UK Dairy Exports Surge 20% Despite Global Market Pressures
Sourse: dairynews.today
UK dairy exports have increased by nearly 20% in 2025, with values reaching £1.46 billion, primarily driven by cheese and curd exports.
UK dairy exports recorded a strong performance in the first eight months of 2025, with export values up nearly 20% to £1.46 billion and volumes reaching 914,000 tonnes, according to HMRC data. The EU remained the top destination, accounting for £1.1 billion, with cheese and curd exports alone generating £458 million.
This export growth comes amid declining global dairy prices, especially in butter, which fell 16% in the EU in September, and significant cuts to UK farmgate milk prices. Many UK producers are feeling the squeeze as production costs remain high and price disparities widen. Despite this, retail dairy prices remain elevated, with a pint of milk now averaging 73p, up 23p since early 2022. Poor grass growth due to a dry summer has increased reliance on feed, further affecting on-farm economics.
The bluetongue virus outbreak in Europe has constrained continental milk supplies, boosting demand for British dairy abroad. Meanwhile, UK milk volumes have reached record highs, supported by favourable milk-to-feed price ratios. The AHDB’s Dairy Export Conference highlighted ongoing export opportunities and the need for collaborative industry strategies to navigate a volatile global market. As global uncertainties persist, maintaining market access, quality standards, and trade development support will be critical for sustaining the UK’s export momentum into 2026.
This export growth comes amid declining global dairy prices, especially in butter, which fell 16% in the EU in September, and significant cuts to UK farmgate milk prices. Many UK producers are feeling the squeeze as production costs remain high and price disparities widen. Despite this, retail dairy prices remain elevated, with a pint of milk now averaging 73p, up 23p since early 2022. Poor grass growth due to a dry summer has increased reliance on feed, further affecting on-farm economics.
The bluetongue virus outbreak in Europe has constrained continental milk supplies, boosting demand for British dairy abroad. Meanwhile, UK milk volumes have reached record highs, supported by favourable milk-to-feed price ratios. The AHDB’s Dairy Export Conference highlighted ongoing export opportunities and the need for collaborative industry strategies to navigate a volatile global market. As global uncertainties persist, maintaining market access, quality standards, and trade development support will be critical for sustaining the UK’s export momentum into 2026.
