EU Dairy Exports Rose 11.88% in August Despite Surplus
EU dairy exports expanded by 11.88% in August 2026 compared with the same month a year earlier, according to DCA Market Intelligence figures reported on October 23. The increase represented an additional 272 million kilograms of liquid milk equivalent (LME). July exports had risen by 8.46%, or 225 million kilograms LME.
Despite the two consecutive monthly gains, overseas sales did not absorb the EU’s increasing dairy production surplus. The data showed a gap between the availability of milk for processing and the demand reached through domestic consumption and international trade.
Export growth provided an outlet for products made from additional milk, including cheese, butter, milk powders and other dairy ingredients. Its effect on the overall surplus varied according to the amount of milk entering processing, the product mix, international buying patterns and exporters’ ability to compete in external markets.
Trade performance differed by product category. Whey exports fell by 10.30% in August, partly reducing the contribution made by stronger shipments of other dairy products. Whey is produced during cheese-making and can be processed into food ingredients, specialised nutrition products and whey protein compounds.
The performance of whey exports is linked to demand for whey powder and higher-value protein ingredients, as well as competition, customer purchasing and available processing capacity. For manufacturers, whey remains commercially significant because it contributes to the value recovered from milk used in cheese production. Weaker shipments can affect inventories and the range of products that processors handle.
A persistent surplus can affect several parts of the dairy supply chain. Processors may face higher stocks and pressure on prices for commodity products when additional milk cannot be placed through domestic consumption or profitable export channels. Farmers may see changes in farmgate milk prices, procurement policies and processor demand, while processors must manage the costs of collecting, transporting, storing and manufacturing the extra milk.
The contrasting August results—overall dairy exports up by 11.88% and whey exports down by 10.30%—showed differences between individual product markets. The figures indicated that export growth supported the movement of EU dairy products abroad but did not by itself remove the production surplus.
