Concentrated milk and cream market in Eastern Europe (including Northern Asia)

Earlier Report Observations

The concentrated milk and cream market in Eastern Europe experienced significant fluctuations between 2018 and 2023. Initial growth in 2018, with volume at 659 thousand tons, was fueled by rising domestic dairy demand and improved raw milk supply stability. The following year saw a contraction to 601 thousand tons, attributed to market consolidation that heightened price competition and increased pressure from imported milk powder.

A recovery in 2020 brought volume to 661 thousand tons, even as drought and early sanctions impacted costs. However, by 2021, escalating feed and electricity prices pushed volume down to 581 thousand tons, while new product segments like lactose-free and fortified creams began to appear.

From 2022 onward, the market expanded, reaching 597 thousand tons that year and 616 thousand tons in 2023. This growth was supported by higher global dairy prices, which reduced import competitiveness, and EU import restrictions that favored domestic production.

Production concentrated milk and cream in Eastern Europe (including Northern Asia)

In kind, 2017-2020, K t

Top producers of concentrated milk and cream, 2017-2020

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

Following two consecutive years of decline, Eastern Europe (including Northern Asia) saw an increase in concentrated milk and cream production. In 2020, the region produced 689.9 K t, marking a 13.8% year-over-year growth. Over the 2017-2020 period, production decreased by 5.4%, with a compound annual growth rate of 1.8%. The lowest production level was recorded in 2019 at 606.1 K t, which also saw the largest decline of 10.8%.

Annual dynamics of production in Eastern Europe (including Northern Asia) in kind, 2017-2020, K t

In value, 2017-2020, M $ US

After two years of contraction, Eastern Europe (including Northern Asia) experienced growth in the value of concentrated milk and cream production. In 2020, output was valued at 1 107 M $ US, representing a solid 21.2% increase compared to 2019. Between 2017 and 2020, production value decreased by 11.1%, equating to an annualized rate of 3.9%. The minimum value was recorded in 2019 at 913 M $ US, which also saw the largest decline of 17.7%.

Annual dynamics of production in Eastern Europe (including Northern Asia) in value, 2017-2020, M $ US

Exports concentrated milk and cream from Eastern Europe (including Northern Asia)

Exports in kind, K t

In 2020, concentrated milk and cream exports from Eastern Europe (including Northern Asia) amounted to 104.7 K t, showing a slight reduction of 2.0% from the previous year. Between 2017 and 2020, exports decreased by 20.5%, with an annualized rate of 7.3%. The lowest export volume was recorded in 2018 at 102.5 K t, which also experienced the largest decline of 22.2%. In contrast, 2019 saw the largest increase of 4.3%.

Annual dynamics of product's exports from Eastern Europe (including Northern Asia) in kind, 2017-2020, K t

From 2017 to 2020, concentrated milk and cream from Eastern Europe (including Northern Asia) was exported to numerous countries. Even the top three destinations—Kazakhstan, Germany, and Turkmenistan—together accounted for only 26.4% of total exports in volume terms.

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

World map of product's exports from Eastern Europe (including Northern Asia) in kind, 2017-2020

Exports in value, M $ US

Following two years of decline, concentrated milk and cream exports from Eastern Europe (including Northern Asia) increased. In 2020, the region exported 168.0 M $ US worth of concentrated milk and cream, marking a 4.3% rise compared to the previous year. Over the 2017-2020 period, exports decreased by 25.3%, with a compound annual growth rate of 9.3%. The minimum value was recorded in 2019 at 161.0 M $ US, while the largest decline occurred in 2018 at 25.6%.

Annual dynamics of product's exports from Eastern Europe (including Northern Asia) in value, 2017-2020, M $ US

During 2017–2020, the value of concentrated milk and cream exports from Eastern Europe (including Northern Asia) was distributed across a wide range of markets. The top three destinations—Kazakhstan (15.2% of export value), Germany (4.3%), and the Netherlands (4.0%)—jointly accounted for only 23.5% of total export flows.

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

World map of product's exports from Eastern Europe (including Northern Asia) in value, 2017-2020

Imports concentrated milk and cream to Eastern Europe (including Northern Asia)

Imports in kind, K t

In 2020, Eastern Europe (including Northern Asia) imported 75.9 K t of concentrated milk and cream, down by 25.4% compared to the previous year. Between 2017 and 2020, imports decreased by 42.2%, with an annualized rate of 16.7%. The largest decline was recorded in 2018 at 37.6%, while the largest increase occurred in 2019 at 24.1%.

Annual dynamics of product's imports to Eastern Europe (including Northern Asia) in kind, 2017-2020, K t

The country composition of imports in volume terms from 2017 to 2020 was highly dispersed. Germany (30.7% of import volume), the Netherlands (5.1%), and Ireland (4.1%) together formed just 40.0% of total flows, with the remaining 60.0% spread across a wide range of other countries.

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

World map of product's imports to Eastern Europe (including Northern Asia) in kind, 2017-2020

Imports in value, M $ US

Eastern Europe (including Northern Asia) saw concentrated milk and cream imports increase for the second consecutive year. In 2020, the region imported 190.3 M $ US worth of concentrated milk and cream, indicating an 8.2% rise from 2019. Between 2017 and 2020, imports decreased by 5.1%, equating to an annualized rate of 1.7%. The minimum value was recorded in 2018 at 158.3 M $ US, which also experienced the largest decline of 21.1%. In contrast, 2019 saw the largest increase of 11.1%.

Annual dynamics of product's imports to Eastern Europe (including Northern Asia) in value, 2017-2020, M $ US

The market base for imports in value terms from 2017 to 2020 was broad. Germany (18.9% of import value), the Netherlands (9.4%), and Ireland (8.4%) jointly accounted for just 36.8% of total flows, with the remaining 63.2% shared by numerous other countries.

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

World map of product's imports to Eastern Europe (including Northern Asia) in value, 2017-2020