Concentrated not sweetened milk and cream market in Israel

Earlier Report Observations

The market for concentrated not sweetened milk and cream in Israel opened the period with a volume of 29 919 t in 2018, followed by a modest dip to 29 052 t in 2019. Industry operations were shaped by the Milk Economy Planning Law, which enforced production quotas and target prices to ensure stable supply. During this time, broader dairy consumption trends indicated a consumer shift toward premium products, partly due to diminishing concerns about fat content.

A state-led dairy optimization program initiated in 2020, featuring a multi-year phased reduction of the government target price, provided a stimulus for the market. This measure aimed to lower consumer prices and improve production efficiency, contributing to a recovery in market volume to 30 387 t in 2020 and sustained growth to 30 951 t by 2022. Concurrently, major processor Tnuva invested in modernizing production lines and expanding into innovative, high-value categories such as plant-based alternatives and protein-enriched dairy products, enhancing overall industry capacity.

Market volume stabilized at 30 943 t in 2023 amidst a significant industry reform. An agreement between government ministries implemented a sharp 15% cut in the target price, provided compensation for closing inefficient dairy farms, and reduced import tariffs while raising quotas. These structural changes, coupled with continued corporate focus on profitable innovative segments, maintained total output while restructuring the domestic supply base.

Production concentrated not sweetened milk and cream in Israel

In kind, 2017-2020, t

Globally, Israel ranked as the 19th largest producer of concentrated unsweetened milk and cream from 2017 to 2020.

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, Israel produced 30 244 tonnes of concentrated unsweetened milk and cream, marking a 4.3% increase compared to the previous year. Over the period from 2017 to 2020, production grew by 6.6%, which translates to an average annual growth rate of 2.1%. The most significant drop occurred in 2019, with a decline of 3.1%, while the largest increase was seen in 2018, at 5.4%.

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

Exports concentrated not sweetened milk and cream from Israel

According to industry analysis, Israel did not export any concentrated unsweetened milk and cream between 2017 and 2020.

Imports concentrated not sweetened milk and cream to Israel

Imports in kind, t

The market exhibited notable volatility during the observed period. Import levels varied significantly, with the lowest point in 2018 at 5.2 tonnes and the peak in 2020 at 143.0 tonnes, representing a 27-fold difference. In 2020, imports surged by 134.2% compared to 2019. The largest decline was recorded in 2018, at 55.2%, while the most substantial increase occurred in 2019, with a jump of 1 072.8%.

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

From 2017 to 2020, Belarus accounted for 75.5% of Israel's total imports of concentrated unsweetened milk and cream by volume, with the remaining share distributed among various smaller countries.

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

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

Imports in value, K $ US

The market demonstrated considerable volatility over the observed period. Imports reached their lowest point in 2018 at 7.0 thousand US dollars and peaked in 2020 at a value that was 30 times higher. In 2020, Israel imported concentrated unsweetened milk and cream worth a total that increased by 118.6% year-over-year. The largest decline was in 2018, at 78.1%, while the most significant increase was in 2019, with a rise of 1 285.7%.

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

Between 2017 and 2020, Belarus dominated Israel's imports in value terms, capturing 72.1% of the total, with other countries making up the remainder.

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

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