The powdered milk market in Bangladesh has reached a value of approximately 13,000 crore taka. This growth is driven by increasing demand for powdered milk, both for household consumption and commercial use in industries such as bakeries, hotels, and food processing. The market is largely dominated by imported products, with local production unable to meet the demand.
Market Overview
According to the National Board of Revenue (NBR), in 2025, Bangladesh imported 1.58 lakh tons of powdered milk, costing 52 crore USD or approximately 6,448 crore taka. Including taxes, the total cost rose to 8,588 crore taka. The retail market for powdered milk is estimated to be between 13,000 to 14,000 crore taka, with prices ranging from 830 to 900 taka per kg.
Local Production vs. Imports
Despite the high demand, local production of powdered milk is limited due to insufficient liquid milk production. The Department of Livestock reports a 7 lakh ton deficit in liquid milk production compared to demand. Currently, Milk Vita, BRAC, and Pran-RFL Group produce around 5,000 to 5,500 tons of powdered milk annually, far below the total demand of 1.60 to 1.70 lakh tons. Consequently, 95% of the demand is met through imports.
Key Players and Sources
Abul Khair Milk Products Limited leads in imports, followed by Meghna Group of Industries and New Zealand Dairy Products Limited. These companies dominate the market with brands like Marks, Ama, Fresh, and Diploma. Multi-national companies like Nestle and Arla Foods also have a presence with specialized products. New Zealand is the largest source of imported powdered milk, accounting for 61% of total imports, followed by China, Turkey, Belarus, and the Czech Republic.
