Milk powder with fat content of ≤1.5% market in Argentina

Earlier Report Observations

The domestic market for low-fat milk powder in Argentina grew from 19 339 tons in 2018 to 41 200 tons in 2021. This expansion was supported by rising disposable incomes across Latin America, which improved product accessibility, along with the ease of transport and storage inherent to powdered milk. Global shifts in dietary habits and urbanization further stimulated demand by 2021.

The market volume contracted sharply to 22 355 tons in 2022 and fell further to 12 060 tons in 2023. This decline was driven by a supply restriction within the Mercosur trade bloc that began in 2022, creating a regional price premium and reducing available volume. Operational difficulties at major processing plants like SanCor and Verónica constrained production capacity, while increased milk exports in 2022 diverted product away from the domestic market.

Production milk powder with fat content of ≤1.5% in Argentina

In kind, 2017-2020, t

From 2017 to 2020, Argentina maintained the 19th position globally in terms of production volume for milk powder with a fat content of ≤1.5%.

Top producers of milk powder with fat content of ≤1.5%, 2017-2020

World map of production of milk powder with fat content of ≤1.5%, 2017-2020

Argentina's production of milk powder with a fat content of ≤1.5% increased for the second consecutive year. In 2020, Argentina produced 52 469 tonnes of this milk powder, marking a significant gain of 16.3% compared to 2019. Over the period from 2017 to 2020, production rose by 14.9%, with a compound annual growth rate (CAGR) of 4.7%. The lowest production level was recorded in 2018 at 40 566 tonnes, which also saw the largest decline of 11.1%.

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

In value, 2017-2020, M $ US

Argentina's production value of milk powder with a fat content of ≤1.5% increased for the second consecutive year. In 2020, the output was valued at 136.2 million US dollars, indicating a sharp gain of 25.5% over the previous year. Between 2017 and 2020, production value increased by 16.3%, equating to an annualized rate of 5.2%. The minimum value was recorded in 2018 at 88.9 million US dollars, which also experienced the largest decline of 24.1%.

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

Exports milk powder with fat content of ≤1.5% from Argentina

Exports in kind, t

Argentina's exports of milk powder with a fat content of ≤1.5% increased for the third consecutive year. In 2020, exports amounted to 24 703 tonnes, representing a substantial gain of 11.2% from 2019. Between 2017 and 2020, exports grew by 22.8%, with an annualized rate of 7.1%.

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

From 2017 to 2020, Argentina's exports in kind of milk powder with a fat content of ≤1.5% were largely concentrated on Brazil, which accounted for 70.3% of total flows, while other countries together formed the residual share.

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

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

Exports in value, K $ US

Argentina's exports of milk powder with a fat content of ≤1.5% increased for the second consecutive year. In 2020, exports registered 64 140 thousand US dollars, up by 20.1% compared to the previous year. Over the period from 2017 to 2020, exports increased by 24.3%, with a compound annual growth rate (CAGR) of 7.5%. The minimum value was recorded in 2018 at 46 613 thousand US dollars, which also saw the largest decline of 9.7%.

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

From 2017 to 2020, Brazil consistently accounted for 71.7% of Argentina's total exports in value terms for milk powder with a fat content of ≤1.5%, indicating a high concentration on this market, while the remainder was shared among other countries.

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

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

Imports milk powder with fat content of ≤1.5% to Argentina

Imports in kind, t

The data reveals irregular changes, indicating a volatile market environment. Imports varied significantly, with a low in 2017 and a high in 2019, showing a 4.7-fold difference between these years. In 2020, imports of milk powder with a fat content of ≤1.5% into Argentina reached 86 tonnes, indicating a drop of 7.6% compared to 2019. The maximum value was recorded in 2019 at 94 tonnes, while the largest increase occurred in 2018 at 123.3%.

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

From 2017 to 2020, France and Brazil stood out as key suppliers of milk powder with a fat content of ≤1.5% to Argentina, jointly accounting for 37.8% of total imports in kind.

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

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

Imports in value, K $ US

Argentina's imports of milk powder with a fat content of ≤1.5% increased for the third consecutive year. In 2020, imports totalled 269 thousand US dollars, up by 4.1% compared to the previous year. Over the period from 2017 to 2020, imports increased by 209.7%, with a compound annual growth rate (CAGR) of 45.8%.

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

From 2017 to 2020, France and Brazil were the main sources for imports in value terms of milk powder with a fat content of ≤1.5% into Argentina, together accounting for 48.8% of total flows.

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

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