Chilean Dairy Imports See 13.5% Decline Amid Global Market Challenges

Chilean dairy imports recorded a significant decline of 13.5% in the first two months of 2025, indicating continued challenges in the sector. The total value of dairy imports stood at $72.8 million, as reported by the Office of Agricultural Studies and Policies (ODEPA) and the Chilean Dairy Producers Federation (Fedeleche). Despite this downturn, New Zealand enhanced its position as a supplier, with a 13.6% increase in exports to Chile, signalling a potential shift in supplier dynamics.

Argentina remains the primary dairy provider to Chile, accounting for 25.1% of imports with a rise in imports valued at $9.4 million, marking an 18.3% increase. The United States and Mexico also play significant roles, holding 19.2% and 8.6% shares of the market, respectively. However, both countries witnessed a stagnation in growth, with the US barely advancing at 0.1% and Mexico experiencing a drop of 1.5%.

In contrast, traditional European suppliers like Germany and the Netherlands faced dramatic reductions in their exports to Chile, falling by 50.9% and 40.5% respectively. This highlights Chile's increasing reliance on non-European sources, which may pose long-term sustainability concerns for the local dairy industry.