Dairy Industry in the Philippines
The Philippines, situated in Southeast Asia, is emerging as a significant entity in the global dairy industry. Despite the challenges posed by its tropical climate, the country continues to make strides in dairy production through improved farming practices and strategic industry initiatives.
Dairy Cattle Population
With approximately 615,000 dairy cattle, the Philippines is committed to expanding its herd sizes to meet the increasing demand for milk.
Milk Production and Processing
In 2022, the Philippines produced around 24.38 million liters of milk. This growth is driven by enhanced farming techniques and the introduction of imported dairy cattle breeds. Annually, approximately 23.5 million liters of milk are processed, indicating strong collaboration between cooperatives and private processing plants to optimize milk output.
Cheese and Milk Powder Production
Cheese production in the Philippines is on the rise, with approximately 1,500 metric tons produced annually, driven by both local and export markets. Additionally, about 4,000 metric tons of milk powder are produced each year, primarily for local consumption, with some quantities exported.
Key Dairy Facilities
Prominent dairy plants include Alaminos Dairy Cooperative, DVF Dairy Farm, Laguna Creamery, Inc., and the Philippine Carabao Center Dairy Farm. Key dairy farms include Batangas Dairy Producers Cooperative, Bohol Dairy Cooperative, Gatas ng Kalabaw Farmers Cooperative, and Pantaleon Livestock & Poultry Farm.
Export and Import of Dairy Products
The Philippines exports around 3,000 metric tons of dairy products annually, including cheese, milk powder, and condensed milk, to other Asian markets. To meet the growing domestic demand, the country imports about 110,000 metric tons of dairy products each year, including milk powder, cheese, butter, and UHT milk, primarily from New Zealand, the United States, and Australia.
Recent Events in the Dairy Industry
Fonterra's decision to outsource financial services to Manila highlights the Philippines' growing role in the global dairy market. The government's Dairy Industry Roadmap 2025 aims to boost local milk production and reduce imports. The Philippines is a major buyer in the whey market, importing from Ukraine, and has seen a 34% increase in NFDM/SMP exports to Southeast Asia as of September. The country remains a key market for Malaysian palm oil and is among the top importers of South Korean ice cream, with imports worth $1.1 million in July. Darigold, Inc. has re-entered the Philippine consumer market after a 50-year hiatus, and the Spanish brand Yolé has opened its first standalone store in Robinsons Place Manila. The USDA predicts increased demand for key dairy products like whole milk powder and cheese, indicating continued growth in the industry. Despite a 12% decline in US exports to the Philippines due to trade tensions, the Philippines remains one of the largest US export markets. Farm Fresh has established a presence in the Philippines and is intensifying its efforts to expand across Southeast Asia. Ace International exports its dairy products, including whey proteins and milk powder, to the Philippines. Mengniu's ice cream brand 'Aice' holds the second position in the ready-to-eat ice cream market, and Feihe has chosen the Philippines as the first stop for its Southeast Asian market entry.
Modified: 2026/04/02