Australian milk exports rebound after three-year decline

Demand from China and Malaysia lifts 2025 forecast by 9.5%
calendar icon 18 June 2025
clock icon 1 minute read

After three years of decline, Australia’s fluid milk exports are set to grow by 9.5 percent in 2025, reaching an estimated 185,000 metric tons, according to FAS/Canberra. The projected increase is driven by early signs of renewed demand from key markets, particularly China and Malaysia.

In the first quarter of 2025, export volumes rose by 5.7 percent year-over-year to 41,400 metric tons. While Australia ships milk to more than 40 countries, China and Singapore remain top destinations, each accounting for about one-quarter of total exports in 2024.

Exports to China, once Australia’s leading fluid milk market, fell sharply after 2022 as domestic production in China surged. Although some recovery is underway, analysts caution that a full return to previous export volumes is unlikely given ongoing consolidation and falling milk prices in China’s dairy sector.

Shipments to Malaysia showed early growth in 2025 but have since moderated, while exports to the Philippines declined sharply. Despite mixed performance across markets, exporters are cautiously optimistic for a stronger year overall.

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