Philippines: Dairy and Products Annual

  |   Attaché Report (GAIN)

Producing less than one percent of its growing dairy requirement of 1.991 million metric tons (MMT) in 2015, the Philippines continues to be a major global importer of dairy products, especially milk powder. Due to the continued rapid expansion of the food processing industry and large global dairy supplies in 2015, total imports are expected to increase to 1.800 MMT (from 1.740 MMT in 2014). Major suppliers are New Zealand (30 percent), the United States (24 percent), and Australia (7 percent). The Philippines was the 4th largest market for U.S. dairy products by value at $422 million (up 16 percent) in 2014. Due to increasing global milk production, and supplies, a sharp decline in world dairy prices, as well as a strengthening U.S. dollar, U.S. dairy exports in 2015 are expected to drop about 40 percent by value and may only reach $255 million by the end of the year. U.S. dairy exports by volume are expected to remain flat. While milk powder exports dominate this category, there has alsobeen strong growth in U.S. whey products and buttermilk sales. Dairy products are the country’s third largest agricultural import after wheat and soybean meal.

Philippines: Dairy and Products Annual

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