— The International Dairy Foods Association, based in Washington, DC, represents the nation’s dairy manufacturing and marketing industry, which supports more than 3 million jobs. Michael Dykes, president and chief executive officer for IDFA, authored this article.

An analysis of milk sales across all major sales channels shows lactose-free milk continuing to surge. The analysis of lactose-free sales done by PRIME Consulting shows lactose-free options represented 8% of all milk volume sales in 2023 across retail (grocery and supercenters) and institutions, the largest share of lactose-free volume sales in history.

However, sales of lactose-free milk in schools were just 0.6% of all milk sales, while sales on US military bases are more than 28 times greater than that.

A poll by Morning Consult shows eight in 10 likely voters believe it is important for public school lunches (81%) and federal nutrition programs (80%) to provide lactose-free milk options to kids who prefer them.

Giving kids options

The split screen on lactose-free milk is startling: 8% of all sales at the grocery store versus just 0.6% at schools. Like whole milk and 2% — which make up most retail sales in the US — kids are not getting their preferred milk in school.

Approximately 30 million students get a meal at school every day, but this data shows lactose-free milk options are not available to students who need or prefer them. Why?

The US Department of Agriculture (USDA) has not made lactose-free a priority at schools, despite its wide and growing availability. First, USDA does not offer many bids on lactose-free milk. Second, schools are not equipped with the funds to procure lactose-free milk. Third, there is little to no education occurring at schools about the benefits of lactose-free milk, especially for students who experience lactose sensitivity.

As a result, major barriers like mandatory doctor’s notes, no lactose-free options in most schools, and a negative stigma around lactose-free milk persist. Instead of lactose-free milk with 13 essential nutrients, schools may be serving juice or alternatives that are not nutritionally equivalent. That is why IDFA is recommending processors and distributors work with schools to remove barriers and make real lactose-free milk widely available.

New guidelines

The federal government can also give lactose-free a needed boost by making it more central in the 2025-2030 Dietary Guidelines for Americans report due out next year. Rather than burying lactose-free mentions deep in the dietary recommendations, it should be central to all dairy messaging and recommendations in the report.

Despite these challenges, sales of lactose-free milk in schools increased from 0.2% in 2022 to 0.6% in 2023 as school milk processors make new products available to schools to meet the needs and preferences of American students. Processors are installing new lactose-free lines in existing bottling plants. Some processors are considering converting entire conventional HTST plants to lactose-free milk to keep up with rising demand.

The lactose-free market is booming because consumers are realizing they can get a high-protein and low-sugar beverage option without discomfort for those who experience lactose sensitivity. As a result, lactose-free volume was up 11.6% in 2024 through May, while alternatives were down 4.7%. Case in point: lactose-free milk has consistently outpaced the almond category in gallons and dollars over the past five years.

But when will the federal government catch up? Although most shoppers have never tried lactose-free options, a majority across the political spectrum support US government funding to ensure lactose-free milk is more available in schools. Making lactose-free products more available across all channels — retail, schools, military, institutions, food service — will lead to increased sales and meet the needs of consumers who experience lactose sensitivity.