Camel milk: A promising market with potential to grow

28-02 | |
Besides Australia, camel dairies are currently found in the US, several countries in Africa, Saudi Arabia, the UAE, Mongolia and Kazakhstan. Photo: Bart Nijs
Besides Australia, camel dairies are currently found in the US, several countries in Africa, Saudi Arabia, the UAE, Mongolia and Kazakhstan. Photo: Bart Nijs

Many of those reading this might be surprised to learn that by 2030, the global camel milk industry is expected to grow to US$2 billion or even as much as US$13 billion  (€1.85 to €12 billion). There have been reports published on the growing popularity of camel milk, which is imported into the UK from the UAE and Saudi Arabia in frozen and powdered form.

There are several reasons why demand for camel milk is strong in some markets. It is a traditional food craved by those who have emigrated from their home countries. Camel milk is also a halal food. Despite being significantly more expensive than cow or goat milk, camel milk has a market among consumers willing to pay a premium for its health benefits. The price varies depending on demand and shipping distances.

Camel milk is low in allergens, making it a good alternative to cow’s milk for those with sensitivities. It also has about 5 times the vitamin C of cow’s milk, and is rich in B vitamins and antioxidants. It has slightly higher salt content than cow’s milk, is much lower in fat and has better storage stability. Camel milk has also been shown to lower blood sugar and improve insulin sensitivity in people with both type 1 and type 2 diabetes. It contains lactoferrin, which has antibacterial, antifungal, antiviral, anti-inflammatory and antioxidant properties.

Leaders at Good Earth Dairy in Western Australia believe camel milk will be a major disruptor to both cow and goat milk globally, particularly as an ingredient for infant formula. “This is due to the superior milk chemistry being more compatible for the human gut,” says Marcel Steingiesser, executive chair.

Besides Australia, camel dairies are currently found in the US, several countries in Africa, Saudi Arabia, the UAE, Mongolia and Kazakhstan. In Africa, Kenya, Somalia and Mali produce about 64% of the world’s camel milk, representing about 8% of total milk production in sub-Saharan Africa.

The largest camel dairy farm in the world, which is in Dubai, has more than 10,000 camels, including the milking herd and males that are sold for meat.

Australia’s camel dairies

There are media reports in Australia indicating that demand for camel milk is increasing, although supply remains very limited, with only 7 camel dairies currently in operation.

Note that before camels were farmed in Australia, they were (and still are) a feral nuisance. According to FeralScan, an initiative run by the Centre for Invasive Species Solutions, Australia’s feral camel population stands at about 1 million.

However, those at Good Earth Dairy, located near the city of Perth in the state of Western Australia, consider the isolated wild Australian camel population to be a positive attribute, ensuring it’s the healthiest herd on the planet.

The company was established in 2015. Steingiesser reports that since then, “we have been developing technologies and know-how to become the lowest-cost producer of the highest-quality camel milk and camel milk powder”.

Minnesota camel farming?

In late 2023, the University of Minnesota Extension announced a collaboration with Somali community members to explore the possibility of camel dairy farming in the state through the University’s Regional Sustainable Development Partnership programme. Minnesota has about 76,000 people of Somali descent.

To see camel dairy farming firsthand, university staff and community members recently travelled to Camelot Farms in Colorado. It is one of the two licensed camel dairies in the US and ships frozen camel milk to consumers across the country.

Up to 5 litres of camel milk can be collected per milking. University of Minnesota Extension dairy educator James Salfer notes that dairy cows have been bred to let down milk very easily, but with camels, it’s more complex. “Often camel dairy farmers leave the calves with the camel or allow them to start nursing to get milk let down and then attached the unit,” he says. “Or, it takes a lot more manual stimulation of the udder and teats.”

Regarding camel dairy potential in the US, Salfer believes the market will only be niche, with mostly consumption by immigrants from countries that consume camel milk. “Because North America has an abundance of high-quality feed and a great infrastructure to harvest, process and transport cow’s milk, it will be very hard for camel milk to compete,” he says, “but I do think there is a market for small farms that will do on-farm processing in areas where there is a demand for it.”

When asked for his outlook on camel milk demand and production in Australia over the next 5 to 20 years, Steingiesser of Good Earth Dairy in Australia is very positive.

“Without any marketing, we are selling over 15,000 litres/year,” he says. “We are now looking to commercialise our technology and raising AUS$16 million (€9.8 million) towards a AUS$30 million (€18.4 million) project that will include a niche-designed camel dairy for 3,000 head and a 21-million liter/year manufacturing facility.”

Small investors are also welcome. The Good Earth Dairy website states that “for as little as AUS$250 you can become part owner of a growing Australian camel milk business looking to become a global player.” The company was also recently awarded a AUS$4.4 million (€2.7 million) government grant towards its growth.

With a planned initial 21 million litres a year, that is very small compared to the 8.2 billion litres of cow milk produced in Australia a year, but it’s certainly significant.

Looking forward, Steingiesser says: “I believe at the right price, with the right flavour and with the required market education, all production can be sold and the growth will only depend on the level of capital invested.”

Hein
Treena Hein Correspondent
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Demand for camel milk on the rise. Photo: Pixabay
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