Milk market in Belarus

Earlier Report Observations

Milk production in Belarus grew consistently from 7.3 million tonnes in 2018 to 8.3 million tonnes in 2023. This expansion was supported by the development of dairy farming, including the construction of new farms and modernization of existing facilities. Access to the key export market of Russia remained a crucial driver, despite periodic trade restrictions such as those introduced and then lifted in 2018. The implementation of Russia's new technical regulations and the 'Mercury' traceability system from 2019 required Belarusian producers to meet higher standards, which fostered quality improvements and strengthened consumer confidence.

In value terms, milk production rose from $9.3 billion in 2018 to $14.5 billion in 2023, peaking at $15.0 billion in 2022. This price increase was driven by several cost factors: a global rise in prices for feed additives, premixes, and fertilizers, which elevated raw milk production costs; the COVID-19 pandemic in 2020 added pressures on supply chains, logistics, and packaging expenses; and climatic droughts in 2022 reduced fodder crop yields, further squeezing costs. Despite rising production expenses, export prices remained favorable, especially to CIS countries.

The domestic market volume for milk in Belarus increased from 6.9 million tonnes in 2018 to 7.9 million tonnes in 2023. Steady domestic demand supported consumption, while exports, particularly to Russia, stayed a vital outlet. In 2022-2023, production growth continued as newly built farms reached their design capacity, supported by state subsidies that compensated part of the investment costs. The development of deep milk processing allowed for product range diversification and added value, aligning with broader industry modernization efforts.

Production milk in Belarus

In kind, 2017-2020, K t

From 2017 to 2020, Belarus ranked as the 23rd largest milk producer in the world.

Top producers of milk, 2017-2020

World map of production of milk, 2017-2020

Belarus's milk production grew for the third consecutive year. In 2020, the country produced 7 765 K t of milk, a 5.0% increase compared to the previous year. Over the 2017-2020 period, production rose by 6.1%, with an average annual growth rate of 2.0%.

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

In value, 2017-2020, M $ US

Belarus's milk production value increased for the second consecutive year. In 2020, milk output was valued at 11 243 M $ US, remaining relatively stable over the past year. From 2017 to 2020, production grew by 16.6%, with an average annual growth rate of 5.2%. The lowest value was recorded in 2018 at 9 256 M $ US, which saw the largest decline of 4.0%. In contrast, 2019 experienced the largest increase of 20.9%.

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

Exports milk from Belarus

Exports in kind, K t

After two years of decline, milk exports from Belarus increased. In 2020, the country exported 449.4 K t of milk, an 8.0% rise year-over-year. However, over the 2017-2020 period, exports decreased by 16.4%, with an average annual decline of 5.8%. The lowest export volume was recorded in 2019 at 416.1 K t, following the largest decline of 14.6% in 2018.

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

From 2017 to 2020, Russia was the leading destination for Belarus's milk exports in volume terms, accounting for 81.0% of total flows, while other markets made up the remainder.

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

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

Exports in value, M $ US

Foreign milk supplies from Belarus increased for the second consecutive year. In 2020, exports reached 650.7 M $ US, up 3.3% from the prior year. Between 2017 and 2020, exports decreased by 8.2%, equating to an average annual decline of 2.8%. The lowest value was recorded in 2018 at 578.8 M $ US, which saw the largest decline of 18.3%. In contrast, 2019 experienced the largest increase of 8.8%.

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

From 2017 to 2020, Russia remained the dominant destination for Belarus's milk exports in value terms, holding a 74.4% share of total flows, with the rest fragmented across other markets.

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

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

Imports milk to Belarus

Imports in kind, K t

Belarus's milk import volume increased for the second consecutive year. In 2020, imports totaled 5.9 K t, a 15.1% uptick compared to the previous year. Over the 2017-2020 period, imports decreased by 25.9%, with an average annual decline of 9.5%. The lowest import volume was recorded in 2018 at 3.2 K t, which saw the largest decline of 59.5%. In contrast, 2019 experienced the largest increase of 58.9%.

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

From 2017 to 2020, Russia accounted for 75.5% of Belarus's milk imports in volume terms, with the rest shared among many countries with smaller individual shares.

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

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

Imports in value, M $ US

There were noticeable fluctuations in market performance during the period. Imports reached their lowest point in 2018 and peaked in 2020, with a 2.1-fold difference between these years. In 2020, milk deliveries to Belarus amounted to 10.5 M $ US, a 9.2% increase compared to 2019. The lowest value was recorded in 2018 at 5.0 M $ US, which saw the largest decline of 40.4%. In contrast, 2019 experienced the largest increase of 94.9%.

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

From 2017 to 2020, Russia dominated Belarus's milk imports in value terms, accounting for 87.2% of total flows, while other destinations had relatively small shares.

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

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