HS Code:
Condensed milk, classified under HS Code 0402.91 (not sweetened) and 0402.99 (sweetened), is a dairy product made by evaporating water from milk, often with added sugar in the sweetened variant. It is widely used in confectionery, baking, and beverage industries, as well as a direct consumer product in many regions. The global trade of condensed milk is driven by demand for long-shelf-life dairy products, especially in regions with limited access to fresh milk or refrigeration. Key factors influencing trade include dairy production capacity, consumer preferences, and trade agreements.
Total Trade Volume
Approximately $3.5 billion USD
Data from 2022
Source
United Nations Comtrade Database and International Trade Centre (ITC)
$600 million USD
17% of global trade of total trade
Increasing
$450 million USD
13% of global trade of total trade
Stable
$400 million USD
11% of global trade of total trade
Increasing
$350 million USD
10% of global trade of total trade
Increasing
$300 million USD
9% of global trade of total trade
Stable
Average Rate
10-15% ad valorem
Highest Rate
Up to 35% in certain developing countries to protect local dairy industries
Lowest Rate
0-5% under free trade agreements (e.g., EU, USMCA)
Rising demand in Asia-Pacific
Increased exports to countries like Indonesia, Vietnam, and the Philippines due to growing populations and preference for shelf-stable dairy products.
2020-2022
Shift toward unsweetened variants
Health-conscious consumers are driving demand for unsweetened condensed milk, affecting production and trade patterns.
2021-2023
Sustainability concerns in dairy production
Exporters face pressure to adopt sustainable practices, influencing trade competitiveness and costs.
2022-2023
The European Union has increased condensed milk exports to the Middle East and North Africa due to new trade agreements and high regional demand.
March 2023
Strengthened market position for EU exporters, especially the Netherlands and Germany.
Under the US-Mexico-Canada Agreement, tariffs on condensed milk between member countries have been reduced, boosting trade flows.
January 2023
Increased exports from the United States to Mexico, a major consumer market.
Thailand has implemented subsidies for condensed milk exporters to capture more market share in Southeast Asia.
June 2022
Enhanced competitiveness of Thai condensed milk in price-sensitive markets.