The Philippines imports 99 percent of its dairy requirement as domestic production cannot meet the annual demand of 2.9 million metric tons (MT) liquid milk equivalent, according to the National Dairy Authority (NDA). Following declines in demand in 2021 due to the pandemic, dairy imports are expected to recover in 2022 as the economy reopens, most of the population is vaccinated, and customers return to restaurants. Skim milk powder imports are forecast to reach 175,000 MT in 2022, 6 percent higher than the previous year, while fluid milk imports rise 4 percent to 115,000 MT over the same period. Cheese imports in 2022 are expected to continue the growth seen in 2021, increasing 4 percent in 2022 to 52,000 MT. Meanwhile, the NDA will continue to implement the U.S. PL480-funded dairy improvement program, importing animals to boost cow, buffalo, and goat milk production.