Butter, dairy spreads and milk fats market in Caribbean

Earlier Report Observations

The Caribbean market for butter, dairy spreads, and milk fats contracted over the 2018–2023 period, with total volume falling from 17 thousand tons in 2018 to 14.2 thousand tons in 2023. The decline was most pronounced between 2018 and 2021, when market size dropped by 19% to 13.8 thousand tons, before a partial recovery to 15.3 thousand tons in 2022.

This movement was driven by a steady decrease in domestic production, which fell by 20% from 8.3 thousand tons to 6.7 thousand tons, coupled with volatile import flows. Imports initially declined from 9.2 thousand tons to 6.8 thousand tons in 2021, then surged to 8.7 thousand tons in 2022 before moderating to 7.5 thousand tons in 2023.

In recent years, the market has been shaped by growing demand from the foodservice sector, including fast‑food chains, restaurants, and hotels, as well as a consumer shift toward natural butter and high‑fat dairy products perceived as healthier. International regulations, such as the WHO REPLACE initiative to eliminate industrial trans fats, have also spurred reformulation efforts, influencing demand for dairy‑based fats.

Production butter, dairy spreads and milk fats in Caribbean

In kind, 2017-2020, t

Top producers of butter, dairy spreads and milk fats, 2017-2020

World map of production of butter, dairy spreads and milk fats, 2017-2020

Caribbean's production of butter, dairy spreads, and milk fats declined for the second consecutive year. In 2020, production remained virtually unchanged at 7 658 tonnes compared to the previous year. Between 2017 and 2020, production increased by 7.6%, which translates to an annualized growth rate of 2.5%. The highest production level was recorded in 2018 at 8 347 tonnes. The largest decline occurred in 2019, with an 8.1% drop, while the largest increase was in 2018, with a 17.2% rise.

Annual dynamics of production in Caribbean in kind, 2017-2020, t

Exports butter, dairy spreads and milk fats from Caribbean

Exports in kind, t

The market exhibited significant volatility during this period. Exports reached their lowest point in 2017 and peaked in 2019, with a 23-fold difference between these years. In 2020, Caribbean's exports of butter, dairy spreads, and milk fats amounted to 149 tonnes, marking a sharp 71.3% decrease from 2019. The highest export volume was recorded in 2019 at 521 tonnes. The largest increase occurred in 2018, with a dramatic 2 124.2% surge.

Annual dynamics of product's exports from Caribbean in kind, 2017-2020, t

From 2017 to 2020, Caribbean's exports in kind were highly diversified. Chile accounted for 5.0% of exports, the United States for 4.8%, and Mexico for 1.9%, totaling just 11.7% of all flows. The remaining 88.3% was distributed among a wide range of smaller markets.

Structure of product's exports in kind by countries, 2017-2020

World map of product's exports from Caribbean in kind, 2017-2020

Exports in value, K $ US

The market showed an unstable trend throughout the timeframe. Export volumes varied 6.6 times from the low in 2020 to the high in 2018. In 2020, Caribbean's foreign supplies of butter, dairy spreads, and milk fats amounted to 471 thousand US dollars, representing a steep 81.3% year-over-year decline. The maximum value was recorded in 2018 at 3 098 thousand US dollars. The largest increase occurred in 2018, with a 78.8% rise.

Annual dynamics of product's exports from Caribbean in value, 2017-2020, K $ US

Between 2017 and 2020, Caribbean's butter, dairy spreads, and milk fats were exported to numerous markets. Even the largest destinations—the United States, Spain, and Bunkers—together accounted for only 12.9% of total exports in value terms.

Structure of product's exports in value by countries, 2017-2020

World map of product's exports from Caribbean in value, 2017-2020

Imports butter, dairy spreads and milk fats to Caribbean

Imports in kind, t

Caribbean's imports of butter, dairy spreads, and milk fats declined for the second consecutive year. In 2020, imports totaled 7 423 tonnes, down 17.2% from the previous year. Between 2017 and 2020, imports decreased by 14.1%, equivalent to an annualized decline of 4.9%. The highest import volume was recorded in 2018 at 9 172 tonnes. The largest increase occurred in 2018, with a 6.2% rise.

Annual dynamics of product's imports to Caribbean in kind, 2017-2020, t

From 2017 to 2020, the main suppliers of butter, dairy spreads, and milk fats to Caribbean were New Zealand, accounting for 30.9% of imports in kind, the United States at 17.0%, and Mexico at 8.4%. Together, these three countries comprised 56.3% of total imports in kind.

Structure of product's imports in kind by countries, 2017-2020

World map of product's imports to Caribbean in kind, 2017-2020

Imports in value, K $ US

Caribbean's imports of butter, dairy spreads, and milk fats declined for the second consecutive year. In 2020, imports amounted to approximately 39 822 thousand US dollars, a 24.4% decrease from the previous year. Over the 2017-2020 period, imports fell by 15.3%, with a compound annual growth rate of -5.4%. The highest value was recorded in 2018 at 56 145 thousand US dollars. The largest increase occurred in 2018, with a 19.5% rise.

Annual dynamics of product's imports to Caribbean in value, 2017-2020, K $ US

Between 2017 and 2020, the main sources of Caribbean's imports in value terms were New Zealand, representing 34.2% of imports, the United States at 15.1%, and Ireland at 10.7%. Combined, these three countries accounted for 60.0% of total import flows.

Structure of product's imports in value by countries, 2017-2020

World map of product's imports to Caribbean in value, 2017-2020