairy milk and most plant-based alternatives like oat or almond milks. This pricing strategy is crucial to maintain their mainstream appeal, according to Skovgaard.

The regulatory landscape for hybrid milks in the EU allows the use of the term 'milk' for composite products, provided it is clear that these are not purely dairy. This legal framework is outlined in Article 78 of Regulation 1308/2013, which presents both an opportunity and a challenge in how these products are marketed.

The potential for hybrid milks lies in their ability to provide the taste and functionality of dairy with reduced environmental impact. However, they must clearly communicate these benefits to consumers, balancing taste, nutrition, and sustainability to achieve market viability.