Mexico: Dairy and Products Annual

Even as Mexico's consumers face high core and food inflation, post sees both overall dairy production and imports rising in 2023. Mexico’s milk and cheese production is forecast to rise in 2023 due to increased investments in dairy operations in key producing areas. Post forecast cheese and butter imports to increase in 2023 due to increased demand from urban consumers and Hotel, Restaurant, and Institutional consumption. Additionally, limited infrastructure to dehydrate fluid milk limits milk powder production growth in Mexico. Skim milk powder and dry whole milk powder imports, particularly from the United States, remain strong and are forecast to increase in 2023.