Milk and cream market in Jordan

Earlier Report Observations

The Jordanian market for not concentrated, not sweetened milk and cream expanded from 444.9 thousand tonnes in 2018 to 716.5 thousand tonnes in 2023, despite a temporary contraction in 2020. This growth was primarily driven by regulatory interventions that reshaped supply chains and boosted domestic production. The implementation of Executive Decree No. 17/362 in early 2018 restricted the use of subsidized milk in the commercial service sector, redirecting this supply to households and increasing demand for commercially sold, non-subsidized milk and cream.

Concurrent enforcement of the Food and Drug Administration Law raised quality standards for dairy products, encouraging licensed production. In 2020, the introduction of stricter documentation requirements for imported milk powder under Article 30 of 2015 temporarily constrained supply, contributing to a market dip. However, subsequent amendments to labor law in 2021 improved workforce availability in dairy plants, enhancing production capacity and facilitating recovery.

The market's consistent expansion from 2021 onward was further supported by ongoing controls on the use of dry milk in dairy manufacturing, which incentivized the use of fresh local milk. Updated labeling regulations provided consumers with clearer information on product concentration and fat content, fostering transparency and potentially influencing demand towards the non-concentrated, non-sweetened segment.

Production milk and cream in Jordan

In kind, 2017-2020, K t

Top producers of milk and cream, 2017-2020

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

Jordan's milk and cream production saw a two-year increase before declining. In 2020, production reached 410.2 K t, marking a 10.3% decrease from the previous year. Over the 2017-2020 period, production grew by 2.1%, with an average annual growth rate of 0.7%. The highest production level was recorded in 2019 at 457.3 K t, which also saw the largest annual increase of 7.7%.

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

Exports milk and cream from Jordan

Exports in kind, t

The market showed an unstable trend throughout the period. Exports peaked in 2017, then fell to their lowest point in 2018 at 32 t, representing a 4.7-fold swing. In 2019, Jordan's milk and cream exports rebounded to 52 t, a 61.2% increase from the previous year. The largest decline occurred in 2018, dropping by 78.5%.

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

From 2017 to 2020, Free Zones, Kuwait, and Saudi Arabia were the key partners for Jordan's milk and cream exports in kind. Free Zones accounted for 38.0% of exports, Kuwait for 23.4%, and Saudi Arabia for 14.5%. Together, these three partners represented 75.9% of total export flows.

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

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

Exports in value, K $ US

In 2019, Jordan's cross-border shipments of milk and cream totaled 127 K $ US, a 9.7% increase year-over-year. Over the 2017-2019 period, exports decreased by 58.4%, with an average annual decline of 25.3%. The lowest value was recorded in 2018 at 116 K $ US, which also saw the largest decline of 62.0%.

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

Between 2017 and 2020, Free Zones, the United Arab Emirates, and Saudi Arabia were the main buyers of Jordan's milk and cream in value terms. Free Zones accounted for 41.8% of exports, the United Arab Emirates for 19.7%, and Saudi Arabia for 13.8%. Collectively, these three markets comprised 75.3% of total export value.

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

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

Imports milk and cream to Jordan

Imports in kind, t

Jordan's milk and cream imports increased for two years before declining. In 2020, imports totaled 25 267 t, a 4.7% drop from the previous year. Over the 2017-2020 period, imports grew by 33.5%, with an average annual increase of 10.1%. The highest import volume was recorded in 2019 at 26 522 t, which also saw the largest annual increase of 30.6%.

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

From 2017 to 2020, Saudi Arabia was the primary source for Jordan's milk and cream imports in kind, accounting for 79.2% of total flows. Other markets contributed smaller shares, forming a long tail of minor partners.

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

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

Imports in value, K $ US

Jordan's milk and cream imports increased for two years before declining. In 2020, imports totaled 17 208 K $ US, a 15.1% decrease from the previous year. Between 2017 and 2020, imports rose by 3.1%, equating to an average annual growth rate of 1.0%. The peak value was recorded in 2019 at 20 280 K $ US, which also saw the largest annual increase of 16.1%.

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

During 2017-2020, Saudi Arabia, Germany, and France were the principal suppliers of milk and cream to Jordan in value terms. Saudi Arabia accounted for 67.0% of imports, Germany for 8.8%, and France for 6.9%. Together, these three suppliers made up 82.7% of total import value.

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

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