Waikato spearheads dairy sector to pole position in global market

Tuesday, 21 July 2026

Waikato’s dairy farmers are helping keep New Zealand at the top of the global dairy trade, with the region accounting for nearly a third of the country’s $24.3 billion dairy export industry.

According to Rabobank’s 2026 World Dairy Map, New Zealand remains the largest single-country dairy exporter globally, accounting for 22.1% of world dairy exports in 2025.

Data from Infometrics showed nationally, dairy product manufacturing made up $24.255 billion of total exports in 2025, making it the country’s top export. Waikato, often hailed as New Zealand’s dairy powerhouse, accounted for $7.8 billion of that figure.

In a statement, Rabobank senior agricultural analyst Emma Higgins said the map and report highlighted New Zealand’s consistent contribution to world dairy exports.

“If we look back across the last eight years, New Zealand’s contribution to global dairy exports has held remarkably steady,.”

Between 2017 and 2025, the country’s dairy exports peaked at a high of 23 billion kg in 2019 and 2021, and have held steady at 22 billion kg since 2023.

“With overall dairy trade having increased, New Zealand’s market share has dropped slightly, but it is still contributing well over a fifth of all global dairy exports,” Higgins said.

Federated Farmers Waikato dairy chair Matthew Zonderop, a sharemilker based in Te Poi, said the region’s dairy farmers were “extremely important” to keeping New Zealand on top of global exports.

It was an accolade he believed the country would hold onto for the foreseeable future.

He emphasised the dairy sector was also crucial for the economy back home, with money spent in rural areas filtering back into cities.

“The production drivers of the Waikato, the South Island, Southland, Canterbury Plains…are mission critical for New Zealand.”

Good weather was contributing to a strong calving season this year, and grass growth rates were high, he said.

“Consecutive years with high prices has been really good for the industry. We've paid down a lot of debt, we've caught up on a maintenance, a lot of farm development…as a whole the industry is feeling really positive.”

However, the potential impact of Plan Change 1 (PC1) and the latest dip in milk prices had farmers feeling “cautiously optimistic” about the future, and the rural sector is waiting to see how El Niño will play out in New Zealand.

“We don't know where that's going to land. Is it going be a hot dry one, or is this the start?” Zonderop said.

The heat wave wasn’t necessarily all bad though, he added. With European dairy production severely affected by high temperatures across the continent, he reckoned there could be a lag in global supply.

“There could be a lift in milk price later on once we actually start and the stores are running out in terms of the bulk consumer buying, so there's there's plenty of opportunity, put it that way.”

Despite a dip in milk prices and GDP, Zonderop was confident farmers were going into another good season.

“It's a good time for the dairy industry, which means that's a good time for New Zealanders - because if I'm spending money, you're making money.”