Kefir, Greek Yogurt and Aged Cheese Expand Ecuador’s Dairy Sector
Categories that were barely present in Ecuador several years ago are gaining visibility, according to Andrés Rodríguez Estrada, director of the country’s Dairy Observatory. Kefir is expanding, while Greek yogurt is becoming more prominent. Producers are adding flavours such as dragon fruit and peach and introducing formats aimed at specific consumer groups. Innovation has also reached children’s products, including cheese snacks.
The shift extends to cheese. Although overall cheese consumption has declined, sector data show growth in semi-mature and mature varieties. Verónica Chávez, executive director of the Centre for the Dairy Industry, said the pattern formed part of a broader change in consumption: liquid milk was under greater pressure, while products involving more processing and added value were finding new opportunities.
Companies that had previously relied heavily on conventional milk have broadened their portfolios. Businesses already active in yogurt and other dairy products have been targeting narrower market segments. Private or store brands have gained ground in basic categories, including liquid milk, milk powder, fresh cheese and natural yogurt. Established producers have responded with new formulations, flavours, functional features, package formats and other product attributes. The industry is also seeking additional occasions for liquid-milk consumption, which remains strongly linked to breakfast and traditional habits.
Ecuadorian households spend an average of $12.15 a month on milk and dairy products, estimates the Dairy Observatory. Dairy is the fourth-largest component of food spending, after animal proteins; cereals and flours; and tubers and vegetables. The figures have encouraged companies to focus on product variety and different consumption occasions, rather than solely on increasing volume.
Exports remain a small part of the industry, but companies already send yogurt, oats, flavoured milk and bagged UHT milk to Peru. The neighbouring market is being considered because of its proximity. The United States offers a niche initially associated with Ecuadorian-origin consumers. China is also being monitored, particularly for products with shelf lives of four to six months.
One possible differentiation niche is A2A2 milk, identified by the beta-casein variant in its raw material. The Centre for the Dairy Industry says Ecuador has only two qualified suppliers for this type of milk, so larger-scale development would first require greater availability from primary producers. Ecuador and China signed a sanitary protocol for dairy exports in April 2025, although interested companies still have to complete registration and approval procedures.
Milk supply remains a constraint. Ecuador produces slightly more than 5m litres a day, but the industry says only about 48% meets the applicable standard. Export supply also requires milk from farms observing good agricultural practices; the sector currently counts 120 such farms. The number of cattle used for dairy production has fallen, and milk output declined by 3% in 2025 despite improvements in productivity. The industry’s current product range therefore includes kefir, Greek yogurt, mature cheeses, children’s formats and other varieties alongside traditional dairy products.
