Overview of Kazakhstan's Dairy Industry

Kazakhstan's dairy industry is experiencing rapid growth, driven by technological advancements and infrastructure development. The sector plays a crucial role in the national economy, with milk production reaching approximately 5.4 million metric tons annually, positioning Kazakhstan as a significant figure in the regional dairy market.

Milk Production and Dairy Cattle

The backbone of the dairy sector is the approximately 1.9 million dairy cattle in Kazakhstan. These cattle contribute to a robust milk production, which saw a 4.2% increase between January and October 2024. The country focuses on optimizing production efficiency with the goal of achieving self-sufficiency in key dairy products by 2027.

Milk Processing and Product Manufacturing

Annually, Kazakhstan processes around 4.1 million metric tons of milk using advanced processing technologies. The country produces approximately 39,000 metric tons of cheese and around 28,000 metric tons of milk powder and whey each year. Key enterprises in this sector include the Rakhmanovskiy Dairy Plant, KazMilk, and Kapchagay Milk Plant.

Export and Import Dynamics

Kazakhstan exports about 65,000 metric tons of dairy products annually, mainly to Central Asia and Russia, while importing around 35,000 metric tons, primarily from Europe and Russia. In 2023, the country expanded its cream cheese exports to Greece and Poland. Despite increasing production, Kazakhstan remains a net importer of dairy products.

Significant Industry Events

Recent industry events include the introduction of DeLaval OptiDuo robotic feed pushers, which have improved feeding efficiency and yields. The Central Asian Dairy Congress AqAltyn is scheduled for late 2024 in Turkestan. Additionally, ice cream exports reached a record 9,800 tons from January to November 2024. The North Kazakhstan Region has invested KZT17 billion (approximately $36 million) in modern dairy farms, aiming to increase production by 70,000 tons annually.

Market Dynamics

Dairy consumption in Kazakhstan is rising, with per capita milk consumption reaching 265 kg per year. The out-of-home sector is experiencing growth, although the production of fermented dairy products like cheese and cottage cheese has declined. The southern regions, including Turkistan, Zhambyl, Almaty, and Shymkent, are experiencing active population growth, influencing market shifts. Despite challenges such as raw milk shortages and high butter consumption without domestic production, Kazakhstan is focused on expanding its industrial production capabilities.

Efforts are being made to address the dependency on imports of cheese, butter, and powdered milk. The country has the potential for market growth of at least 25% by optimizing production and logistics. New greenfield projects in southern Kazakhstan and a pilot dairy farm project based on Belarusian technologies in the Akmola Region are examples of the ongoing developments aimed at enhancing the dairy sector's capacity and efficiency.

Kazakhstan remains dependent on dairy imports in key categories. Despite high self-sufficiency in raw milk production and several processed dairy segments, Kazakhstan continues to rely on imports for strategically important dairy products such as cheese, yogurt, butter, and milk fats.

Kazakhstan is one of the main markets for Russian ice cream, contributing significantly to the export value.

Modified: 2025/07/23