Beverage industry sees growth in functional dairy and flavored products

The beverage industry is seeing significant shifts toward functional and flavored products. In the dairy sector, high-protein beverages have grown 122% this decade. The global market for flavored and functional dairy drinks is valued at US$33.6 billion, with flavored milk projected to grow at an annual rate of 6.85% and functional milk at 6.2% through 2034.

Simultaneously, the alcoholic beverage market is seeing innovation through low-alcohol, fruit-flavored options. In Argentina, the launch of Brahma Pomelo y Limón—a sweet, low-alcohol (2.5% ABV) alternative to traditional lager—has gained popularity among consumers seeking lighter, citrus-forward profiles that bridge the gap between beer and ready-to-drink cocktails.