Australia: Butter Market 2024

Butter Market Size in Australia

In 2022, the Australian butter market was finally on the rise to reach $X after three years of decline. The market value increased at an average annual rate of +1.3% over the period from 2012 to 2022; however, the trend pattern indicated some noticeable fluctuations being recorded in certain years. Butter consumption peaked at $X in 2018; however, from 2019 to 2022, consumption remained at a lower figure.

Butter Production in Australia

In value terms, butter production contracted modestly to $X in 2022 estimated in export price. Over the period under review, production showed a slight downturn. The pace of growth appeared the most rapid in 2017 when the production volume increased by 29% against the previous year. Butter production peaked at $X in 2018; however, from 2019 to 2022, production remained at a lower figure.

Butter Exports

Exports from Australia

In 2022, shipments abroad of butter decreased by -43.4% to X tons for the first time since 2018, thus ending a three-year rising trend. Overall, exports continue to indicate a abrupt shrinkage. The most prominent rate of growth was recorded in 2021 with an increase of 37% against the previous year. The exports peaked at X tons in 2012; however, from 2013 to 2022, the exports stood at a somewhat lower figure.

In value terms, butter exports fell significantly to $X in 2022. Over the period under review, exports showed a abrupt curtailment. The pace of growth appeared the most rapid in 2021 with an increase of 58%. The exports peaked at $X in 2013; however, from 2014 to 2022, the exports remained at a lower figure.

Exports by Country

China (X tons), Singapore (X tons) and Hong Kong SAR (X tons) were the main destinations of butter exports from Australia, together accounting for 54% of total exports.

From 2012 to 2022, the biggest increases were recorded for China (with a CAGR of +1.8%), while shipments for the other leaders experienced a decline.

In value terms, the largest markets for butter exported from Australia were China ($X), Singapore ($X) and Malaysia ($X), with a combined 56% share of total exports.

China, with a CAGR of +6.0%, recorded the highest growth rate of the value of exports, among the main countries of destination over the period under review, while shipments for the other leaders experienced mixed trend patterns.

Export Prices by Country

The average butter export price stood at $X per ton in 2022, approximately reflecting the previous year. Overall, export price indicated a moderate increase from 2012 to 2022: its price increased at an average annual rate of +4.3% over the last decade. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2022 figures, butter export price increased by +16.5% against 2020 indices. The pace of growth was the most pronounced in 2017 when the average export price increased by 52%. The export price peaked at $X per ton in 2018; however, from 2019 to 2022, the export prices failed to regain momentum.

There were significant differences in the average prices for the major overseas markets. In 2022, amid the top suppliers, the country with the highest price was Malaysia ($X per ton), while the average price for exports to Japan ($X per ton) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was recorded for supplies to Russia (+23.6%), while the prices for the other major destinations experienced more modest paces of growth.

Butter Imports

Imports into Australia

In 2022, the amount of butter imported into Australia reached X tons, with an increase of 7.9% compared with the year before. In general, total imports indicated a tangible increase from 2012 to 2022: its volume increased at an average annual rate of +3.6% over the last decade. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2022 figures, imports decreased by -6.8% against 2020 indices. The pace of growth appeared the most rapid in 2016 with an increase of 31% against the previous year. Imports peaked at X tons in 2020; however, from 2021 to 2022, imports remained at a lower figure.

In value terms, butter imports soared to $X in 2022. Over the period under review, imports recorded prominent growth. The pace of growth was the most pronounced in 2017 with an increase of 87% against the previous year. Over the period under review, imports reached the peak figure in 2022 and are likely to continue growth in the near future.

Imports by Country

In 2022, New Zealand (X tons) constituted the largest butter supplier to Australia, with a 89% share of total imports. Moreover, butter imports from New Zealand exceeded the figures recorded by the second-largest supplier, France (X tons), more than tenfold.

From 2012 to 2022, the average annual growth rate of volume from New Zealand amounted to +3.3%. The remaining supplying countries recorded the following average annual rates of imports growth: France (+19.4% per year) and Denmark (+1.4% per year).

In value terms, New Zealand ($X) constituted the largest supplier of butter to Australia, comprising 87% of total imports. The second position in the ranking was taken by France ($X), with a 6.7% share of total imports.

From 2012 to 2022, the average annual growth rate of value from New Zealand stood at +10.4%. The remaining supplying countries recorded the following average annual rates of imports growth: France (+29.7% per year) and Denmark (+6.1% per year).

Import Prices by Country

In 2022, the average butter import price amounted to $X per ton, growing by 24% against the previous year. In general, import price indicated a buoyant expansion from 2012 to 2022: its price increased at an average annual rate of +6.9% over the last decade. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2022 figures, butter import price increased by +33.1% against 2020 indices. The most prominent rate of growth was recorded in 2017 an increase of 56%. Over the period under review, average import prices attained the maximum in 2022 and is expected to retain growth in years to come.

Average prices varied somewhat amongst the major supplying countries. In 2022, amid the top importers, the country with the highest price was France ($X per ton), while the price for New Zealand ($X per ton) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by France (+8.7%), while the prices for the other major suppliers experienced more modest paces of growth.

Source: IndexBox Platform

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