Dairy exports in the United States reached a new high of $7.6 billion in 2021, up from $6.4 billion in 2020. However, US dairy exports not only broke that record last year; they shattered it, with exports totalling $9.5 billion. In just one year, exports have increased by 25%. According to USDA, the United States shipped 2.4 million metric tonnes to foreign buyers, a 5% increase from 2021.
“We’ve had three consecutive years of record U.S. dairy exports while facing some of the strongest dairy export headwinds we’ve ever seen,” says Krysta Harden, President and CEO of the United States Dairy Export Council.
The United States set annual export records for cheese, whey, and lactose. Cheese shipments from the United States increased by 12% to 451,370 metric tonnes, or nearly 1 billion pounds.
Working hard pays off.
“The dairy industry in the United States did not get to this point overnight,” Harden says. “It took more than two decades of hard work to get here — work that included strengthening the United States’ global reputation as a reliable supplier of high-quality dairy products, developing relationships with overseas buyers, promoting dairy consumption in high-potential markets, and investing in people, products, and infrastructure specifically designed to meet the varying needs of consumers from Tokyo to Dubai to Lima.”
In 2022, the United States increased its global cheese sales, posting gains on multiple continents. Mexico grew 18%, the Middle East and North Africa grew 41%, Japan grew 17%, Central America grew 17%, the Caribbean grew 25%, South Korea grew 9%, Australia grew 14%, and Colombia grew 28%.
Mexico became the United States’ first $2 billion dairy export market, with sales increasing 37% to $2.5 billion.
Mexico was also the top volume market for the United States, with exports increasing by 9%. Better-than-expected economic growth — five consecutive quarters of GDP growth through December 2022 — aided demand recovery. A stronger peso aided affordability, especially in the second half of the year. In 2022, the United States’ cheese, nonfat dry milk/skim milk powder (NFDM/SMP), and butterfat sales to Mexico all set new highs. Cheese shipments from the United States to Mexico increased by 18%, NFDM/SMP sales increased by 6%, and butterfat increased by 340%.
In 2022, the top product markets in the United States were:
Mexico exported 27% of its cheese, 43% of its NFDM/SMP, and 30% of its milk protein concentrate.
China was responsible for 30% of whey exports and 26% of lactose exports.
Canada exported 43% of all butterfat.
Taiwan was responsible for 38% of fluid milk and cream exports.
The return of butter
Butter exports totalled 144.1 million pounds in 2022, a 48% increase over 2021 and the highest level since 2013. Butter exports totalled $240.5 million in 2022, a 37% increase over 2021. Last year’s top markets for US butter exports were Canada (105% increase), Bahrain (38% increase), South Korea (209% increase), and Mexico (97% increase).
Ice cream exports in 2022 were 2% lower than in 2021. Ice cream exports totalled $255.6 million, a 3% increase over the previous year.
