Butter, dairy spreads and milk fats market in Sweden

Earlier Report Observations

The Swedish market for butter, dairy spreads and milk fats grew from 87 453 t in 2018 to 89 330 t in 2019. This expansion was driven by increased domestic production of butterfat and other milk fats, as dairies shifted output toward higher-fat products. A global butter shortage and elevated world prices also reduced exports, making more product available domestically.

After a sharp drop to 65 627 t in 2020, market volume stabilized near 65 800 t in 2021. During this period, rising costs for dairy farmers and a growing price advantage of margarine over butter began influencing consumer choices, as food prices rose faster than general inflation.

Market volume continued to decline, reaching 55 660 t in 2023, pressured by record-high butter prices driven by soaring costs for feed, energy, transport and packaging. High inflation shifted some consumption toward cheaper alternatives like margarin. However, in 2024 volume recovered to 60 711 t, supported by sustained consumer demand for higher-fat dairy products and a significant increase in the price paid to milk farmers, which helped maintain production incentives.

Production butter, dairy spreads and milk fats in Sweden

In value, 2017-2020, M $ US

Annual dynamics of production in Sweden in value, 2017-2020, M $ US

In kind, 2017-2020, K 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

In 2020, Sweden produced 52.2 K t of butter, dairy spreads, and milk fats, marking a sharp 32.0% decrease from the previous year. Over the 2017-2020 period, production fell by 35.1%, with a compound annual growth rate of -13.4%. The largest increase occurred in 2019, at 2.1%.

Annual dynamics of production in Sweden in kind, 2017-2020, K t

Exports butter, dairy spreads and milk fats from Sweden

Exports in kind, t

The market showed an unstable trend throughout this period. Exports reached their lowest point in 2017 and peaked in 2018, with a two-fold difference between these years. In 2020, Sweden exported 2 795 t of butter, dairy spreads, and milk fats, a 12.6% increase from 2019. The maximum volume was recorded in 2018 at 3 621 t. The largest decline occurred in 2019, at 31.4%, while the largest increase was in 2018, at 99.0%.

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

From 2017 to 2020, Denmark, the Netherlands, and Bunkers were the top contributors to Sweden's exports in kind, accounting for 67.5%, 8.2%, and 5.6% of the total, respectively. Together, they made up 81.4% of all export flows.

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

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

Exports in value, K $ US

Market behavior was volatile during these years. Export values dropped to their minimum in 2017 and climbed to their maximum in 2018, showing a 2.1-fold shift. In 2020, Sweden's butter, dairy spreads, and milk fats export value reached 10 922 K $ US, a 3.3% rise compared to 2019. The highest value was recorded in 2018 at 20 459 K $ US. The largest decline occurred in 2019, at 48.3%, while the largest increase was in 2018, at 105.4%.

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

Between 2017 and 2020, three key markets—Denmark, the Netherlands, and Belgium—collectively accounted for 80.4% of Sweden's total butter, dairy spreads, and milk fats exports in value terms.

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

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

Imports butter, dairy spreads and milk fats to Sweden

Imports in kind, t

In 2020, Sweden imported 16 221 t of butter, dairy spreads, and milk fats, up 7.6% from the prior year. From 2017 to 2020, imports grew by 20.8%, equating to an annualized rate of 6.5%. The largest decline was in 2019, at 5.2%, while the largest increase occurred in 2018, at 18.3%.

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

From 2017 to 2020, three principal markets—Finland, Denmark, and the Netherlands—together accounted for 93.8% of Sweden's total butter, dairy spreads, and milk fats imports in kind.

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

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

Imports in value, K $ US

Butter, dairy spreads, and milk fats imports into Sweden declined for the second consecutive year. In 2020, import value totaled 71 304 K $ US, indicating a slight fall of 1.6% from the prior year. Over the 2017-2020 period, imports decreased by 4%, with a compound annual growth rate of -1.4%. The maximum value was recorded in 2018 at 90 915 K $ US. The largest decline occurred in 2019, at 20.3%, while the largest increase was in 2018, at 22.4%.

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

In 2017-2020, Finland, Denmark, and the Netherlands were the main sources for Sweden's imports in value terms, accounting for 40.2%, 28.4%, and 24.0% of the total, respectively. Together, they made up 92.6% of all import flows.

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

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