Milk powder market in MENA

Earlier Report Observations

The milk powder market in the MENA region experienced notable fluctuations in both volume and value between 2018 and 2023. In physical terms, market volume ranged from 833 thousand tons in 2021 to 1 171 thousand tons in 2023, reflecting a volatile demand pattern. In value terms, the market expanded significantly to 3 863 million dollars in 2022 before contracting to 3 521 million dollars in 2023.

The period saw two distinct downturns in market volume, in 2019 and 2021, each followed by a recovery. The sharp drop in 2019 to 889 thousand tons coincided with reduced imports, while the rebound in 2020 to 1 100 thousand tons was driven by higher import volumes. Similarly, the 2021 low of 833 thousand tons gave way to growth in 2022 and 2023, reaching 1 171 thousand tons.

Domestic production remained relatively stable, averaging around 22 thousand tons annually, indicating that trade flows were the primary driver of market volume changes. Import volumes varied from 1 129 to 1 330 thousand tons, while exports fluctuated between 164 and 336 thousand tons, directly influencing the available supply on the domestic market.

Production milk powder in MENA

In kind, 2017-2020, t

Top producers of milk powder, 2017-2020

World map of production of milk powder, 2017-2020

MENA's milk powder production increased for the second year in a row. In 2020, the region produced 22 830 tonnes of milk powder, showing a moderate year-over-year growth of 8.7%. However, looking at the broader period from 2017 to 2020, production actually fell by 21.9%, which translates to an average annual decline of 7.9%. The lowest production level was recorded in 2018 at 20 483 tonnes, with that year also seeing the steepest drop of 30.0%.

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

Exports milk powder from MENA

Exports in kind, K t

In 2020, MENA's milk powder exports totaled 207 thousand tonnes, down 20.8% from 2019. Over the 2017-2020 period, exports decreased by 22.5%, with a compound annual growth rate of -8.2%. The lowest export volume was in 2018 at 164 thousand tonnes, which also marked the largest decline of 38.8%. In contrast, 2019 saw the biggest increase of 59.7%.

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

From 2017 to 2020, MENA's milk powder exports reached a wide range of markets. The top three destinations—Somalia (13.5% of exports by volume), Sudan (3.1%), and Pakistan (3.0%)—combined accounted for just 19.6% of total exports. The remaining 80.4% was distributed among numerous smaller markets.

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

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

Exports in value, M $ US

In 2020, the value of MENA's milk powder exports reached 997 million US dollars, up 5.8% from the previous year. Over the 2017-2020 period, export value increased by 20.2%, with a compound annual growth rate of 6.3%. The peak was in 2018 at 1 055 million US dollars, which also saw the largest increase of 27.1%. The largest decline occurred in 2019, with a drop of 10.7%.

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

During 2017-2020, Somalia (12.7% of exports by value), Sudan (2.6%), and Pakistan (2.4%) were key buyers of MENA's milk powder. However, their combined share made up only 17.7% of total export value, while the remaining 82.3% came from a diverse array of other trading partners.

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

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

Imports milk powder to MENA

Imports in kind, K t

In 2020, MENA's milk powder imports amounted to 1 284 thousand tonnes, a 13.7% increase from the previous year. The lowest import volume was in 2019 at 1 129 thousand tonnes, while the highest was in 2018 at 1 325 thousand tonnes. The largest decline occurred in 2019, with a drop of 14.8%.

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

From 2017 to 2020, MENA's milk powder imports by volume were highly diversified. The top three suppliers—New Zealand (26.0% of imports by volume), France (6.9%), and the Netherlands (6.8%)—together accounted for 39.8% of total imports. The remaining 60.2% came from a long list of smaller markets.

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

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

Imports in value, M $ US

After two years of decline, MENA's milk powder imports rebounded in 2020, reaching 3 939 million US dollars, a 17.1% increase from the previous year. Over the 2017-2020 period, import value rose by 4.1%, equivalent to an average annual growth of 1.3%. The lowest value was in 2019 at 3 364 million US dollars, which also saw the largest decline of 9.1%.

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

Between 2017 and 2020, the value of milk powder imports to MENA was spread across a broad range of markets. New Zealand (26.8% of imports by value), the Netherlands (7.7%), and France (6.0%) together made up 40.5% of total imports, with the rest coming from various other sources.

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

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