Concentrated not sweetened milk and cream market in Latin America and the Caribbean

Earlier Report Observations

The market for concentrated not sweetened milk and cream in Latin America and the Caribbean grew from 720.3 thousand tons in 2018 to 754.2 thousand tons in 2020. This expansion was initially supported by the broader regional spread of supermarkets and hypermarkets, which improved product accessibility. In 2020, the COVID-19 pandemic disrupted supply chains and raised production costs, leading to the exit of some small and medium-sized farmers. However, strong import volumes helped maintain overall market supply to meet demand during this period.

Following the 2020 peak, the market volume contracted to 735.5 thousand tons in 2021, pressured by persistently high production costs and the continued exit of dairy producers. A recovery to 748.7 thousand tons occurred in 2022, partly due to government anti-inflation measures in Mexico that allowed for duty-free imports of milk and cream, boosting supply. Concurrently, consumer demand began shifting towards healthier dairy options with lower sugar and fat content.

Market volume declined to 710.5 thousand tons in 2023. This downturn coincided with the growing popularity of non-dairy creams in the region, driven by vegan trends and lactose intolerance, which increased competition for traditional dairy products. Although a stronger Mexican peso and easing input costs supported local production in Mexico, these factors were insufficient to offset the broader regional contraction in volume.

Production concentrated not sweetened milk and cream in Latin America and the Caribbean

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

Production of concentrated unsweetened milk and cream in Latin America and the Caribbean has grown for the third consecutive year. In 2020, the region produced 713.7 thousand tonnes, marking a slight increase of 0.7% compared to 2019. Over the 2017-2020 period, production rose by 2.5%, with an average annual growth rate of 0.8%.

Annual dynamics of production in Latin America and the Caribbean in kind, 2017-2020, K t

Exports concentrated not sweetened milk and cream from Latin America and the Caribbean

Exports in kind, t

After two years of growth, exports of concentrated unsweetened milk and cream from Latin America and the Caribbean declined in 2020. The region exported 22 109 tonnes that year, representing a sharp decrease of 28.1% compared to 2019. Over the 2017-2020 period, exports fell by 7.9%, with an average annual decline of 2.7%. The highest export volume was recorded in 2019 at 30 761 tonnes, while the largest year-on-year increase occurred in 2018 at 17.6%.

Annual dynamics of product's exports from Latin America and the Caribbean in kind, 2017-2020, t

From 2017 to 2020, exports of concentrated unsweetened milk and cream from Latin America and the Caribbean were distributed across multiple destinations rather than concentrated in a few key markets. The United States accounted for 14.1% of exports, Gambia for 3.2%, and Libya for 2.4%. Together, these three countries represented just 19.8% of total export flows.

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

World map of product's exports from Latin America and the Caribbean in kind, 2017-2020

Exports in value, M $ US

The value of concentrated unsweetened milk and cream exports from Latin America and the Caribbean declined for the second consecutive year in 2020. Exports totaled 107.3 million US dollars, down 2.0% from the previous year. Between 2017 and 2020, export value decreased by 2.4%, equivalent to an average annual decline of 0.8%. The peak value was recorded in 2018 at 121.1 million US dollars, while the largest year-on-year decrease occurred in 2019 at 9.5%. The largest increase was in 2018 at 10.1%.

Annual dynamics of product's exports from Latin America and the Caribbean in value, 2017-2020, M $ US

From 2017 to 2020, the export value structure for concentrated unsweetened milk and cream from Latin America and the Caribbean was balanced rather than concentrated. The United States accounted for 15.1% of export value, Libya for 3.0%, and Gambia for 2.8%. Together, these three countries represented 20.9% of total flows, with many other countries accounting for the remaining 79.1%.

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

World map of product's exports from Latin America and the Caribbean in value, 2017-2020

Imports concentrated not sweetened milk and cream to Latin America and the Caribbean

Imports in kind, t

Imports of concentrated unsweetened milk and cream into Latin America and the Caribbean reached 62 610 tonnes in 2020, showing a significant increase of 40.8% compared to 2019. Over the 2017-2020 period, imports grew by 34.4%, with an average annual growth rate of 10.3%. The lowest import volume was recorded in 2019 at 44 481 tonnes, which also saw the largest year-on-year decline at 6.1%.

Annual dynamics of product's imports to Latin America and the Caribbean in kind, 2017-2020, t

From 2017 to 2020, the import structure for concentrated unsweetened milk and cream in Latin America and the Caribbean remained fragmented. The Netherlands accounted for 4.9% of imports, Germany for 4.2%, and Malaysia for 3.3%. Together, these three countries represented only 12.4% of total import flows, with no single country holding a dominant share.

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

World map of product's imports to Latin America and the Caribbean in kind, 2017-2020

Imports in value, M $ US

In 2020, imports of concentrated unsweetened milk and cream into Latin America and the Caribbean totaled 117.6 million US dollars, up 17.6% from the previous year. Between 2017 and 2020, import value increased by 17.2%, equivalent to an average annual growth rate of 5.4%. The lowest value was recorded in 2019 at 100.1 million US dollars, which also saw the largest year-on-year decline at 5.4%.

Annual dynamics of product's imports to Latin America and the Caribbean in value, 2017-2020, M $ US

From 2017 to 2020, the Netherlands, Germany, and New Zealand were the largest suppliers of concentrated unsweetened milk and cream to Latin America and the Caribbean in value terms, accounting for 5.1%, 4.6%, and 4.2% of imports, respectively. However, their combined contribution was limited to 13.9% of total import value, reflecting a diversified country structure.

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

World map of product's imports to Latin America and the Caribbean in value, 2017-2020