Milk powder market in Ecuador

Earlier Report Observations

The milk powder market in Ecuador started at 6 594 tons in 2018. A period of growth followed in 2019, with the market volume rising to 6 862 tons, supported by stable milk prices that encouraged production. This trend was interrupted in 2020 when the COVID-19 pandemic severely disrupted dairy sector activities, leading to a contraction in the market to 6 670 tons.

Post-pandemic recovery saw the market reach 6 970 tons in 2021. A pivotal change occurred in August 2022 with the enactment of the Organic Law to Promote the Production, Commercialization, Industrialization, Consumption and Price Fixing of Milk and its Derivatives, which instituted a ten-year ban on milk powder imports to bolster domestic producers. The same year marked the first export of 200 tons of milk powder to the United States, facilitated by a collaboration involving Nestlé. These developments contributed to a significant market expansion to 7 695 tons in 2022.

In 2023, the import ban remained strictly enforced, causing official imports to plummet to just 4 tons. The overall market volume stabilized at a high level of 7 606 tons, as domestic production continued to grow, reaching 7 602 tons. This stabilization occurred against a backdrop of declining overall dairy consumption in the country, which tempered further market growth.

Production milk powder in Ecuador

In kind, 2017-2020, t

Top producers of milk powder, 2017-2020

World map of production of milk powder, 2017-2020

In 2019, Ecuador's milk powder production reached its highest level at 6,773 tonnes. However, by 2020, output had declined to 6,531 tonnes, marking a moderate 3.6% decrease from the previous year. Looking at the broader 2017-2020 period, production fell by 3.3%, with an average annual decline of 1.1%. The lowest production volume was recorded in 2018 at 6,388 tonnes. The most significant drop occurred in 2018 with a 5.4% decrease, while the largest increase was seen in 2019 with a 6.0% rise.

Annual dynamics of production in Ecuador in kind, 2017-2020, t

Exports milk powder from Ecuador

Exports in kind, t

The data shows irregular changes, pointing to a volatile market environment. Exports hit their lowest point in 2018 at 0.0 tonnes, before rebounding to 159.0 tonnes in 2020, representing a substantial 68.3% year-over-year increase. The most dramatic decline occurred in 2018 with a 100.0% drop, while the largest increase was recorded in 2019 with an extraordinary 17,176,263.6% surge. From the peak in 2017 to the trough in 2018, exports varied by a factor of 1,184,730.

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

Between 2017 and 2020, Ecuador's milk powder exports were almost entirely concentrated in Colombia, which accounted for 99.4% of total shipments.

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

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

Exports in value, K $ US

The data reveals irregular changes, indicating a volatile market environment. Exports reached their lowest point in 2018 at 0.0 thousand US dollars, before climbing to 499 thousand US dollars in 2020, marking a sharp 83.2% increase compared to the previous year. The most significant decline occurred in 2018 with a 100.0% drop, while the largest increase was seen in 2019 with a remarkable 1,163,310.6% surge. From the peak in 2017 to the trough in 2018, exports changed by a factor of 88,406.

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

From 2017 to 2020, Colombia was the dominant and nearly exclusive market for Ecuador's milk powder exports in value terms, representing 99.0% of total trade flows.

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

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

Imports milk powder to Ecuador

Imports in kind, t

Ecuador's milk powder imports reached 298.4 tonnes in 2020, showing a sharp 62.2% increase compared to 2019. The lowest import volume was recorded in 2019 at 183.9 tonnes. Between 2018 and 2020, imports grew by 44.8%, equating to an average annual rate of 13.1%. The most significant decline occurred in 2019 with a 10.8% decrease.

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

During the 2017-2020 period, milk powder imports to Ecuador were almost exclusively supplied by France, which absorbed 98.5% of total imports in volume terms.

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

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

Imports in value, K $ US

Ecuador's milk powder imports increased for the second consecutive year, reaching 924 thousand US dollars in 2020. This represents a sharp 90.9% rise compared to 2019. Over the 2018-2020 period, imports grew by 103.9%, with an average annual increase of 26.8%.

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

From 2017 to 2020, France effectively dominated milk powder imports to Ecuador in value terms, accounting for 97.8% of total trade flows.

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

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