Opens in a new tab

Breaking news

Cyprus Lowers Halloumi Milk Ratio Following Livestock Outbreak

Regulatory Overhaul To Address Supply Constraints

Cyprus has entered a critical phase in the regulation of PDO halloumi production as authorities attempt to balance European Union requirements with the ongoing livestock crisis affecting the island.

Starting Friday, a new decree will reduce the minimum proportion of goat and sheep milk required in halloumi production from 25% to 15% until the end of 2026. The measure was introduced by the Ministry of Agriculture through accelerated procedures coordinated with the European Union following the impact of the recent hemorrhagic fever outbreak on livestock production.

Livestock Crisis And Its Economic Impact

Data from the Department of Agriculture showed that the outbreak, which began in February 2026, resulted in the deaths of 40,128 goats and sheep as well as 2,816 cows across 109 farms, contributing to an estimated 10% decline in overall milk production.

Goat and sheep milk output dropped sharply in April 2026 to 7.35 million litres, marking a 24.6% decline compared with 9.76 million litres recorded during the same month in 2025. At the same time, cow milk production increased by 4.08%, reaching 28.38 million litres despite the culling of around 3,000 cows. These figures have raised doubts over earlier Agriculture Ministry forecasts that projected a 15% increase in goat and sheep milk production alongside a 12% increase in cow milk output.

Statistical Evidence And Comparative Trends

Additional analysis from the Department of Agriculture’s Intermediate Software system further highlighted the ongoing decline in goat and sheep milk production. Production reached 9.07 million litres in March 2025 compared with 8.34 million litres in March 2026, representing a reduction of just over 8%, while officials also linked the decline to broader pressures, including extreme weather conditions, water shortages and recurring disease outbreaks affecting the agricultural sector

Industry Dynamics And Stakeholder Perspectives

The halloumi market currently operates through two main production models: traditional PDO halloumi produced exclusively from goat and sheep milk, and mixed-production halloumi incorporating cow milk once the regulatory minimum ratio is satisfied. Industry representatives said the shortage of goat and sheep milk has intensified pressure on producers attempting to maintain PDO standards, particularly following the recent outbreak.

During a meeting chaired by Michalis Damianos on April 30, 2026, cheesemakers, livestock farmers, and agricultural organisations discussed revised milk ratios and supply limitations, while also confirming that cow milk allocation for halloumi production remains capped at 234 tonnes annually, equivalent to 19.5 tonnes per month. Officials noted that cow milk allocated for halloumi production in April exceeded the permitted monthly threshold by approximately 10%, further highlighting growing pressure across the sector.

Market Implications And Strategic Challenges

Cheesemakers argued that maintaining the previous 25% requirement had become unrealistic under current production conditions, while agricultural organisations warned that the ongoing livestock crisis is creating additional uncertainty across the wider market.

Cattle farmers also expressed concerns that lower cow milk participation in halloumi production could affect export volumes and international demand, whereas goat and sheep farmers called for stronger government support aimed at rebuilding livestock populations affected by the outbreak.

Future Outlook And Regulatory Deadlines

The revised 15% minimum milk ratio will remain in effect until December 31, 2026, although broader long-term PDO targets have not changed. Under existing regulations, goat and sheep milk must again become the dominant component in PDO halloumi production by July 2029. However, continued disease outbreaks, climate-related pressures and production shortfalls are increasingly raising concerns within the industry over whether those targets can realistically be achieved within the current timeframe.

Cyprus Promotes Ship Registry In Asia As Fleet Grows To 25-Year High

Cyprus is stepping up efforts to attract international shipowners, with Shipping Deputy Minister Marina Hadjimanolis holding high-level meetings in China and Japan as the country’s ship register reaches its strongest level in 25 years.

Running from October 14 to 29, the Asian mission focuses on expanding commercial ties, promoting the advantages of the Cyprus flag and strengthening cooperation with shipowners, shipbuilders and maritime authorities.

China Meetings Target Shipowners And Industry Leaders

In Shanghai, Hadjimanolis met Wang Qian, vice-director of the Shanghai Pudong New Area Commission of Commerce and Shipping Service Office, ahead of the North Bund International Shipping Forum on October 20–21. Organisers expect around 4,000 participants from more than 50 countries and regions, with discussions covering international shipping, maritime safety, financing, insurance, digitalisation and the transition to cleaner fuels.

The minister also met representatives of Dalian Trawind Shipping and Fortuna Shipbrokers Inc. to present the Cyprus registry’s advantages and explore registration opportunities for vessel owners. On October 20, she is scheduled to speak at the 10th Annual Capital Link International Shipping Forum in Pudong, joining a ministerial roundtable on international maritime leadership.

A visit to Zhoushan is also planned for the naming ceremony of Kypros Island, a new vessel for the Cyprus register owned by Safe Bulkers. Launched in June at the Tsuneishi shipyard on Xiushan Island, the 81,200-deadweight-tonne methanol dual-fuel bulk carrier is scheduled for delivery at the end of October. According to the Zhejiang Maritime Safety Administration, sea trials were due to take place between October 11 and 16.

Japan Engagements Strengthen Maritime Ties

Before travelling to China, Hadjimanolis met Japan’s Parliamentary Vice-Minister for Land, Infrastructure, Transport and Tourism, Kenta Aoshima, in Tokyo on October 16. Her programme also included meetings with senior representatives of Shoei Kisen Kaisha, Nihon Shipyard, NYK Line, ITOCHU Corporation and SSY Projects, focusing on cooperation with Japanese shipowners, shipbuilders and shipping operators.

At the 5th Annual Capital Link Japan Maritime Forum, held at the Tokyo American Club, Hadjimanolis discussed maritime leadership, competitiveness, policy and international cooperation with Capital Link founder and president Nicolas Bornozis. Other sessions examined Japan’s shipbuilding strategy, new-vessel financing and the development of ammonia-powered ships.

The Tokyo programme followed a Cyprus Ship Registry reception on October 15 for representatives of Japan’s maritime and business communities. Hadjimanolis outlined the country’s shipping services and regulatory framework, while Polys Hajioannou, chief executive of Safe Bulkers and president of the Cyprus Union of Shipowners, delivered the opening remarks.

Registry Reaches Highest Level In 25 Years

At the reception, Hadjimanolis said the Cyprus Ship Registry had grown by 27% since September 2023, reaching its highest level in a quarter of a century. She attributed the expansion to efforts to improve competitiveness, simplify administrative procedures and provide more responsive services to international shipowners.

Cyprus’s inclusion on the White Lists of the Paris and Tokyo Memoranda of Understanding was another point highlighted by the minister. These lists reflect the safety and inspection performance of ships flying a national flag.

Existing commercial links with Japan include Safe Bulkers’ announcement in May of four Japanese-built dry bulk vessels scheduled for delivery in 2029.

South Korea Next On The Maritime Agenda

Hadjimanolis’ mission will continue in South Korea, where she is expected to attend the 2026 World Maritime Day Parallel Event and Korea Maritime Week alongside International Maritime Organization Secretary-General Arsenio Dominguez and government representatives from several countries.

Her programme will also include discussions on implementing international maritime conventions and bilateral talks aimed at strengthening Cyprus’s shipping ties with South Korea.

The Asian outreach comes as maritime centres compete for shipowners amid geopolitical uncertainty, fleet renewal and pressure to reduce shipping emissions. For Cyprus, the strategy combines promotion of its registry with closer relationships across Asia’s shipbuilding and shipping sectors.

eCredo
Uol
Aretilaw firm
The Future Forbes Realty Global Properties

Become a Speaker

Become a Speaker

Become a Partner

Subscribe for our weekly newsletter