The Dairy Market of the Philippines

The Philippines, located in Southeast Asia, has become an increasingly important player in the global dairy industry. Despite its tropical climate, the country has made significant strides in dairy production through enhanced farming methods and strategic industry initiatives.

Number of Dairy Cattle

The Philippines is home to approximately 615,000 dairy cattle. This sizeable number reflects the country's dedication to expanding herd sizes in response to the growing demand for milk.

Milk Production Volume

In 2022, the Philippines produced about 24.38 million liters of milk. This remarkable production increase can be attributed to the use of improved farming techniques and the introduction of imported dairy cattle breeds.

Milk Processing Volume

The country processes around 23.5 million liters of milk annually. This figure signifies a strong collaboration between cooperatives and private processing plants, working together to optimize milk output.

Cheese Production Volume

Cheese production in the Philippines has been gaining momentum, with approximately 1,500 metric tons produced annually. The local and artisan cheese markets are experiencing growth domestically and in export markets.

Milk Powder and Whey Production Volume

Milk powder production, which is a crucial dairy product, stands at about 4,000 metric tons per year. Most of this production is for local consumption, with some quantities being exported.

Key Dairy Plants

• Alaminos Dairy Cooperative
• DVF Dairy Farm
• Laguna Creamery, Inc.
• Philippine Carabao Center Dairy Farm

Key Dairy Farms

• Batangas Dairy Producers Cooperative
• Bohol Dairy Cooperative
• Gatas ng Kalabaw Farmers Cooperative
• Pantaleon Livestock & Poultry Farm

Export of Dairy Products

Annually, the Philippines exports approximately 3,000 metric tons of dairy products. Key exports include cheese, milk powder, and condensed milk, primarily shipped to other Asian markets.

Import of Dairy Products

Due to increasing domestic demand, the Philippines imports about 110,000 metric tons of dairy products each year. These include milk powder, cheese, butter, and UHT milk, mainly from New Zealand, the United States, and Australia.

Recent Events in the Dairy Industry

Fonterra's decision to outsource certain financial services to partners in Manila highlights the Philippines' rising importance in the global dairy market. Additionally, the government's Dairy Industry Roadmap 2025 underscores ongoing support to boost local milk production and reduce imports.

The Philippines also plays a significant role as a major buyer in the whey market, importing from Ukraine. Notably, there was a 34% year-over-year increase in NFDM/SMP exports to Southeast Asia as of September. Moreover, the Philippines continues to be among the top export markets for Malaysian palm oil in 2024.

Modified: 2025/02/05

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