Algeria's Dairy Industry: An Emerging Market

Situated in North Africa, Algeria is witnessing a transformation in its dairy sector. With strategic initiatives and substantial foreign investments, Algeria is poised for steady growth in both dairy production and processing, marking its emergence as a significant player in the global dairy market.

Dairy Cattle and Milk Production

Algeria is home to approximately 1.8 million dairy cattle, showcasing its substantial livestock resources. The country's annual milk production stands at about 3.5 billion liters, indicating robust growth in its dairy production capabilities.

Milk Processing and Product Output

The country processes around 2.1 billion liters of milk annually. Among the key dairy products, Algeria produces 55,000 tons of cheese and 30,000 tons of milk powder and whey each year.

Key Enterprises in the Dairy Market

• Giplait: A major public sector company involved in milk processing and dairy manufacturing.
• Laiterie Soummam: One of the largest private dairy firms in Algeria, known for its wide range of dairy products.
• Alrawabi Dairy Company: A newly established firm with significant foreign investment, focusing on modern dairy practices.

Significant Industry Events

Recent developments in Algeria's dairy sector include the launch of the National Dairy Program, which aims for self-sufficiency in milk production by 2025. In 2022, partnerships with international dairy giants were announced, facilitating knowledge transfer and technological gains. Additionally, Soummam announced a tender for 4,000 metric tons of skimmed milk powder (SMP) MH and 1,000 metric tons of SMP UHT for delivery in early 2025.

Trade: Exports and Imports

Algeria actively participates in the global dairy trade, exporting about 50 million liters of dairy products annually. However, it imports approximately 1.2 billion liters worth of dairy products each year. Despite being a net importer, Algeria is focused on reducing import dependence and enhancing local dairy production. The country's Whole Milk Powder (WMP) purchase highlights robust demand and an evolving dairy landscape.

Notable developments include the shipment of 2,100 high-grade heifers to Algeria, boosting dairy cattle resources. Algeria has also emerged as a key market for Uruguay's dairy exports, with purchases amounting to $15 million and achieving the highest average price slightly above $6,500 per ton.

As part of its strategy to enhance domestic food production, Algeria has finalized a contract for the construction of the world's largest integrated dairy farm and milk powder facility. This ambitious project marks a significant step towards reducing the nation's dependency on dairy imports, leveraging its agricultural potential to address food security challenges.

Algeria becomes Uruguay's primary dairy export market, accounting for over 35% of Uruguay's dairy exports in 2025, surpassing Brazil as the main destination for products like whole milk powder. Baladna Algeria's project: Baladna Algeria has launched a project with a $635 million contract for importing dairy cattle, aiming to establish local powdered milk production. Baladna plans to ship around 30,000 dairy cows from the United States to Algeria as part of a larger $3.5 billion initiative to boost local powdered milk production.

Algeria maintained its dominance as the primary market for whole milk powder, receiving nearly 20,000 tons and accounting for 47% of the total exports by mid-April 2026. Algeria was among the top five importers of Turkish dairy products in 2025, contributing to the total export value of $523.3 million from Turkey in 2025.

Algeria became a significant market for Uruguay's dairy exports. Sales to Algeria were crucial, with the country receiving 52.4% of Uruguay's dairy exports to Africa. Uruguay surpassed New Zealand to become Algeria's second-largest dairy supplier, capturing 22% of a market valued at US$ 1.8 billion annually.

Modified: 2026/05/12