Butter, dairy spreads and milk fats market in Brazil

Earlier Report Observations

From 2018 to 2020, the Brazilian butter and dairy spreads market volume grew from 224.5 thousand tons to 274.1 thousand tons. This expansion was driven by a shift in consumer preferences, as studies indicated dairy fats posed lower health risks than the trans fats found in margarine, increasing demand for premium and European-style butter.

After stabilizing near 270 thousand tons in 2021, influenced by a 122% cumulative price rise over the previous six years that tempered affordability, the market surged to 297.2 thousand tons in 2022. Economic recovery in Brazil and innovations in flavors and packaging stimulated consumption, while the biodiesel sector's growing use of vegetable oils reduced raw material availability for margarine, making butter more competitive.

Market volume remained steady at 296.1 thousand tons in 2023. During this period, emerging product trends like certified zero-carbon organic butter and cultured butter with higher fat content began targeting sustainability-minded and sophisticated consumers, diversifying the market offerings.

Production butter, dairy spreads and milk fats in Brazil

In kind, 2018-2021, K t

Brazil was among the world's leading producers of butter, dairy spreads, and milk fats from 2018 to 2021, ranking 14th globally by production volume.

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

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

Brazil's production of butter, dairy spreads, and milk fats saw a two-year increase before declining. In 2021, production reached 264.4 thousand tonnes, marking a 2.8% decrease year-over-year. Over the 2018-2021 period, production grew by 20.9%, with a compound annual growth rate of 6.5%. The highest production level was recorded in 2020 at 272.1 thousand tonnes, while the largest annual increase occurred in 2019 at 16.6%.

Annual dynamics of production in Brazil in kind, 2018-2021, K t

In value, 2018-2021, M $ US

In 2021, the output of butter, dairy spreads, and milk fats in Brazil was valued at 1 119 million US dollars, representing a 6.8% decrease from the previous year. Over the 2018-2021 period, production value declined by 9.5%, with a compound annual growth rate of -3.3%. The largest annual increase was recorded in 2020 at 0.9%.

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

Exports butter, dairy spreads and milk fats from Brazil

Exports in kind, t

The market exhibited volatility during the observed period. Exports reached their lowest point in 2018 and peaked in 2021, with a 4.6-fold difference between these years. In 2021, butter, dairy spreads, and milk fats exports from Brazil totaled 581 tonnes, reflecting a 78.6% increase compared to 2020. The largest decline occurred in 2020 at 18.6%, while the largest increase was recorded in 2019 at 217.7%.

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

From 2018 to 2021, Uruguay, Chile, and Argentina were the key partners for Brazil's exports in kind. Uruguay accounted for 47.6% of exports, Chile for 23.2%, and Argentina for 5.6%, together making up 76.4% of total export flows.

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

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

Exports in value, K $ US

The data shows irregular changes, indicating a volatile market environment. The lowest export value was noted in 2018, while the highest occurred in 2021, with a peak-to-trough ratio of 3.5 times. In 2021, butter, dairy spreads, and milk fats exports from Brazil stood at 2 460 thousand US dollars, marking a steep rise of 71.3% compared to 2020. The largest decline was recorded in 2020 at 23.1%, and the largest increase in 2019 at 162.1%.

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

From 2018 to 2021, Uruguay, Chile, and the United States accounted for the largest share of Brazil's exports in value terms. Uruguay represented 44.9% of exports, Chile 19.1%, and the United States 6.6%, together comprising 70.6% of total export flows.

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

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

Imports butter, dairy spreads and milk fats to Brazil

Imports in kind, t

Market performance showed noticeable fluctuations during this period. Imports reached their lowest point in 2020 and peaked in 2021, with a 2.6-fold difference between these years. In 2021, butter, dairy spreads, and milk fats imports into Brazil reached 6 000 tonnes, marking a sharp increase of 156.4% compared to the previous year. The minimum value was recorded in 2020 at 2 340 tonnes, with the largest decline also occurring in 2020 at 52.0%.

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

Over the 2018-2021 period, Argentina, Uruguay, and New Zealand were the leading sources for Brazil's imports in kind. Argentina accounted for 60.5% of imports, Uruguay for 15.3%, and New Zealand for 13.3%, together representing 89.1% of total import flows.

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

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

Imports in value, K $ US

Volatility characterized the market behavior during these years. Imports reached their lowest point in 2020 and peaked in 2018, with a 2.9-fold difference between these years. In 2021, Brazil imported 29 595 thousand US dollars worth of butter, dairy spreads, and milk fats, indicating a sharp gain of 138.0% compared to 2020. The minimum value was recorded in 2020 at 12 434 thousand US dollars, with the largest decline also in 2020 at 53.6%.

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

From 2018 to 2021, Argentina, New Zealand, and Uruguay headed the ranking of suppliers of butter, dairy spreads, and milk fats to Brazil in value terms. Argentina accounted for 56.1% of imports, New Zealand for 15.0%, and Uruguay for 14.0%, with their combined share reaching 85.1% of total imports.

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

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