Uruguay: Conaprole Signs Agreement with Chinese Company to Boost Dairy Exports

Uruguay’s National Dairy Producers Cooperative (Conaprole) has signed a comprehensive cooperation and technical collaboration agreement with the Chinese company Yili, which may strengthen exports in the dairy sector.

Conaprole’s president, Gabriel Fernández, emphasized that the company “grew with its eyes set on the world,” consolidating itself as a leader in dairy exports in Latin America, and stated: “This 14-year-long partnership with Yili is an example of our commitment to quality, innovation, and sustainability.”

He also reiterated that the partnership would continue to evolve: “We will continue working together to strengthen this relationship and create new opportunities that benefit both Uruguay and China,” Fernández highlighted, emphasizing Conaprole’s role as a leader in Latin America and Yili’s position as one of the largest companies in the industry globally.

On his part, Gabriel Valdés, CEO of Conaprole, stated: “We share a common vision regarding the importance of values such as quality, innovation, and sustainability in the global dairy industry.”

The president of Yili, Pan Gang, stressed the complementarity between the two companies and the agreement’s potential to expand cooperation in products such as skimmed milk powder, butter, and demineralized whey, in addition to the already established trade in whole milk powder.

Relevance of Dairy Exports

Dairy products are among Uruguay’s main exports. In 2024, the sector ranked fourth in the country’s exports, totaling US$815 million, a figure similar to 2023. Brazil and Algeria are the primary markets.

Milk powder is the sector’s flagship export product. Last year, it accounted for 76% of external sales, while cheese represented 13% and butter 9%, according to data from Uruguay XXI.

Moreover, dairy exports grew by 2% in January, reaching US$ 77 million, with Algeria surpassing Brazil as the primary destination for the products.

The chart below shows the upward trajectory of sweetened milk and cream maritime shipments from Uruguay into Brazil between January 2021 and December 2024. The data comes from DataLiner.

Sweetened Milk & Cream Imports from Uruguay | Jan 2021 – Dec 2024 | TEUs

Source: DataLiner (click here to request a demo)

In Brazil, producers have raised concerns about the level of imports, claiming that there is “unfair competition.”

Source: Milk Point

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