Milk and cream market in Eastern Asia

Earlier Report Observations

The milk and cream market in Eastern Asia saw steady volume growth from 50 962 thousand tons in 2018 to 63 235 thousand tons in 2023. This expansion was primarily fueled by a sustained increase in milk production within China, where output began rising notably from 2018 onward. Government policies aimed at modernizing the dairy sector, including support for genetic research, advanced breeding technologies, and enhanced feed resource development, directly contributed to scaling up and standardizing production, thereby boosting overall market supply.

Despite the disruptive impact of the COVID-19 pandemic in 2020, which altered school meal programs and consumer patterns in markets like South Korea, China's production growth momentum remained strong. Annual output increases of over 6% were maintained through continued focus on quality, safety management, and technological innovation. Concurrently, evolving consumer preferences across the region toward health and nutrition supported demand, leading to greater product diversification with launches of functional, lactose-free, and protein-fortified milk varieties, which helped sustain market growth.

By 2023, China's milk production reached 41.97 million tons, reflecting a 6.7% annual increase driven by industry consolidation and efficiency gains. Major dairy companies concurrently expanded their presence into overseas markets such as Southeast Asia and the United States, while domestically, the growth of online distribution channels and the introduction of new premium products further stimulated consumption, solidifying the market's upward trajectory through the period.

Production milk and cream in Eastern Asia

In kind, 2017-2020, K t

Top producers of milk and cream, 2017-2020

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

Eastern Asia's milk and cream production has grown for three consecutive years. In 2019, production stood at 51 000 K t, rising to 54 408 K t in 2020—a moderate increase of 6.5%. From 2017 to 2020, production grew by 10.2%, averaging 3.3% annually.

Annual dynamics of production in Eastern Asia in kind, 2017-2020, K t

In value, 2017-2020, M $ US

The value of milk and cream production in Eastern Asia reached 57 785 M $ US in 2020, up sharply by 35.6% from 42 611 M $ US in 2019. Between 2017 and 2020, production value increased by 12.3%, with a compound annual growth rate of 4.0%. The lowest value was recorded in 2019 at 42 611 M $ US, which also saw the largest decline of 20.6%.

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

Exports milk and cream from Eastern Asia

Exports in kind, K t

After rising for two years, Eastern Asia's milk and cream export volume declined. Exports reached 90 K t in 2019, then fell to 69 K t in 2020—a decrease of 22.4%. From 2017 to 2020, exports increased by 6.4%, with a compound annual growth rate of 2.1%. The highest volume was recorded in 2019 at 90 K t, which also saw the largest increase of 29.9%.

Annual dynamics of product's exports from Eastern Asia in kind, 2017-2020, K t

From 2017 to 2020, Asia, not elsewhere specified, and Singapore were the leading destinations for milk and cream exports from Eastern Asia in volume terms, together accounting for 2.8% of total flows.

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

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

Exports in value, M $ US

Following two years of growth, Eastern Asia's milk and cream export value declined. Exports were valued at 75 M $ US in 2019, dropping to 74 M $ US in 2020—a slight decrease of 1.2%. Over the period 2017-2020, export value increased by 8.5%, with a compound annual growth rate of 2.8%. The peak value was recorded in 2019 at 75 M $ US, while the largest increase occurred in 2018 at 8.3%.

Annual dynamics of product's exports from Eastern Asia in value, 2017-2020, M $ US

Throughout 2017–2020, the core markets for milk and cream exports from Eastern Asia in value terms were Asia, not elsewhere specified (2.7% of exports), Singapore (1.8% of exports), and Thailand (0.6% of exports), together representing 5.0% of total flows.

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

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

Imports milk and cream to Eastern Asia

Imports in kind, K t

Milk and cream imports into Eastern Asia have increased for two consecutive years. Imports stood at 818 K t in 2018, rose to 1 054 K t in 2019—a significant increase of 28.8%—and reached 1 224 K t in 2020, up 16.1% from the previous year. From 2017 to 2020, imports grew by 48.9%, averaging 14.2% annually. The lowest volume was recorded in 2018 at 818 K t, which also saw a minor decline of 0.4%.

Annual dynamics of product's imports to Eastern Asia in kind, 2017-2020, K t

Between 2017 and 2020, New Zealand (27.5% of imports in volume), Germany (26.1% of imports in volume), and Australia (11.6% of imports in volume) were the main sources for milk and cream imports into Eastern Asia, together accounting for 65.2% of total flows.

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

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

Imports in value, M $ US

Milk and cream imports into Eastern Asia have grown for three consecutive years. In 2020, imports were valued at 1 000 M $ US, up 15.5% from the previous year. From 2017 to 2020, import value increased by 43.4%, averaging 12.8% annually.

Annual dynamics of product's imports to Eastern Asia in value, 2017-2020, M $ US

From 2017 to 2020, New Zealand (35.5% of imports in value), Germany (16.3% of imports in value), and France (14.5% of imports in value) formed the primary group of markets for milk and cream imports into Eastern Asia, with a combined share of 66.4% of total flows.

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

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