Raw milk prices likely up 4-5%
CRISIL Ratings expects raw milk production growth to slow to 4% due to El Niño and high fodder costs. Higher production costs will push milk prices up 4-5% this fiscal, with dairy companies passing costs to consumers.
CRISIL Ratings expects raw milk production growth to slow to 4% due to El Niño and high fodder costs. Higher production costs will push milk prices up 4-5% this fiscal, with dairy companies passing costs to consumers.
Greek yogurt, produced by straining conventional yogurt to remove whey and concentrate its protein content, is widely consumed across household, food service, and industrial end-uses. Its primary feedstock is fresh cow's milk, meaning global dairy supply-demand conditions flow directly into producers' cost structure.
Contrary to a tight-supply assumption, H1 2026 was actually characterized by a global milk oversupply: production from major exporting regions (the EU, US, South America, and New Zealand) ran well above year-ago levels, pushing the dairy sector into a supply glut that weighed on farmgate milk prices and dairy margins broadly. That said, wholesale dairy commodity auctions told a more nuanced story: the Global Dairy Trade price index posted several consecutive gains through Q1 2026. For Greek yogurt specifically, robust consumer demand for high-protein, minimally processed dairy foods across North America and Asia continued to support retail pricing even as raw milk stayed abundant and cheap.
Analyst Insight
According to Procurement Resource, prices should stay firm on consumer demand despite the underlying milk oversupply.
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In the second half of 2025, Greek yogurt prices generally increased in most markets. The rise was driven by several factors, including a limited supply of fresh cow’s milk due to fewer dairy farmers and lower livestock numbers, especially in countries like Greece.
Producers faced tight margins, as milk costs remained close to production costs, leaving little room to absorb rising expenses. Meanwhile, retail demand for yogurt, particularly Greek and natural varieties, grew steadily, supported by its appeal across age groups and for health-conscious consumers. This rising demand, combined with supply pressures, pushed prices upward.
Cow’s dairy continued to dominate yogurt sales, outpacing plant-based alternatives, which reinforced the pricing power of traditional Greek yogurt. Additionally, consumer interest in high-protein, natural, and versatile yogurt products encouraged retailers to maintain higher price points. Some categories, like dessert and meal-based yogurts, saw more moderate growth, but overall, Greek yogurt remained strong in both volume and value.
Greek Yogurt is an example of Yogurt, which is prepared by straining to eliminate most of its whey. It results in a thicker consistency than unstrained or regular Yogurt. Greek Yogurt is known to be a good source of protein, calcium, iodine, and vitamin B12 too.
Sauces, Substitute products, Savoury
Chobani, LLC, Stonyfield Farm, Inc, Fage International S.A. , Dannon, Emmi Group, General Mills, Inc.
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Greek Yogurt is run through the fermentation and centrifugal process until the solids are concentrated. At this point, the whey- watery part of milk that residues after the formation of curd- is eliminated.
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