The annual value of halloumi cheese exports stands at approximately €350 million, with UK being the primary market, absorbing about 45% of production, followed by Sweden, Greece, and other European countries, Michalis Koulouros, executive secretary of the Cheesemakers’ Association has told the Cyprus News Agency.
Halloumi is a type of dairy product made with milk originating from Cyprus. According to CyStat figures halloumi exports reached €201.9 million during the first half of the year, representing 12.8% of total exports, compared to €199.6 million (and 11.03% of total exports) during the same period last year.
Cheesemakers believe there is potential to increase exports at this time. But they say that the quota issue is an obstacle, noting that increasing halloumi production requires the availability of milk within the quota limits to allow for such an increase.
Koulouros told the Cyprus News Agency that all milk not used for pasteurization, yogurt, or other cheeses is channeled into halloumi production. He said that there is no surplus milk available to increase production, pointing out that all the quality that exists is processed into cheese.
He also said that the only way to increase production is either through the quota system or by boosting overall output.
Regarding the quota and its implications for exports, Koulouros said that this is a matter of concern for cheesemakers. He noted that the new decree safeguards production, adding that the concern has to do whether the makers will reach the 51% threshold, a level that would not allow production to continue in its current form.
Consequently, exports would inevitably be affected, given that 80% to 85% of the halloumi produced in Cyprus is destined for export, he explained.
He also recalled that there is a ministerial decree currently in effect, setting the minimum ratio for halloumi production at 15% for the period from May 15, 2026, to December 31, 2026.
The milk content percentages for the product can be regulated via decree until 2029, when the five-year extension to the transition period, granted by the European Commission to allow for compliance with the PDO production specifications, expires.
Koulouros told the Cyprus News Agency that cheese producers are making efforts to expand into the US market. He described it as a unique market, pointing out that it takes a bit more time to ramp up sales, but it is certainly a market that interests cheesemakers.
He noted that while some cheesemakers already export there, the market’s specific complexities mean that it is not really feasible to increase exports to the US tenfold in a single year.
Koulouros also mentioned that discussions with the government make it clear that the goal is to sustain halloumi exports.
When asked about participation in international trade fairs to promote the product, he stated that the dairies participate as individual companies in all major global food exhibitions. He referred to the SIAL international food fair in Paris—an event attracting huge numbers of visitors, held from October 17 to 21 in which seven Cypriot dairies are taking part.
