Goat's milk is naturally homogenized, which means the cream remains suspended in the milk, instead of rising to the top, as in raw cow's milk. If the milk is kept scrupulously clean, it can be drunk raw, greatly improving the benefits.

Many dairy goats, in their prime, average 6 to 8 pounds of milk daily (roughly 3 to 4 quarts) during a ten-month lactation, giving more soon after freshening and gradually dropping in production toward the end of their lactation. The milk generally averages 3.5 percent butterfat. A doe may be expected to reach her heaviest production during her third or fourth lactation.

Some goats are bred for milk, which can be drunk fresh, although pasteurization is recommended to reduce naturally occurring bacteria such as Staphylococcus aureus and Escherichia coli. Goat milk is commonly processed into cheese, and small commercial operations offer goat butter and ice cream. If the strong-smelling buck is not separated from the does, his scent will affect the milk.

Goat milk contains less lactose than cow's milk, so is less likely to trigger lactose intolerance. The milk is naturally homogenized since it lacks the protein agglutinin. The curd is much smaller. The milk also has a more similar makeup (percentage of fats, etc.) to human milk than cow's milk. For these reasons, goat milk may be recommended for infants and people who have difficulty digesting cow's milk. On the other hand the UK Department of Health says that "infant milks based on goats' milk protein are not suitable as a source of nutrition for infants (under 1 year of age)." They also state that "formula derived from goats' milk is also unsuitable for babies who are lactose intolerant as it contains similar levels of lactose to cow's-milk-based infant formulae."

Goat butter is white (compared to yellow butter from cow's milk) because the goats produce milk with the yellow beta-carotene converted to a colorless form of vitamin A. Goat milk can successfully replace cow milk in diets of those who are allergic to cow milk. However, like cow milk, goat milk has lactose (sugar) and may cause gastrointestinal problems for individuals with lactose intolerance. It also contains a form of Casein, a Protein in all Mammal's milk.