Butter, dairy spreads and milk fats market in Namibia

Earlier Report Observations

The market volume for butter, dairy spreads, and milk fats in Namibia experienced substantial growth from 1 594 tons in 2018 to a peak of 3 273 tons in 2021. This expansion was primarily driven by a sharp increase in imports, which rose from 666 tons to 2 392 tons over the same period, while domestic production grew steadily from 935 tons to 1 017 tons.

After 2021, the market contracted significantly, falling to 2 058 tons in 2022 and further to 1 931 tons in 2023. Imports dropped sharply to 854 tons in 2023, down from over 2 000 tons in previous years. In 2023, rising animal feed costs led to a decline in annual milk production, which reduced the availability of raw milk for the dairy sector and contributed to the decrease in the overall supply of butter, dairy spreads, and milk fats. Domestic production of these products continued to increase, reaching 1 141 tons in 2023, but this growth did not offset the fall in imports.

Production butter, dairy spreads and milk fats in Namibia

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

Namibia's production of butter, dairy spreads, and milk fats has increased for the second year in a row. In 2019, output reached 988.6 t, showing little change from the previous year. The lowest production level was recorded in 2018 at 935.4 t, which represented a 4.9% decline. The largest increase occurred in 2019 with a 5.1% rise.

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

Exports butter, dairy spreads and milk fats from Namibia

Exports in kind, t

Market performance showed noticeable fluctuations during this period. Exports reached their lowest point in 2017 and peaked in 2019, with a 6.8-fold difference between these years. In 2020, Namibia exported 19 t of butter, dairy spreads, and milk fats, marking a 16.6% decrease from 2019. The highest export volume was recorded in 2019 at 23 t, which represented a substantial 231.3% increase.

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

From 2017 to 2020, two key markets—Angola and Zambia—dominated Namibia's exports in kind, together accounting for 99.2% of total flows.

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

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

Exports in value, K $ US

The market exhibited an unstable trend throughout the timeframe. Exports bottomed in 2017 and peaked in 2019, with a 7.7-fold difference. In 2020, Namibia's butter, dairy spreads, and milk fats export value reached 76 K $ US, reflecting a steep 33.3% decline from the previous year. The maximum value was recorded in 2019 at 113 K $ US, which represented a 362.5% increase.

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

Between 2017 and 2020, Angola and Zambia together absorbed 98.7% of Namibia's total export value for butter, dairy spreads, and milk fats, indicating a high degree of market concentration.

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

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

Imports butter, dairy spreads and milk fats to Namibia

Imports in kind, t

Volatility characterized market behavior during these years. Imports reached their lowest point in 2018 and peaked in 2020, with a 3.2-fold gap. In 2020, Namibia's volume of butter, dairy spreads, and milk fats imports totaled 2 152 t, up by 61.2% compared to 2019. The minimum value was recorded in 2018 at 666 t, which represented a 38.2% decline. The largest increase occurred in 2019 with a 100.4% rise.

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

From 2017 to 2020, South Africa almost entirely determined the geographical structure of Namibia's imports in kind for butter, dairy spreads, and milk fats, accounting for 94.4% of total flows.

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

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

Imports in value, K $ US

Namibia's imports of butter, dairy spreads, and milk fats have increased for the third consecutive year. In 2020, Namibia imported 5 365 K $ US worth of these products, reflecting a significant 24.2% rise from the previous year. Between 2017 and 2020, imports grew by 40.5%, equating to an annualized rate of 12.0%.

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

Between 2017 and 2020, Namibia's dependence on South Africa was pronounced, with this market accounting for 91.6% of total import value for butter, dairy spreads, and milk fats.

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

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