Milk market in Honduras

Earlier Report Observations

Between 2018 and 2020, Honduras' milk market volume grew steadily despite a 30% drop in local dairy production in 2018 due to floods and prolonged drought. To offset the supply shortfall, the government authorized imports of 11 000 tonnes of powdered and skimmed milk for the processing industry. This measure, combined with reduced smuggling from Nicaragua due to its political crisis, helped maintain market volume, which increased from 680 thousand tonnes in 2018 to 685.7 thousand tonnes in 2020.

From 2021 to 2023, market volume continued its gradual rise, reaching 691.8 thousand tonnes in 2023. Insufficient local production persisted, leading to increased imports of powdered milk for processing. The government launched initiatives to strengthen the dairy sector through genetic improvement and sustainable farming practices, while major players like Sula and Lacthosa expanded their product ranges and international presence.

In value terms, the market saw a sharp increase to 528.9 million USD in 2022, driven by higher dairy prices reported that year. By 2023, the value had moderated to 501.5 million USD, with consumer behavior shifts and rising prices affecting demand, yet overall consumption per capita remained below 100 kg, indicating room for growth.

Production milk in Honduras

In kind, 2017-2020, K t

Top producers of milk, 2017-2020

World map of production of milk, 2017-2020

Honduras saw its milk production volume increase for the third consecutive year. In 2020, the country produced 685.7 K t of milk, remaining stable compared to the previous year.

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

In value, 2017-2020, M $ US

Honduras experienced a second consecutive year of growth in milk production value. In 2020, milk output was valued at 429.6 M $ US, showing no significant change from 2019. The lowest value was recorded in 2018 at 413.6 M $ US. The largest decline occurred in 2018 with a 5.5% drop, while the largest increase was in 2019 with a 3.6% rise.

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

Exports milk from Honduras

Exports in kind, t

Honduras's milk export volume declined for the second consecutive year. In 2020, exports amounted to 15 342 t, marking a 6.6% decrease from the previous year. Between 2017 and 2020, exports grew by 15.1%, equivalent to an annualized rate of 4.8%. The peak was recorded in 2018 at 18 850 t. The largest decline occurred in 2019 with a 12.8% drop, while the largest increase was in 2018 with a 41.4% rise.

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

From 2017 to 2020, the two leading destinations for Honduras's milk exports in kind were Guatemala and El Salvador, together accounting for 92.2% of total exports.

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

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

Exports in value, K $ US

Foreign milk supplies from Honduras declined for the second consecutive year. In 2020, exports totaled 9 611 K $ US, showing a modest reduction of 6.7% compared to the previous year. Between 2017 and 2020, exports increased by 11.5%, equating to an annualized rate of 3.7%. The maximum value was recorded in 2018 at 11 471 K $ US. The largest decline occurred in 2019 with a 10.2% drop, while the largest increase was in 2018 with a 33.1% rise.

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

From 2017 to 2020, Guatemala and El Salvador formed the main group of buyers for Honduras's milk exports in value terms, together holding a 92.3% share of total exports.

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

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

Imports milk to Honduras

Imports in kind, t

The market exhibited an unstable trend throughout the period. The lowest imports were observed in 2017, with the highest in 2018, reflecting a 2.3-fold gap. In 2020, milk deliveries to Honduras totaled 15 318 t, up by 9.4% from the prior year. The maximum value was recorded in 2018 at 19 148 t. The largest decline occurred in 2019 with a 26.9% drop, while the largest increase was in 2018 with a 127.2% rise.

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

From 2017 to 2020, the leading sources for milk imports in kind to Honduras were the United States (36.5% of imports in kind), Costa Rica (32.8% of imports in kind), and New Zealand (5.5% of imports in kind), which together accounted for 74.7% of total flows.

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

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

Imports in value, K $ US

There were noticeable fluctuations in market performance during the period. A 2.1-fold variation was observed between the minimum in 2017 and the maximum in 2018. In 2020, milk volumes in Honduras were recorded at 33 177 K $ US, which is 9.2% greater than in 2019. The maximum value was recorded in 2018 at 37 266 K $ US. The largest decline occurred in 2019 with an 18.5% drop, while the largest increase was in 2018 with a 106.7% rise.

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

From 2017 to 2020, the United States (37.0% of imports in value terms), Costa Rica (27.8% of imports in value terms), and Nicaragua (9.8% of imports in value terms) consistently remained the main sources for imports in value terms, together accounting for 74.5% of total flows.

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

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