Concentrated sweetened milk and cream market in MERCOSUR, 2026

Earlier Report Observations

Between 2018 and 2020, the MERCOSUR market for concentrated sweetened milk and cream saw initial expansion supported by the bloc's regional integration. Common external tariffs and facilitated intraregional trade under the Mercosur agreement eased the movement of goods, while growth in specialized livestock farming and concentrated production in urban centers bolstered output. The market volume reached 59 thousand t in 2019. However, in 2020, the COVID-19 pandemic disrupted supply chains and dampened demand, leading to a contraction to 56 thousand t.

The market rebounded strongly from 2021 to 2022. A recovery in raw milk production in key countries like Argentina in 2021 supported higher manufacturing of concentrated milk, lifting the market volume to nearly 60 thousand t. The following year, significant investments in new processing plants and the expansion of production capacity across the region enabled a sharp increase in output. Coupled with the impact of the Russia-Ukraine war, which raised global production costs and affected input availability, these factors drove the market volume to 69 thousand t and its value to $167.8 million in 2022.

Growth moderated in 2023, with the market reaching 72 thousand t. This slowdown was influenced by declining consumer interest in Brazil, the largest market, due to rising prices and product availability issues. Concurrently, an ongoing shift in consumer preferences towards healthier dairy products with lower sugar content continued to stimulate the development of new product variants, providing some support to market volume.

Production concentrated sweetened milk and cream in MERCOSUR

In kind, 2017-2020, t

Top producers of concentrated sweetened milk and cream, 2017-2020

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

In 2019, MERCOSUR produced 65 277 tons of concentrated sweetened milk and cream, marking the highest output in the period. Production then slightly decreased to 65 112 tons in 2020, showing no significant change from the previous year. The lowest production level was recorded in 2018 at 63 999 tons. This represented a 1.4% decline from 2017, while 2019 saw the largest increase of 2.0%.

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

In value, 2017-2020, M $ US

In 2020, the value of concentrated sweetened milk and cream production in MERCOSUR was $110.2 million US, a 19.9% decrease from 2019. The largest annual increase occurred in 2019 at 13.6%. Over the four-year period from 2017 to 2020, production value fell by 21.5%, averaging an annual decline of 7.7%.

Annual dynamics of production in MERCOSUR in value, 2017-2020, M $ US

Exports concentrated sweetened milk and cream from MERCOSUR

Exports in kind, t

Following two consecutive years of decline, MERCOSUR's exports of concentrated sweetened milk and cream rebounded in 2020. Export volume reached 10 856 tons, a sharp 38.6% increase from 2019's low of 7 834 tons. The largest annual decline was recorded in 2018 at 48.9%. From 2017 to 2020, total exports decreased by 41.3%, with an average annual decline of 16.2%.

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

Between 2017 and 2020, no single market dominated MERCOSUR's exports of concentrated sweetened milk and cream. The top three destinations—Trinidad and Tobago (16.6% of export volume), Angola (11.8%), and Chile (11.2%)—collectively accounted for just 39.6% of total exports. The remaining exports were distributed among numerous smaller partners, each with modest individual shares.

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

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

Exports in value, K $ US

After two years of contraction, MERCOSUR's export value for concentrated sweetened milk and cream rose in 2020. Exports totaled $18.38 million US, an 11.3% increase from 2019's low of $16.508 million. The most significant annual decline occurred in 2018 at 55.3%. Over the 2017-2020 period, export value fell by 54%, averaging an annual decrease of 22.8%.

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

From 2017 to 2020, MERCOSUR's export value for concentrated sweetened milk and cream remained fragmented across multiple markets. The leading destinations—Trinidad and Tobago (17.9% of export value), Angola (11.9%), and the United States (10.8%)—together represented only 40.6% of total exports. No single partner emerged as clearly dominant during this period.

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

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

Imports concentrated sweetened milk and cream to MERCOSUR

Imports in kind, t

Following two years of decline, MERCOSUR's imports of concentrated sweetened milk and cream increased in 2020. Import volume rose to 1 867 tons, a 13.4% gain from 2019's low of 1 646 tons. The largest annual decrease was recorded in 2018 at 40.5%. Between 2017 and 2020, total imports fell by 51.7%, with an average annual decline of 21.5%.

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

Between 2017 and 2020, Chile and Malaysia were the primary sources for MERCOSUR's imports of concentrated sweetened milk and cream, together accounting for 43.6% of total import volume.

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

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

Imports in value, K $ US

After two years of decline, MERCOSUR's import value for concentrated sweetened milk and cream increased in 2020. Imports reached $3.628 million US, a 12.3% rise from 2019's low of $3.231 million. The largest annual decrease occurred in 2018 at 29.8%. Over the 2017-2020 period, import value decreased by 43.8%, averaging an annual decline of 17.5%.

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

Throughout 2017 to 2020, Chile and Malaysia consistently held the top positions in MERCOSUR's import value structure for concentrated sweetened milk and cream, jointly representing 39.3% of total imports.

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

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