Milk and cream market in Western Asia

Earlier Report Observations

The market for not concentrated, not sweetened milk and cream in Western Asia stood at 40.6 million tons in 2018, with demand supported by growing adoption in retail and foodservice applications favoring versatile products like cream. By 2019, the market volume expanded to 42.1 million tons, driven by increasing consumer preference for clean-label products without additives and functional dairy items beneficial for bone health. However, in 2020, volume fell to 40.8 million tons as rising interest in plant-based milk alternatives, motivated by lactose intolerance and health trends, partially diverted demand away from traditional dairy.

After a modest recovery to 41.4 million tons in 2021, the market experienced a significant contraction to 38.6 million tons in 2022. This decline was linked to persistent structural issues in dairy production, such as inadequate modernization and supply chain disruptions, compounded by global fluctuations in raw material and finished product prices that reduced local market competitiveness. In 2023, market volume rebounded to 39.9 million tons, as increased demand for functional and health-beneficial dairy products, including hormone-free options and those with advanced sterilization processes, stimulated consumption despite adverse weather conditions that limited production.

Production milk and cream in Western 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

Following two years of growth, milk and cream production in Western Asia experienced a decline. In 2020, the region produced 40 801 thousand tons, representing a modest 2.8% decrease from the previous year. Looking at the broader period from 2017 to 2020, production actually increased by 4.9%, which translates to an average annual growth rate of 1.6%. The peak production level was reached in 2019 at 41 990 thousand tons, while the most significant year-over-year increase occurred in 2018 with a 4.2% rise.

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

In value, 2017-2020, M $ US

Milk and cream production in Western Asia declined for the second year in a row. In 2020, the output was valued at 40 019 million US dollars, marking a 7.5% decrease compared to 2019. Over the four-year span from 2017 to 2020, production fell by 2.4%, with a compound annual growth rate of -0.8%. The highest value was recorded in 2018 at 46 752 million US dollars. The most substantial decline took place in 2019 with a 7.5% drop, while the largest increase occurred in 2018 with a 14.1% gain.

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

Exports milk and cream from Western Asia

Exports in kind, K t

Milk and cream exports from Western Asia grew for the second consecutive year. In 2020, exports reached 326.8 thousand tons, reflecting a 5.3% increase from the previous year. However, over the period from 2017 to 2020, exports overall decreased by 5.9%, with a compound annual growth rate of -2.0%. The lowest export volume was recorded in 2018 at 305.4 thousand tons, which also saw the most significant decline of 12.1%.

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

From 2017 to 2020, the main destinations for milk and cream exports from Western Asia in terms of volume were Libya, accounting for 4.6% of exports, Mauritania with 1.2%, and Somalia at 0.8%. Together, these three countries represented 6.5% of total export flows.

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

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

Exports in value, M $ US

After two years of decline, milk and cream exports from Western Asia showed an uptick. In 2020, the export value stood at 320.5 million US dollars, remaining nearly unchanged from the previous year. Over the 2017-2020 period, exports decreased by 12.5%, with a compound annual growth rate of -4.3%. The lowest value was recorded in 2019 at 319.9 million US dollars, which also experienced the largest decline of 9.2%.

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

Between 2017 and 2020, the value of milk and cream exports from Western Asia was distributed relatively evenly across destinations. Libya accounted for 3.7% of export value, Mauritania for 1.2%, and Somalia for 1.1%. Collectively, these three countries made up just 6.0% of total export flows.

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

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

Imports milk and cream to Western Asia

Imports in kind, K t

Milk and cream imports into Western Asia fell for the third consecutive year. In 2020, imports totaled 318.4 thousand tons, down by 18.8% from the previous year. Over the 2017-2020 period, imports decreased by 26.2%, with a compound annual growth rate of -9.6%.

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

The market for milk and cream imports into Western Asia from 2017 to 2020 was diverse. Iran was the largest source, accounting for 13.6% of imports by volume, followed by Germany at 5.3% and France at 2.7%. Together, these three countries represented 21.5% of total import flows, with the remaining 78.5% shared among numerous other nations.

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

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

Imports in value, M $ US

The value of milk and cream imports into Western Asia declined for the third year in a row. In 2020, imports were valued at 416.3 million US dollars, a decrease of 5.1% compared to 2019. Over the 2017-2020 period, imports fell by 37.7%, with a compound annual growth rate of -14.6%.

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

From 2017 to 2020, the partner landscape for milk and cream imports into Western Asia in value terms was broad. Iran led with 16.9% of import value, followed by France at 6.2% and Germany at 4.8%. These three countries together accounted for only 28.0% of total import flows, while a substantial 72.0% came from many other countries.

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

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