Dairy Industry in Malta

Overview

The dairy industry in Malta stands out for the stability of its raw milk prices, which as of August, are among the highest in the European Union at 63.66 euro cents per kilogram. This price stability is essential for providing a secure economic environment for local dairy farmers.

Milk Production and Dairy Cattle

Despite its limited geographical size, Malta sustains a robust dairy farming sector. The country annually produces a significant volume of milk, supported by a substantial population of dairy cattle. Additionally, dairy goats contribute to the overall milk production, adding diversity to the industry.

Milk Processing and Dairy Products

Milk processing in Malta involves approximately a thousand tonnes each year. Cheese production is a significant component, with around b thousand tonnes produced annually. The production of milk powder and whey is estimated at c thousand tonnes per year, indicating a well-rounded processing sector.

Key Enterprises in the Dairy Market

Several key enterprises are critical to Malta's dairy industry, including Malta Dairy Products Ltd., G W Vassallo Ltd., and San Lucian Dairy Farms Co Ltd. Prominent dairy farms in the region include Simblija Farm, Gozo Dairy Farm, and Cassola Dairy Farm.

Exports and Imports of Dairy Products

Malta's export of dairy products is relatively modest, estimated at about x tonnes per year. However, the country imports around y tonnes of dairy products annually to meet local demand, which is essential for consumer satisfaction and market stability.

Significant Events in the Dairy Industry

The stability of raw milk prices is a noteworthy event, crucial for economic planning and the sustainability of local dairy farmers. A recent legal development involves a Maltese court ordering S&E Limited to pay Malta Dairy Products Limited for unpaid invoices. In response to rising costs, Malta Dairy Products has announced a price increase to maintain quality and sustainability in milk supply. Additionally, the Maltese government has allocated land for a new milk processing facility in Ħal Farruġ, aiming to modernize the agricultural sector and increase competitiveness. Maltese dairy producers are also considering cooling systems for cows to combat reduced fresh-milk production during prolonged summer heat, illustrating the industry's adaptability to climate challenges.

Malta recorded the largest annual increase in raw milk prices, with a 3% rise.