Cheese and curd market in MERCOSUR

Earlier Report Observations

Between 2018 and 2020, the cheese and curd market in MERCOSUR experienced a moderate decline in volume, with the market size falling from 1 093 thousand tons to 1 048 thousand tons. The COVID-19 pandemic in 2020 significantly impacted sales through the HoReCa channel, reducing demand for specialty cheeses. During this period, however, growth in artisanal cheese segments and increased production of varieties like mozzarella provided some market support.

From 2021 onward, the market rebounded strongly, with volume reaching 1 215 thousand tons by 2023 and value soaring to 13 245 million US dollars. This recovery was fueled by investments in new production facilities and industry consolidation through mergers and acquisitions, which expanded capacity and market reach. Shifting consumer preferences, including a greater focus on nutritional value and the influence of social media on cheese selection, further stimulated demand.

Regulatory developments, particularly the Mercosur-European Union agreement, introduced labeling requirements and geographical indication protections, forcing producers to adjust packaging and nomenclature. Concurrently, rising cheese prices due to climatic factors affecting milk costs and the growth of the premium and gourmet cheese segment contributed to substantial increases in market value, even when volume growth was modest.

Production cheese and curd in MERCOSUR

In kind, 2017-2020, K t

Top producers of cheese and curd, 2017-2020

World map of production of cheese and curd, 2017-2020

Cheese and curd production in MERCOSUR declined for the second year in a row. In 2020, the region produced 1,103 thousand tonnes, representing a 1.4% decrease from the previous year. Looking at the period from 2017 to 2020, production grew by 2.3%, with an average annual growth rate of 0.8%. The highest production level was recorded in 2018 at 1,139 thousand tonnes, which marked a 5.7% increase that year. In contrast, 2019 saw the largest decline of 1.8%.

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

In value, 2017-2020, M $ US

Cheese and curd production in MERCOSUR fell for the third consecutive year. In 2020, the output was valued at 4,799 million US dollars, reflecting a 3.5% year-on-year decrease. Over the 2017-2020 period, production dropped by 23.8%, with an average annual decline of 8.6%.

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

Exports cheese and curd from MERCOSUR

Exports in kind, t

In 2020, MERCOSUR's cheese and curd export volume reached 79,493 tonnes, showing a moderate increase of 9.3% compared to 2019. From 2017 to 2020, exports grew by 33.7%, which translates to an average annual growth rate of 10.2%. The largest decline occurred in 2019 at 1.0%, while the biggest increase was recorded in 2018 with a 23.5% rise.

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

Between 2017 and 2020, MERCOSUR's cheese and curd exports were distributed across a wide range of buyers. Russia accounted for 18.0% of exports in volume, Chile for 14.1%, and Mexico for 7.6%. Together, these three countries made up 39.7% of total exports, with the remaining 60.3% spread among numerous other countries, each holding smaller but significant shares.

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

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

Exports in value, M $ US

After two years of decline, MERCOSUR's cheese and curd exports increased in value. In 2020, exports totaled 346.0 million US dollars, marking a limited advance of 7.0% from the previous year. The lowest value was recorded in 2019 at 323.3 million US dollars, which also saw the largest decline of 4.6%.

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

From 2017 to 2020, the value of cheese and curd exports from MERCOSUR was dispersed across various destinations. Russia contributed 20.9% of export value, Chile 13.1%, and Mexico 7.7%. Combined, these three countries represented 41.7% of total export flows, while the remaining 58.3% was distributed among a broad array of other countries.

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

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

Imports cheese and curd to MERCOSUR

Imports in kind, t

Following two years of decline, MERCOSUR's cheese and curd imports increased in volume. In 2020, the region imported approximately 25,017 tonnes, showing a modest rise of 4.6% compared to the previous year. Over the 2017-2020 period, imports decreased by 17.8%, with an average annual decline of 6.3%. The lowest volume was recorded in 2019 at 23,918 tonnes, which also experienced the largest decline of 14.6%.

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

During 2017-2020, key suppliers of cheese and curd to MERCOSUR included the Netherlands with 4.3% of import volume, France with 2.4%, and Italy with 1.2%. However, their combined share reached only 8.0% of total imports, with the remaining 92.0% coming from a diverse range of other partners.

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

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

Imports in value, M $ US

Foreign cheese and curd supplies to MERCOSUR declined for the third year in a row. In 2020, imports were valued at 164.1 million US dollars, showing little change from the previous year. Over the 2017-2020 period, imports fell by 15.5%, with an average annual decrease of 5.5%.

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

From 2017 to 2020, the country breakdown of cheese and curd imports into MERCOSUR in value terms remained scattered. The Netherlands accounted for 6.3% of import value, France for 4.4%, and Italy for 2.5%. Together, these three suppliers made up just 13.3% of total import flows, with no single partner emerging as clearly dominant.

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

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