Concentrated not sweetened milk and cream market in Central America

Earlier Report Observations

Between 2018 and 2020, the market volume for concentrated not sweetened milk and cream in Central America experienced significant shifts. The 2018 volume of 161.6 thousand tons was supported by a 5% increase in regional milk production, driven by government-backed technical assistance and best practices. However, in 2019, the market contracted to 144.4 thousand tons as exports surged to 17.7 thousand tons, likely facilitated by the zero-tariff regime of the Central American Common Market. Recovery followed in 2020, with volume reaching 155.1 thousand tons due to higher imports and production, despite Panama's trade restrictions that temporarily disrupted Costa Rican milk exports but led to diversification to other markets.

From 2021 to 2023, market volume fluctuated within a narrow band. A slight dip to 153.8 thousand tons in 2021 gave way to a further decline to 149.7 thousand tons in 2022, when lower production and sustained exports outweighed tariffed imports of concentrated milk from Chile and Peru. By 2023, volume rebounded to 155.8 thousand tons, mirroring a recovery in domestic output.

In 2024, the region reached a milestone with the completion of the tariff phase-out for sensitive dairy products under DR-CAFTA, establishing free trade with the United States under a 6.6% tariff. Concurrently, the sector emphasized sustainability through genetic improvement, advanced farm monitoring technologies, and reduced reliance on imported feed, aiming to bolster long-term efficiency and production resilience.

Production concentrated not sweetened milk and cream in Central America

In kind, 2017-2020, K t

Top producers of concentrated not sweetened milk and cream, 2017-2020

World map of production of concentrated not sweetened milk and cream, 2017-2020

In 2020, Central America produced 162.0 thousand tons of concentrated unsweetened milk and cream, marking a 3.9% increase from the previous year. Looking at the period from 2017 to 2020, production grew by 4.5%, which translates to an average annual growth rate of 1.5%. The most significant drop occurred in 2019, when production fell by 1.0%.

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

Exports concentrated not sweetened milk and cream from Central America

Exports in kind, t

Exports of concentrated unsweetened milk and cream from Central America have risen for the third year in a row. In 2020, the region exported 17 768 tons, showing a modest increase of 0.6% compared to 2019. Over the four-year span from 2017 to 2020, exports surged by 238.9%, with a compound annual growth rate of 50.2%.

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

From 2017 to 2020, the United States and Cuba were the primary destinations for exports in volume terms, together accounting for 48.3% of total shipments.

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

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

Exports in value, K $ US

The value of concentrated unsweetened milk and cream exports from Central America has increased for three consecutive years. In 2020, exports reached 33 823 thousand US dollars, representing a 21.9% year-over-year rise. Between 2017 and 2020, export value grew by 139.9%, averaging an annualized rate of 33.9%.

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

During 2017–2020, the United States and Cuba remained the key markets for exports in value terms, jointly capturing 41.2% of total export revenue.

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

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

Imports concentrated not sweetened milk and cream to Central America

Imports in kind, t

The import market for concentrated unsweetened milk and cream in Central America showed notable volatility during this period. Imports hit their lowest point in 2019 at 6 102 tons, then rebounded to 10 936 tons in 2020—a 79.2% increase from the previous year. The peak-to-trough ratio between these years was 1.8 times, with the largest decline of 37.4% recorded in 2019.

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

Between 2017 and 2020, imports of concentrated unsweetened milk and cream to Central America were widely distributed across various markets. The top three suppliers—New Zealand (11.4% of imports), the Netherlands (5.6%), and Peru (4.2%)—collectively accounted for just 21.2% of total import volume.

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

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

Imports in value, K $ US

In 2020, Central America imported 21 326 thousand US dollars worth of concentrated unsweetened milk and cream, showing little change from the 21 439 thousand US dollars recorded in 2019. Over the 2017–2020 period, import value increased by 9.7%, with an average annual growth rate of 3.1%. The largest increase of 10.3% occurred in 2019.

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

From 2017 to 2020, imports of concentrated unsweetened milk and cream to Central America came from a diverse range of markets. Even the leading suppliers—New Zealand, the Netherlands, and Peru—together made up only 26.2% of total import value.

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

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