Butter, dairy spreads and milk fats market in Azerbaijan

Earlier Report Observations

The market for butter, dairy spreads, and milk fats in Azerbaijan expanded steadily between 2018 and 2023, with total consumption rising from 59 157 tonnes to 69 408 tonnes. This growth was driven by consistent increases in domestic production, which climbed from 47 275 tonnes to 54 044 tonnes over the same period.

Imports also played a significant role, nearly doubling from 12 115 tonnes in 2018 to 16 597 tonnes in 2023, although with annual fluctuations. Export volumes remained relatively low during these years, never exceeding 1 600 tonnes, so they had a minimal impact on overall market size.

After a period of rapid growth in 2019 and 2020, the market's pace slowed noticeably from 2021 onward, with annual increases of less than 1% reflecting a phase of stabilization.

Production butter, dairy spreads and milk fats in Azerbaijan

In kind, 2018-2021, t

Top producers of butter, dairy spreads and milk fats, 2018-2021

World map of production of butter, dairy spreads and milk fats, 2018-2021

Azerbaijan's production of butter, dairy spreads, and milk fats has grown for the third year in a row. In 2021, the country produced 53 932 tonnes, marking a 4.4% increase from the previous year. Looking at the period from 2018 to 2021, production rose by 14.1%, with an average annual growth rate of 4.5%.

Annual dynamics of production in Azerbaijan in kind, 2018-2021, t

In value, 2018-2021, M $ US

In 2021, the output of butter, dairy spreads, and milk fats in Azerbaijan was valued at 271.8 million US dollars, reflecting an 18.7% increase compared to the previous year. Over the 2018-2021 period, production value grew by 33.3%, averaging 10.1% per year. The largest decline occurred in 2020, at 7.8%, while the biggest increase was in 2019, at 21.7%.

Annual dynamics of production in Azerbaijan in value, 2018-2021, M $ US

Exports butter, dairy spreads and milk fats from Azerbaijan

Exports in kind, t

The market showed significant fluctuations during this period. From 2018 to 2019, exports varied by a factor of 6.7 between the peak and trough. In 2021, Azerbaijan exported 256 tonnes of butter, dairy spreads, and milk fats, representing a sharp 34.1% drop from 2020. The highest volume was recorded in 2019 at 1 573 tonnes, with the largest decline of 75.3% in 2020 and the biggest increase of 573.1% in 2019.

Annual dynamics of product's exports from Azerbaijan in kind, 2018-2021, t

From 2018 to 2021, Russia dominated Azerbaijan's exports in kind, accounting for 99.7% of total flows.

Structure of product's exports in kind by countries, 2018-2021

World map of product's exports from Azerbaijan in kind, 2018-2021

Exports in value, K $ US

The market exhibited volatility over the observed period. Export values reached their lowest point in 2018 and peaked in 2019, with a 7.7-fold difference between these years. In 2021, foreign supplies of butter, dairy spreads, and milk fats from Azerbaijan amounted to 1 288 thousand US dollars, showing a steep 25.1% year-on-year decline. The maximum value was 7 719 thousand US dollars in 2019, with the largest decline of 77.7% in 2020 and the biggest increase of 666.0% in 2019.

Annual dynamics of product's exports from Azerbaijan in value, 2018-2021, K $ US

From 2018 to 2021, Russia was overwhelmingly the main destination for Azerbaijan's exports in value terms, representing 99.6% of total flows.

Structure of product's exports in value by countries, 2018-2021

World map of product's exports from Azerbaijan in value, 2018-2021

Imports butter, dairy spreads and milk fats to Azerbaijan

Imports in kind, t

After rising for two years, Azerbaijan's imports of butter, dairy spreads, and milk fats declined. In 2021, imports totaled 15 034 tonnes, a solid 10.5% decrease from the previous year. Between 2018 and 2021, imports increased by 24.1%, equivalent to an annualized rate of 7.5%. The highest volume was 16 806 tonnes in 2020, which also saw the largest increase of 19.8%.

Annual dynamics of product's imports to Azerbaijan in kind, 2018-2021, t

From 2018 to 2021, New Zealand (50.9% of imports in kind), Ukraine (20.6%), and Belarus (11.1%) were the leading sources for Azerbaijan's imports in kind, together making up 82.5% of total flows.

Structure of product's imports in kind by countries, 2018-2021

World map of product's imports to Azerbaijan in kind, 2018-2021

Imports in value, K $ US

Following a two-year rise, Azerbaijan's import volume of butter, dairy spreads, and milk fats decreased. In 2021, imports amounted to 78 856 thousand US dollars, a moderate 4.5% drop from the previous year. Over the 2018-2021 period, imports grew by 13.2%, with an average annual rate of 4.2%. The peak value was 82 608 thousand US dollars in 2020, which also recorded the largest increase of 15.4%.

Annual dynamics of product's imports to Azerbaijan in value, 2018-2021, K $ US

From 2018 to 2021, New Zealand (52.2% of imports in value terms), Ukraine (19.1%), and Belarus (11.1%) consistently held the top positions in Azerbaijan's import structure, jointly accounting for 82.4% of total flows.

Structure of product's imports in value by countries, 2018-2021

World map of product's imports to Azerbaijan in value, 2018-2021