Whey protein shortage looms as use of weight-loss drugs fuels global demand

The growing popularity of weight-loss drugs has fuelled global demand for whey protein, sparking concerns among industry experts over a potential shortage.

The price of whey has risen fivefold to record levels as companies race to secure supplies amid a boom driven by growing use of GLP-1 drugs, such as Mounjaro, which often require higher protein intake to preserve muscle mass.

Health advice emphasising protein consumption has also contributed to the rise in demand.

Whey protein is derived from milk during the cheese-making process. It contains all nine essential amino acids and is easily absorbed by the body, making it a popular, high-quality supplement for supporting muscle growth and recovery.

It has become particularly important for people taking GLP-1 weight-loss medications because these drugs can reduce appetite and lead to lower overall food intake. Health professionals often advise GLP-1 users to increase their protein consumption to help preserve muscle mass while losing weight.

Prices for food-grade whey powder across north-west Europe have risen to approximately €1,700 (£1,469) per tonne, the highest level on record. Since the start of the year, prices have increased by more than 50%, according to DCA Market Intelligence data.

Data from Vesper, a commodity intelligence platform for dairy, shows the price of a tonne of whey protein with a concentrate of 80% has risen from £4,302 in June 2023 to £23,751 in June this year.

Jasper Endlich, an analyst at Vesper, said: “If you look at overall supply and demand, the market is still finding a home for the product, but there’s clearly a shortage in the sense that people want more than there physically is available. Manufacturers would like to produce more and build safety stocks, but they haven’t been able to do that.

He added: “The good news is that the market is responding … We’re seeing new production plants open … Where products may once have contained only whey protein, some are now using blends with a small amount of milk protein mixed in. The overall protein content remains broadly similar, but the ingredient cost can be half or even a third of the price. There are ways for companies to manage the pressure while supply catches up.”

A report from the US Department of Agriculture’s dairy market news highlights a tightening whey protein market, particularly for whey protein concentrate (WPC) 34%, a commercial dairy ingredient containing approximately 34% protein, for which prices are rising across the board and the strongest increases are at the top end of the market.