Abstract
Global trends in butter supply are heavily influenced by each country’s agricultural policies and consumer preferences. As per 2021 data, India is the largest butter producer, with production standing at 4.77 million tonnes (Mt). This makes India the world’s largest supplier of butter, indicating the importance of the country’s dairy production. India’s outstanding butter production is due to the country’s vast dairy cattle rearing capacity and high demand for domestic consumption. Butter is a staple food in India and is used in many traditional dishes. As a result, production for the domestic market is the main source of supply, with emphasis on domestic consumption rather than export. On the other hand, other major butter producing countries include Western countries. These countries have advanced technology and efficient production systems, and supply high-quality butter. For example, New Zealand and Australia export high-quality butter and are competitive in the international market. Overall, butter supply varies widely depending on regional production characteristics and consumption habits, but regional demand and production capacity remain key determinants of supply, as evidenced by the top production rankings of countries like India.
Domestic supply of butter (worldwide)
Looking at the trends in butter supply from 1961 to 2021, India stands out as the dominant producer. Notably, in 2020, India’s butter production reached 4.85 million tonnes (Mt), a new all-time high. Data for 2021 shows production at 98.3% of this record. Butter production in India is characterised by high demand in the domestic dairy market. Butter is widely consumed as a daily food in India and is an important ingredient in traditional and home-cooked dishes. As a result, production is focused on the domestic market and India’s butter supply is primarily geared towards meeting domestic demand. Furthermore, butter production in India has seen a trend of rapid growth since the 1970s. This is a result of improved agricultural techniques, increased scale of dairy cattle farming, and development of dairy infrastructure. Especially since the beginning of the 21st century, production has remained at a consistently high level, maintaining peak production volumes. However, compared to other major butter producing countries, India has a relatively smaller supply in the international market as it is primarily focused on domestic consumption. In response, New Zealand and European countries are exporting high-quality butter and expanding their share of the global market. Overall, butter production in India has shown steady growth over the long term and continues to play a key role in supporting domestic market demand.
The maximum is 4.85Mt[2020] of India, and the current value is about 98.3%
Domestic butter supply (latest year, world)
Considering the data on domestic supply of crop butter for 2021, we see that India is by far the largest producer. India’s butter production stood at 4.77 million tonnes (Mt), marking the highest overall. In comparison, the world average production of butter is 66 thousand tonnes (kt), with an overall total production of 12.2 million tonnes. India’s outstanding butter supply is due to the country’s unique food culture and high domestic demand. Butter is a widely consumed everyday food in India and is an essential part of traditional and home cooking. This places great importance on production to meet domestic consumption, resulting in the country having the largest supply in the world. On the other hand, looking at the global average, there is a large variation in butter supplies from country to country. The average figure of 66 thousand tonnes is relatively small when compared to the singular production figures of a country like India. This reflects differences in the scale of dairy production in each country and consumer demand. The overall combined production of 12.2 million tonnes shows that butter is widely produced around the world, with certain countries accounting for large shares, while many other countries have relatively small production. The data shows that a variety of production systems coexist around the world, with large producing countries like India playing a particularly important role.
The maximum is 4.77Mt of India, the average is 66.5kt, and the total is 12.2Mt
Domestic butter supply (continental)
Based on 2021 data, Asia holds the largest share of domestic supply of crop butter, with production of 7.43 million tonnes (Mt), the current highest. This figure indicates that Asia plays a key role in global butter supply. Asia’s prominent butter supply is likely due to the region’s large dairy production, and India in particular. India is the world’s largest producer of butter, accounting for a significant portion of the total. Within India, butter is an important food ingredient used in many dishes and high demand is supporting increased production. Additionally, dairy industries are developing in other countries across the region, increasing butter supplies. In China and Southeast Asian countries, diets are becoming more diversified along with economic growth, and consumption of dairy products is increasing. These factors combine to increase butter supplies across Asia. Asia’s dominance as a supplier of butter reflects changes in the region’s food culture and economic development. The expansion of dairy production in Asia is driven by rising domestic demand and technological advances, and this trend is expected to continue. Overall, the rise in Asian butter supplies indicates Asia’s growing influence in the global butter market.
The maximum is 7.42Mt[2020] of Asia, and the current value is about 99.8%
Domestic butter supply (latest year, continental)
As per 2021 data, Asia holds the largest share of domestic supply of crop butter at 7.41 million tonnes (Mt). In comparison, the world average supply of butter was 2.03 million tonnes, with overall total production standing at 12.2 million tonnes. The data shows that Asia plays a key role in global butter supply. Asia’s prominent butter supply is mainly due to India’s influence. India is the world’s largest butter producer, and its vast dairy herd and strong domestic demand are boosting supplies across Asia. Butter is widely consumed as a daily food in India, with domestic demand accounting for the majority of production. Meanwhile, the global average supply of 2.03 million tonnes indicates that supplies outside Asia are relatively small. Although dairy products are produced and consumed in Western countries, it is not on the same scale as in Asia. In particular, Asia’s high production reflects increasing demand due to the region’s food culture and economic growth. Overall, the increase in butter supplies in Asia is driven by expanding dairy production and rapidly growing economies in the region, a trend that is expected to continue. The data also reveals that Asia plays a leading role in global butter supply.
The maximum is 7.4Mt of Asia, the average is 2.03Mt, and the total is 12.2Mt
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