Over the past 14 years, Algeria has spent more than $25 billion on dairy imports, highlighting its critical dependency on foreign supplies. Each year, the country allocates approximately $1.5 billion for purchasing powdered milk, which accounts for more than 70% of domestic consumption. However, amid increasing budgetary pressures, Algeria is seeking ways to develop its domestic dairy industry, where Russian companies could play a significant role.
Imports as the Primary Source
Powdered milk remains the backbone of Algeria’s dairy sector. According to the Ministry of Agriculture, import volumes increased by 5% in 2023, reaching 440,000 tons. Despite the high demand for dairy products, domestic production remains limited due to challenges in the agricultural sector.
Limitations of the Domestic Market
Local farms face high costs, low productivity, and a lack of access to modern technologies. These barriers prevent Algeria from reducing its dependency on imported products, leaving significant gaps in the country’s food security.
Russia: A Partner with Potential
Amid its need to modernize the dairy industry, Algeria is showing interest in collaborating with international partners, including Russia. Russian companies are already actively increasing their exports of agricultural products to Algeria. In 2023, exports reached 2.7 million tons, an 81% increase compared to the previous year. While wheat remains the primary export, Russian producers are beginning to explore the dairy segment.
The potential for expanding Russian dairy exports was discussed during a business mission in November 2023, organized by the Ministry of Agriculture and the Federal Agroexport Center. Algerian business representatives noted the high quality of Russian goods and expressed interest in increasing imports of dairy products from Russia.
Aiming for Self-Sufficiency
Collaboration with Russia could become a key component of Algeria’s strategy to develop its domestic dairy industry. Russian companies can offer modern technologies, equipment for livestock farms and processing plants, as well as training programs for local specialists.
For Russia, Algeria represents a promising market with growing demand for agricultural products. Participation in the modernization of Algeria’s dairy industry provides Russian producers with the opportunity to strengthen their presence in the North African market.
Long-Term Outlook
Developing the dairy sector remains a priority for Algeria, but reducing import dependency will be a long journey. In this context, partnership with Russia can not only aid in industry modernization but also strengthen trade and economic ties between the two nations.
For Russian companies, this is a chance to secure a strategic position in a promising market where demand for technologies and products continues to grow. Meanwhile, Algeria gains access to the expertise and solutions needed to build a sustainable food system.
Imports as the Primary Source
Powdered milk remains the backbone of Algeria’s dairy sector. According to the Ministry of Agriculture, import volumes increased by 5% in 2023, reaching 440,000 tons. Despite the high demand for dairy products, domestic production remains limited due to challenges in the agricultural sector.
Limitations of the Domestic Market
Local farms face high costs, low productivity, and a lack of access to modern technologies. These barriers prevent Algeria from reducing its dependency on imported products, leaving significant gaps in the country’s food security.
Russia: A Partner with Potential
Amid its need to modernize the dairy industry, Algeria is showing interest in collaborating with international partners, including Russia. Russian companies are already actively increasing their exports of agricultural products to Algeria. In 2023, exports reached 2.7 million tons, an 81% increase compared to the previous year. While wheat remains the primary export, Russian producers are beginning to explore the dairy segment.
The potential for expanding Russian dairy exports was discussed during a business mission in November 2023, organized by the Ministry of Agriculture and the Federal Agroexport Center. Algerian business representatives noted the high quality of Russian goods and expressed interest in increasing imports of dairy products from Russia.
Aiming for Self-Sufficiency
Collaboration with Russia could become a key component of Algeria’s strategy to develop its domestic dairy industry. Russian companies can offer modern technologies, equipment for livestock farms and processing plants, as well as training programs for local specialists.
For Russia, Algeria represents a promising market with growing demand for agricultural products. Participation in the modernization of Algeria’s dairy industry provides Russian producers with the opportunity to strengthen their presence in the North African market.
Long-Term Outlook
Developing the dairy sector remains a priority for Algeria, but reducing import dependency will be a long journey. In this context, partnership with Russia can not only aid in industry modernization but also strengthen trade and economic ties between the two nations.
For Russian companies, this is a chance to secure a strategic position in a promising market where demand for technologies and products continues to grow. Meanwhile, Algeria gains access to the expertise and solutions needed to build a sustainable food system.
