Milk market in Georgia

Earlier Report Observations

Between 2018 and 2020, Georgia's milk market volume grew slowly, reaching 603 thousand tons. During these years, the lack of major state investment in the dairy sector—with a 71 million GEL package planned only for 2020‑2025—limited the expansion of local production. At the same time, the full application of Technical Regulation No.152 began; originally introduced in 2015, it imposed stricter laboratory quality control and service requirements for dairy products from 2020 onward.

The market rose to 622 thousand tons in 2021 despite persistent shortfalls in state funding. Ongoing revisions to Technical Regulation No.152 tightened calibration and liquidation demands, affecting production processes. By 2022, market volume fell to 602 thousand tons, coinciding with the regulation's broader impact on distribution models, which created difficulties for small farms. Concurrently, synthetic milk imports surged by 33%, deepening reliance on foreign supplies and offsetting domestic output.

In 2023, the market recovered to 628 thousand tons, supported by continued growth in imports, which compensated for fluctuations in local production.

Production milk in Georgia

In kind, 2017-2020, K t

Top producers of milk, 2017-2020

World map of production of milk, 2017-2020

Georgia's milk production has grown for three consecutive years. In 2020, the country produced 586.1 thousand tons of milk, a modest increase of 1.3% compared to the previous year. From 2017 to 2020, production rose by 7.7%, with an average annual growth rate of 2.5%.

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

Exports milk from Georgia

Exports in kind, t

The market showed an unstable trend during this period. The lowest export volume was recorded in 2018 at 135 tons, while the highest occurred in 2017, resulting in a peak-to-trough ratio of 6.4 times. In 2020, milk exports from Georgia amounted to 323 tons, down 9.3% from 2019. The largest decline was 84.3% in 2018, followed by the largest increase of 163.6% in 2019.

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

From 2017 to 2020, Georgia's milk exports in kind were highly concentrated, with Armenia and Kazakhstan together accounting for 99.1% of total flows, leaving other partners with minimal shares.

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

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

Exports in value, K $ US

Market performance exhibited noticeable fluctuations over the period. The lowest export value was in 2018 at 612 thousand US dollars, while the peak was in 2017, creating a 3.5-fold gap. In 2020, Georgia exported 739 thousand US dollars worth of milk, a decrease of 3.7% year-over-year. The largest decline was 71.7% in 2018, and the largest increase was 25.4% in 2019.

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

Between 2017 and 2020, Armenia and Kazakhstan jointly absorbed 91.5% of Georgia's milk exports in value terms, with the remainder distributed among smaller markets.

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

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

Imports milk to Georgia

Imports in kind, t

Georgia imported 16 971 tons of milk in 2020, a gradual decrease of 4.5% from the previous year. The minimum import volume was 16 121 tons in 2018, while the maximum was 17 777 tons in 2019. From 2017 to 2020, imports increased by 3.3%, with an average annual growth rate of 1.1%. The largest increase was 10.3% in 2019.

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

From 2017 to 2020, the main sources for Georgia's milk imports in kind were Ukraine (38.1%), Belarus (12.8%), and France (7.8%), together representing 58.7% of total flows.

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

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

Imports in value, K $ US

Georgia's milk import value has risen for two consecutive years. In 2020, imports totaled 31 153 thousand US dollars, up 5.1% year-over-year. The minimum value was 24 797 thousand US dollars in 2018, with the largest decline of 13.7% that year. From 2017 to 2020, imports increased by 8.5%, with an average annual growth rate of 2.7%. The largest increase was 19.5% in 2019.

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

Throughout 2017 to 2020, the three largest markets for Georgia's milk imports in value terms were Ukraine, Belarus, and France, which together accounted for 57.0% of total flows.

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

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