Milk powder market in Japan

Earlier Report Observations

In 2018, Japan's milk powder market underwent a significant regulatory change: the Ministry of Health permitted the production and sale of liquid infant milk, creating a new product segment. This coincided with growing demand for disaster-preparedness stocks. By 2020, the COVID-19 pandemic caused supply chain disruptions and shifted consumer behavior, contributing to a sharp rise in market volume to 202.6 thousand tons.

Following the 2020 peak, the market volume corrected, returning to 188.9 thousand tons in 2021. During this period, manufacturers accelerated innovation: Meiji Holdings announced plans to enter the U.S. market, leveraging the shortage there, and the world's first solid (cube) form of milk powder was developed, enhancing convenience.

In subsequent years, the market volume continued to decline, reaching 158.4 thousand tons in 2023. Nevertheless, the industry kept evolving: more companies entered the liquid milk segment, online sales channels expanded, and consumer interest shifted toward adult‑targeted products and specialized segments.

Production milk powder in Japan

In kind, 2018-2021, K t

Between 2018 and 2021, Japan ranked as the 17th largest producer of milk powder globally.

Top producers of milk powder, 2018-2021

World map of production of milk powder, 2018-2021

Japan's milk powder production grew for the third consecutive year. In 2021, the country produced 166.5 thousand tons, marking a 2.8% increase from the previous year. Over the 2018-2021 period, production rose by 22.3%, with an average annual growth rate of 6.9%.

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

Exports milk powder from Japan

Exports in kind, t

The market exhibited significant volatility during these years. Exports hit their lowest point in 2020 at 27 tons, then surged to a peak of 1 529 tons in 2021, representing a dramatic 57-fold increase. This 2021 figure was 5 552.8% higher than in 2020. The largest decline occurred in 2019, with a drop of 69.5%.

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

From 2018 to 2021, Singapore, Malaysia, and South Korea were the top buyers of Japanese milk powder by volume. Singapore accounted for 29.5% of exports, Malaysia for 25.2%, and South Korea for 23.9%, together making up 78.6% of total export volume.

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

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

Exports in value, M $ US

The market showed volatility over the observed period. Exports reached their lowest value in 2020 at 0.4 million US dollars, then climbed to a high of 5.1 million US dollars in 2021, reflecting an 11.6-fold gap. The 2021 value represented a sharp increase of 1 064.2% from the previous year. The largest decline was recorded in 2019 at 65.0%.

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

Throughout 2018-2021, Singapore, Vietnam, and Malaysia were the main markets for Japanese milk powder exports by value. Singapore held a 22.9% share, Vietnam 17.7%, and Malaysia 17.3%, collectively accounting for 57.9% of total export value.

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

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

Imports milk powder to Japan

Imports in kind, t

Japan's milk powder imports declined for the third consecutive year. In 2021, imports totaled 23 946 tons, a decrease of 41.1% from the previous year. Over the 2018-2021 period, imports fell by 54.1%, with an average annual decline of 22.9%.

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

From 2018 to 2021, New Zealand, the United States, and Australia were the primary sources of milk powder imports to Japan by volume. New Zealand supplied 31.0% of imports, the United States 20.6%, and Australia 15.9%, together representing 67.5% of total import volume.

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

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

Imports in value, M $ US

After two years of growth, Japan's milk powder import volumes declined. In 2021, imports stood at 67.9 million US dollars, down 39.2% from 2020. Over the 2018-2021 period, imports decreased by 34.8%, with an average annual decline of 13.3%. The highest value was recorded in 2020 at 111.6 million US dollars, while the largest increase occurred in 2019 at 7.2%.

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

Between 2018 and 2021, New Zealand, the United States, and Australia remained the leading sources of milk powder imports to Japan by value. New Zealand accounted for 31.3% of imports, the United States for 20.4%, and Australia for 15.4%, with a combined share of 67.1% of total import value.

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

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