Iran’s dairy exports rise by 32% in June 2025

IRAN – Iran has reported a significant surge in its dairy product exports in the first quarter of the calendar year, which began in late March.

According to a report by the Tasnim news agency, Iran exported US$280.7 million worth of dairy products in the three months to June 21, a 32% increase compared to the same period last year.

Iraq was responsible for nearly 40% of dairy product purchases from Iran in the June quarter, the report stated, adding that Pakistan, the United Arab Emirates, and Russia were among the other major buyers.

Milk powder accounted for 28% of Iran’s dairy export shipments over the period, followed by ayran and kefir at 19% and cheese at 16%, said the report, citing figures from Iran Dairy Industries Society (IDIS).

The report said, however, that the subsidized currency offered by the government for imports of animal feed has played a significant role in the rise in dairy exports from Iran in the June quarter.

IDIS figures released in April showed that Iran had exported more than 0.587 million metric tons worth US$948.9 million in the 11 calendar months to late February.

The figures showed that dairy exports from Iran had increased by 19% in volume terms and by 43% in value terms compared to the 11 months to February 2024.

Iran has introduced polices in recent years to encourage food exports from the country as part of efforts to diversify its economy away from crude oil revenues.

Figures from the Iranian customs office show that the country exported approximately US$5.2 billion worth of agricultural products in the year to March 20, representing a 29% increase from the previous year.

The news comes as Iran’s dairy industry achieved a remarkable milestone, with annual exports nearly doubling to approximately US$1 billion in the past calendar year. 

This significant growth, reported by an industry union, underscores the country’s expanding presence in the global dairy market despite ongoing economic challenges and international sanctions.

The surge in dairy exports reflects Iran’s strategic efforts to bolster its agricultural sector and diversify its economy away from oil dependency. 

Industry officials attribute the success to improved production capacities, enhanced quality standards, and growing demand in neighboring countries. 

Key markets for Iranian dairy products include Iraq, Afghanistan, and several Central Asian nations, where products like milk, cheese, and yogurt are increasingly sought after.

“We have worked tirelessly to meet international standards, and this export growth shows our dairy sector’s potential,” said a spokesperson for the Iranian Dairy Industries Association. 

The spokesperson emphasized that investments in modernizing dairy farms and processing facilities have been pivotal in meeting the rising demand.

The economic impact of this export boom is significant for Iran, which has faced trade restrictions due to sanctions. 

A report by the Trade Promotion Organization of Iran noted that non-oil exports, including dairy, are a critical component of the country’s foreign trade strategy. 

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