Kazakhstan's Dairy Industry Overview

The dairy industry in Kazakhstan is a vital part of the national economy, with significant contributions to both domestic consumption and exports. With an annual milk production of about 5.4 million metric tons, Kazakhstan is steadily moving towards self-sufficiency, aiming to achieve this by 2027 through enhanced production efficiency and technological advancements.

Milk Production and Dairy Cattle

In 2024, Kazakhstan experienced a 4.2% increase in milk production from January to October. The country manages approximately 1.9 million dairy cattle, with advanced technologies like the DeLaval OptiDuo robotic feed pushers improving feeding efficiency. The establishment of 38 new dairy farms in 2024, which added 15,960 cattle, has contributed to a 21% increase in milk production over the past five years.

Milk Processing and Product Manufacturing

Annually, Kazakhstan processes around 4.1 million metric tons of milk, resulting in the production of about 39,000 metric tons of cheese and 28,000 metric tons of milk powder and whey. Key industry players include Rakhmanovskiy Dairy Plant, KazMilk, and Kapchagay Milk Plant.

Export and Import Dynamics

Kazakhstan exports approximately 65,000 metric tons of dairy products each year, mainly to Central Asia and Russia, while importing around 35,000 metric tons primarily from Europe and Russia. In 2023, the export portfolio expanded to include cream cheese for Greece and Poland. Despite increased production, Kazakhstan remains a net importer of essential dairy products such as cheese, yogurt, butter, and milk fats.

Significant Industry Events

In 2024, Kazakhstan achieved a record export of 9,800 tons of ice cream from January to November. The North Kazakhstan Region invested KZT17 billion (approximately $36 million) in modern dairy farms, aiming to boost annual production by 70,000 tons. The Central Asian Dairy Congress AqAltyn is scheduled for late 2024 in Turkestan, reflecting the region's importance in the industry.

Market Dynamics

Dairy consumption in Kazakhstan is increasing, with per capita milk consumption at 265 kg annually. The out-of-home sector is expanding, but there is a decline in the production of fermented products like cheese and cottage cheese. Regions such as Turkistan, Zhambyl, Almaty, and Shymkent influence market trends due to active population growth. Challenges include raw milk shortages and high butter consumption, but Kazakhstan is focused on enhancing its industrial production capabilities.

Challenges and Growth Potential

A significant challenge is that 87% of Kazakhstan's veterinary laboratories do not meet international standards, raising concerns about product quality and safety, which hinder exports requiring international certification. However, the country has prepared over 20 million tons of animal feed for winter 2025–2026. The International Forum on Genetics and Dairy Farm Management in Almaty underscores Kazakhstan's commitment to industry advancement.

Despite these challenges, Kazakhstan's dairy industry holds substantial potential. Local and international demand for Kazakhstani dairy products is driven by their eco-friendliness and quality. In the first half of 2025, agricultural producer prices fell by 4.2%, with a 6% decrease in June 2025 compared to June 2024. Kazakhstan has started producing children's dairy products from whole milk, aiming to make them more accessible to urban residents.

Industry Achievements

Between January and August 2025, butter production increased by 15%, and fermented dairy products by 6.4%. Gross agricultural production rose by 3.4% to 3.6 trillion tenge, with livestock production increasing by 3.2% to 2.26 trillion tenge. The country produced 696,200 tons of meat, 2.63 million tons of milk, and 3.01 billion chicken eggs during this period.

Kazakh producers achieved notable success at the Mondial du Fromage et des Produits Laitiers 2025 World Championship, with delegations winning three gold, one silver, and two bronze medals. In the North Kazakhstan region, three enterprises for cheese and curd production are planned to launch by the end of 2027, with a total investment of about 6 billion tenge. According to the Ministry of Agriculture, there are about 60 cheese production enterprises in Kazakhstan with a total capacity of over 50 thousand tons of products per year. In 2024, the production of cheese and curd increased by 7.5% to 48.3 thousand tons. Dairy production growth ranged from 0.3% to 4.7% across various categories, including milk, cream, yogurt, kefir, and butter.

Modified: 2025/09/18