Dairy Industry in Iraq: 2023 Overview
The dairy industry in Iraq is an integral part of the nation's agricultural landscape, characterized by both its growth potential and the challenges it faces. With a population of approximately 800,000 dairy cattle, Iraq plays a significant role in the region's agricultural output.
Milk Production and Processing
In 2023, Iraq's annual milk production was estimated at 1.2 billion liters. However, processing capabilities lag behind, with only about 650 million liters being processed. This indicates significant room for development in processing efficiency and infrastructure to increase the volume of processed milk.
Cheese and Milk Powder Production
Iraq's dairy industry is diverse, producing approximately 60,000 tons of cheese and 30,000 tons of milk powder and whey annually. These products cater to the domestic market, showcasing the variety available to Iraqi consumers.
Key Enterprises and Farms
Several key players drive innovation and production within Iraq's dairy industry. Rasan Dairy Goat is renowned for its unique dairy offerings, while the Najaf Dairy Company is a major processor and distributor. Baghdad Dairy Corporation also significantly contributes to processing milk for local and regional markets. Prominent farms like Al-Mosul Dairy Farm and Basra Green Farm focus on cattle dairy farming and sustainable practices, aiding in the industry's growth.
Exports and Imports
In 2023, Iraq exported around 50 million USD worth of dairy products, primarily to neighboring regions. Despite this, the country imported 150 million USD worth of dairy products, reflecting substantial domestic demand for diverse offerings. Notably, Iraq was a major importer of Iranian dairy products, accounting for nearly 40% of such imports during the period. In 2024, Iraq also imported 20,000 tons of whole fresh milk, emphasizing its role as a key importer in the Middle East.
Market Events and Trends
Notable market events include Rasan Dairy Goat's participation in an upcoming regional dairy expo, aiming to showcase innovative products and strengthen its market presence. Furthermore, Iraq's demand for live animals has contributed to the growth of live animal exports from Colombia, which reached USD 101.2 million. Iraq is also a main importer of Russian veterinary vaccines, highlighting the country's focus on maintaining animal health and productivity.
The closure of the Strait of Hormuz impacts dairy exports to Iraq, affecting dairy imports. Iraq remains a major importer of dairy products in the Middle East, importing about $763 million worth annually. In 2025, cheese and curd formed the largest segment of imports, amounting to $232.6 million, followed by bird eggs at $176.3 million. Concentrated and sweetened milk and cream imports reached $39.8 million, while butter and other milk-derived fats totaled $39.2 million. The remaining imports consisted of yogurt, whey, natural honey, and other edible animal products, showing a significant demand for varied dairy products.
Modified: 2026/07/08