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Lets talk Dairy – Austria’s most important agriculture sector

With a production value of 1.9 billion euros in 2022, dairy farming accounts for about 18 percent of the agricultural production and is the most important agricultural sector in Austria. 
© ADVANTAGE AUSTRIA
© ADVANTAGE AUSTRIA
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From milk, butter, cheese, Quark, yogurt, to various kinds of creams – Dairy products are extremely diverse and can be enjoyed, utilized, or cooked in various ways and forms.

Dairy farming and the production of dairy products have been part of Austrian agriculture for centuries. The exact timeframe of when dairy farming began in Austria is challenging to pinpoint precisely, but historical records and archaeological evidence suggest that it has been a significant aspect of Austrian agriculture for many centuries, likely dating back to medieval times or even earlier.

Traditional practices such as cheese-making in the Alpine regions have deep historical roots, indicating a long-standing tradition of dairy production in Austria. As for the modern dairy industry, it has evolved over the past few centuries, with advancements in farming techniques, breeding, processing technologies, and distribution channels. 

With a production value of 1.9 billion euros in 2022, dairy farming accounts for about 18 percent of the agricultural production and is the most important agricultural sector in Austria. Around 24,000 dairy farmers produce 3.9 million tonnes of raw milk, of which approximately 89 percent are delivered to dairies.

Similar to other sectors, dairy farming is small structured in Austria. A major part of the holdings are grassland-based family farms which keep on average 20 dairy cows. 75 percent of the dairy farms are located in mountain areas and thus contribute to the optimum exploitation of the extensive grassland. As a high share of the milk is produced according to organic farming standards, both animal welfare standards and aspects for sustainability can be guaranteed in domestic dairy production.

By consistently adhering to their quality strategy, Austria’s dairy farms manage to maintain their competitiveness. 100 percent of the raw milk delivered to domestic dairies is GMO-free (do not contain genetically modified organisms (GMO)), 99 percent is of perfect quality, 19 percent is organic milk and 15 percent hay milk.

In foreign trade, the Austrian dairy industry continued to expand. According to figures from Statistics Austria, exports increased by 12.6% in the first six months of 2023, while imports rose by 8.1%, resulting in a 20.9% higher positive trade balance.


Data-Source: Federal Ministry Republic of Austria for Agriculture, Forestry, Regions and Water Management