Dairy exports jump 32% in Q1

Iran’s dairy exports rose sharply in the first quarter of the current Iranian year (March 21 –June 21), driven by the use of subsidized raw milk, even as domestic consumption of dairy products declined.
Official data showed exports of dairy products climbed 24 percent by volume and 32 percent by value compared with the same period a year earlier, Tasnim news agency reported.

Total shipments reached 171,868 tons worth $280.7 million, up from 138,939 tons valued at $213 million in the first quarter of 1403 (March–June 2024).
Industry officials said the growth was largely fueled by dairy products made from raw milk produced with subsidized animal feed, imported at a preferential exchange rate of 285,000 rials per U.S. dollar. The subsidies were intended to keep consumer prices affordable, but weak oversight of pricing outside four regulated items has led to falling dairy consumption at home.

At the same time, the lower production costs have made exports highly profitable, bolstering Iran’s position among the world’s leading dairy exporters.
Iraq remained the top market, importing 93,000 tons worth $110 million, which accounted for 54 percent of the volume and 39 percent of the value of Iran’s dairy exports. Pakistan followed with 25,587 tons worth $34.8 million, while the United Arab Emirates ranked third by volume at 8,000 tons. Russia was the third-largest market by value at $32 million.