Butter market in Russia

Earlier Report Observations

The Russian butter market volume grew from 347 thousand tons in 2018 to 428 thousand tons in 2024. Initial expansion was supported by a surge in imports from Belarus and the introduction of new product segments like spreads in 2019. The COVID-19 pandemic in 2020 disrupted supply chains but simultaneously accelerated the growth of domestic butter output as reliance on foreign supplies diminished.

From 2021, import restrictions and sanctions targeting unfriendly countries prompted a sharp rise in domestic production, which jumped by over 15% in 2022. This significant increase in output compensated for falling imports and drove the total market volume upward, despite concurrent inflationary pressures and higher costs for raw materials.

The market continued to grow in 2024, with volume increasing by 3.5% alongside a recovery in imports. Domestic production maintained its upward trajectory, reaching 341 thousand tons in 2025.

Production butter in Russia

In kind, 2018-2021, K t

Russia's butter production has grown for the third year in a row. In 2021, the country produced 282.5 thousand tons of butter, marking a modest year-over-year increase of 1.8%. From 2018 to 2021, overall production rose by 6%, which translates to an average annual growth rate of 1.9%.

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

Exports butter from Russia

Exports in kind, K t

The market showed considerable volatility during this period. Exports reached their lowest point in 2019 at 1.6 thousand tons, then surged to a peak of 3.2 thousand tons in 2020—a 1.9-fold difference between these years. In 2021, Russia's butter export volume totaled 2.7 thousand tons, representing a 16.0% decrease compared to the previous year. The largest decline occurred in 2019, falling by 32.7%, while the most significant increase was recorded in 2020, jumping by 94.1%.

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

From 2018 to 2021, Kazakhstan, Ukraine, and Azerbaijan formed the core group of markets for butter exports in volume terms. Kazakhstan accounted for 47.5% of exports, Ukraine for 28.8%, and Azerbaijan for 5.2%. Together, these three countries represented 81.4% of total export flows.

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

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

Exports in value, M $ US

The market displayed an unstable trend over these years. Exports in value terms hit their lowest point in 2019 at 6.4 million US dollars, then climbed to a peak of 12.9 million US dollars in 2021—a fluctuation of 2 times between these extremes. In 2021, Russia's butter exports totaled 12.9 million US dollars, reflecting a 3.4% year-over-year rise. The largest decline was recorded in 2019, dropping by 23.9%, while the most substantial increase occurred in 2020, growing by 96.4%.

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

Between 2018 and 2021, Kazakhstan, Ukraine, and Azerbaijan consistently led in the country structure of butter exports by value. Kazakhstan held a 41.6% share, Ukraine accounted for 29.7%, and Azerbaijan made up 6.3%. Collectively, these three markets represented 77.6% of total export flows.

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

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

Imports butter to Russia

Imports in kind, K t

Russia's butter imports have increased for the third consecutive year. In 2021, import volume reached 111.8 thousand tons, showing little change compared to 2020. From 2018 to 2021, imports grew by 40%, with a compound annual growth rate of 11.9%.

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

During the 2018–2021 period, Belarus, New Zealand, and Argentina were the main sources of butter imports to Russia in volume terms. Belarus accounted for 66.5% of imports, New Zealand for 11.3%, and Argentina for 8.5%. Together, these three countries made up 86.4% of total import flows.

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

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

Imports in value, M $ US

In 2021, Russia imported 529.1 million US dollars worth of butter, which is 6.3% more than in 2020. From 2018 to 2021, imports increased by 41.3%, with a compound annual growth rate of 12.2%. The highest value was recorded in 2019 at 566.1 million US dollars. The largest decline occurred in 2020, falling by 12.1%, while the most significant increase was in 2019, rising by 51.2%.

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

From 2018 to 2021, Belarus, New Zealand, and Argentina dominated the geographical breakdown of butter imports to Russia by value. Belarus held a 69.2% share, New Zealand accounted for 10.5%, and Argentina made up 7.5%. Combined, these three destinations represented 87.2% of total import flows.

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

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