Milk market in Norway

Earlier Report Observations

From 2018 to 2021, the Norwegian milk market showed relative stability, with volumes ranging between 1 550 and 1 590 thousand tons. This period was marked by the dominant role of the state-owned company TINE SA, which acted as a market regulator by setting target prices for producers and influencing retail prices. In 2020, a reduction in the turnover tax on milk made the product more affordable for consumers, contributing to a temporary increase in market volume.

The situation shifted in 2022-2023, when the market contracted to 1 406 thousand tons. The main drivers were sharp increases in production costs—due to higher feed and fuel prices—and subsequent rises in retail milk prices. These factors reduced profitability for producers and dampened consumer demand. Additionally, adjustments to the cow's milk quota in 2023 limited supply.

Throughout the period, consumer preferences gradually moved toward natural and protein-rich dairy products like yogurt, which sustained demand in certain segments. However, this trend did not offset the overall market decline caused by economic pressures. The entry of new players such as Synnøve Finden AS added competition but did not alter the market structure, where TINE remained the dominant force.

Production milk in Norway

In kind, 2018-2021, K t

Top producers of milk, 2018-2021

World map of production of milk, 2018-2021

Norway's milk production increased for the second consecutive year. In 2021, the country produced 1 592 thousand tons of milk, marking a 1.5% rise compared to 2020. The lowest production level was recorded in 2019 at 1 551 thousand tons, which represented the largest decline of 2.7% during this period.

Annual dynamics of production in Norway in kind, 2018-2021, K t

Exports milk from Norway

Exports in kind, t

The data shows irregular changes, indicating a volatile market environment. Milk export volumes reached their minimum in 2020 at 3 589 tons and peaked in 2019 at 7 075 tons, with a two-fold difference between these extremes. In 2021, Norway exported 5 834 tons of milk, representing a significant increase of 62.5% compared to the previous year. The largest decline occurred in 2020 at 49.3%, while the largest increase was recorded in 2019 at 82.0%.

Annual dynamics of product's exports from Norway in kind, 2018-2021, t

From 2018 to 2021, Germany and the Netherlands were the dominant markets for Norway's milk exports in kind, together accounting for 83.6% of total flows, with other countries making up the remaining share.

Structure of product's exports in kind by countries, 2018-2021

World map of product's exports from Norway in kind, 2018-2021

Exports in value, K $ US

The data reveals irregular changes, pointing to a volatile market environment. Exports reached their lowest point in 2020 at 4 687 thousand US dollars and peaked in 2021 at 11 237 thousand US dollars, varying by 2.4 times between these years. In 2021, Norway's milk exports in value terms increased by 139.8% compared to 2020. The largest decline was recorded in 2020 at 57.4%.

Annual dynamics of product's exports from Norway in value, 2018-2021, K $ US

Between 2018 and 2021, Germany, the Netherlands, and Denmark were the primary buyers of Norwegian milk in value terms. Germany accounted for 43.8% of exports, the Netherlands for 34.4%, and Denmark for 8.2%, with these three countries together representing 86.5% of total export value.

Structure of product's exports in value by countries, 2018-2021

World map of product's exports from Norway in value, 2018-2021

Imports milk to Norway

Imports in kind, t

After two years of growth, Norway's milk import volumes declined. In 2021, imports stood at 1 405 tons, reflecting a sharp decrease of 28.9% compared to the previous year. The highest import level was recorded in 2020 at 1 978 tons, which saw the largest increase of 55.9%. Overall, from 2018 to 2021, imports grew by 21.1%, equivalent to an annualized rate of 6.6%.

Annual dynamics of product's imports to Norway in kind, 2018-2021, t

From 2018 to 2021, Belgium, the Netherlands, and Sweden were the largest suppliers of milk to Norway in kind. Belgium accounted for 26.6% of imports, the Netherlands for 25.8%, and Sweden for 15.3%, together forming 67.7% of total import volumes.

Structure of product's imports in kind by countries, 2018-2021

World map of product's imports to Norway in kind, 2018-2021

Imports in value, K $ US

Following two years of gains, Norway's milk import value declined. In 2021, the country imported 6 270 thousand US dollars worth of milk, down by 15.8% compared to 2020. The peak was recorded in 2020 at 7 444 thousand US dollars, which experienced the largest increase of 47.0%. Over the 2018-2021 period, imports increased by 32.6%, equating to an annualized growth rate of 9.9%.

Annual dynamics of product's imports to Norway in value, 2018-2021, K $ US

Throughout 2018 to 2021, Belgium, the Netherlands, and Sweden formed the key group of partners for Norway's milk imports in value terms. Belgium represented 31.1% of imports, the Netherlands 25.6%, and Sweden 18.1%, jointly accounting for 74.8% of total import value.

Structure of product's imports in value by countries, 2018-2021

World map of product's imports to Norway in value, 2018-2021