Concentrated milk and cream market in Colombia

Earlier Report Observations

Between 2018 and 2020, the market volume for concentrated milk and cream in Colombia increased from 23.2 thousand tonnes to 23.7 thousand tonnes. This growth was primarily driven by dairy farmers raising milk output to compensate for low raw milk prices, a trend that began in 2018. In 2020, high production costs, exacerbated by the depreciation of the Colombian peso, further encouraged domestic production and contributed to a drop in imports.

Market volume dipped slightly in 2021 to 23.7 thousand tonnes as per capita milk consumption fell due to inflation and rising retail prices, which reduced household purchasing power. Despite further significant consumer price increases in 2022, market volume jumped to 25.2 thousand tonnes, a rise possibly supported by major industry players' efforts to maintain product affordability. However, in 2023, volume declined to 24.8 thousand tonnes amid continued decreases in per capita consumption and persistently high costs for feed, labor, and transportation.

Throughout this period, the market's dynamics were shaped by a substantial informal sector, which accounted for over 60% of raw milk sales by 2022 and constrained the formal market's recovery. The industry remained highly concentrated, with leading companies like Colanta, Alpina, Alquería, and Nestlé dominating production and sales, reflecting a consolidated market structure.

Production concentrated milk and cream in Colombia

In kind, 2017-2020, t

Colombia was among the world's leading producers of concentrated milk and cream from 2017 to 2020, ranking 30th globally by production volume.

Top producers of concentrated milk and cream, 2017-2020

World map of production of concentrated milk and cream, 2017-2020

Colombia's production of concentrated milk and cream grew for the third consecutive year. In 2020, the country produced 24 176 tonnes, marking a modest increase of 3.6% compared to 2019. Over the 2017-2020 period, production rose by 7.1%, with an average annual growth rate of 2.3%.

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

In value, 2017-2020, K $ US

In 2020, the output of concentrated milk and cream in Colombia was valued at 79 052 thousand US dollars, representing a significant increase of 21.3% from the previous year. From 2017 to 2020, production value grew by 15.1%, with an average annual growth rate of 4.8%. The lowest value was recorded in 2019 at 65 169 thousand US dollars, which saw the largest decline of 15.7%.

Annual dynamics of production in Colombia in value, 2017-2020, K $ US

Exports concentrated milk and cream from Colombia

Exports in kind, t

Colombia's exports of concentrated milk and cream increased for the second consecutive year. In 2020, the country exported 523.7 tonnes, showing a sharp rise of 60.3% year-on-year. Between 2017 and 2020, exports grew by 9.8%, equating to an annualized rate of 3.2%. The lowest volume was in 2018 at 284.1 tonnes, which experienced the largest decline of 40.4%.

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

From 2017 to 2020, Peru, Costa Rica, and Ecuador were the top buyers of concentrated milk and cream from Colombia, accounting for 35.6%, 26.5%, and 23.7% of exports in kind, respectively. Together, these three countries made up 85.9% of Colombia's total exports in this category.

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

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

Exports in value, K $ US

The export market for concentrated milk and cream showed volatility during the observed period. In 2019, exports bottomed at 912 thousand US dollars, while in 2020, they peaked at 1 712 thousand US dollars, representing a 1.9-fold difference. The 2020 figure was up by 87.7% compared to 2019. The largest decline occurred in 2018, with a drop of 35.0%.

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

Over the 2017-2020 period, Peru, Ecuador, and Costa Rica were the primary buyers of concentrated milk and cream from Colombia in value terms, with shares of 41.3%, 23.6%, and 22.2%, respectively. Collectively, these countries accounted for 87.1% of total export value.

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

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

Imports concentrated milk and cream to Colombia

Imports in kind, t

Colombia's imports of concentrated milk and cream declined for the third consecutive year. In 2020, imports amounted to 84.5 tonnes, down by 63.4% from the previous year. Between 2017 and 2020, imports decreased by 70.1%, equating to an annualized decline of 33.1%.

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

Throughout 2017-2020, Peru dominated Colombia's imports of concentrated milk and cream in kind, accounting for 72.7% of the total. The remaining volume was distributed among various other countries, each with smaller individual shares.

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

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

Imports in value, K $ US

Foreign supplies of concentrated milk and cream to Colombia fell for the third consecutive year. In 2020, import value amounted to 159 thousand US dollars, a decrease of 63.6% compared to the previous year. Over the 2017-2020 period, imports declined by 69%, with an average annual decrease of 32.3%.

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

From 2017 to 2020, Peru remained the main source of concentrated milk and cream imports to Colombia, holding 72.4% of total import value. The rest was spread across other countries.

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

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