Dairy industry is one of the largest and most advanced segments of the country’s food sector, playing a vital role in nutrition, employment, rural development, and non-oil exports.

Iran has a fully integrated dairy supply chain—from raw milk production to processing a wide variety of products such as yogurt, cheese, buttermilk (doogh), butter, cream, and powdered milk. Many Iranian dairy factories are equipped with modern machinery, advanced technologies, quality control laboratories, and hygienic packaging systems.

The dairy sector contributes significantly to national food security, generates high value-added output, and creates direct and indirect employment across livestock farming, transportation, and distribution networks.

Iran exports a range of dairy products to neighboring countries, Central Asia, Russia, the Gulf states, and some African markets. Competitive advantages include natural flavor, good quality, and affordable pricing.

Iran’s competitive strengths in dairy include its broad livestock resources, skilled labor force, adequate processing technology, and strategic location near key export markets. However, further improvements in branding, modern packaging, and compliance with international standards are essential to expanding Iran’s global market share in dairy exports.