Nicosia:Halloumi cheese exports hold an annual value of approximately £350 million, with the UK as the leading market, consuming around 45% of the production. Sweden, Greece, and other European countries follow as key markets, according to Michalis Koulouros, executive secretary of the Cheesemakers' Association.

According to Cyprus News Agency, halloumi is a dairy product originating from Cyprus, and recent CyStat figures indicate that halloumi exports reached £201.9 million in the first half of the year. This figure represents 12.8% of total exports, up from £199.6 million (11.03% of total exports) in the same period last year.

Cheesemakers are optimistic about increasing exports but face challenges with milk quotas. Koulouros explained that all milk not used for other dairy products is dedicated to halloumi production, with no surplus available to boost output. To increase production, adjustments in the quota system or an overall increase in milk production are necessary.

The quota issue is a significant concern for cheesemakers, as it affects their ability to maintain current production levels. A new decree safeguards production, but there is worry over reaching a 51% threshold that could hinder existing operations. With 80% to 85% of halloumi produced destined for export, any production limitations could impact international sales.

There is a ministerial decree that mandates a minimum production ratio for halloumi of 15% between May 15, 2026, and December 31, 2026. Milk content percentages can be adjusted by decree until 2029, the end of the transition period granted by the European Commission for compliance with PDO production specifications.

Cypriot cheesemakers are also looking to expand into the US market. Koulouros highlighted the unique nature of the US market, which requires time to increase sales, though it remains a key interest for producers. While some exports already reach the US, complexities in the market mean a rapid tenfold increase in exports is not feasible.

Discussions with the government emphasize the importance of sustaining halloumi exports. Participation in international trade fairs, such as the SIAL food fair in Paris, is part of the strategy. Seven Cypriot dairies are participating in this major event held from October 17 to 21, showcasing their products to a global audience.