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EU Dairy Sector Sees Steady Growth In Raw Milk Production In 2024

EU farms produced an estimated 161.8 million tonnes of raw milk in 2024, a modest increase of 0.9 million tonnes compared to 2023. This figure builds on a decade of steady growth, with production rising by 12.1 million tonnes since 2014, when output was 149.7 million tonnes. According to Eurostat, the trend underlines the resilience and expanding capacity of the EU dairy industry.

Dairy Consumption And Product Diversification

Of the total raw milk output, approximately 150.8 million tonnes were directed to dairies, underpinning the production of a diverse range of fresh and processed dairy products. Notably, much of the milk is allocated to cheese and butter manufacturing. Specifically, 59.9 million tonnes of whole milk, assisted by an additional 17.0 million tonnes of skimmed milk, were transformed into 10.8 million tonnes of cheese. Similarly, 44.2 million tonnes of whole milk facilitated the production of 2.3 million tonnes of butter and other yellow products, generating 41.5 million tonnes of skimmed milk as a by-product.

Leading National Contributors

Germany emerged as the EU’s largest producer of drinking milk, accountable for 18.8% of overall production and dominating the production of acidified milk products, butter, and cheese with respective shares of 27.1%, 20.6%, and 22.5%. Spain and France follow closely, with Spain contributing 15.2% and France 12.7% to the production of drinking milk. France also holds significant positions in the butter (17.2%) and cheese (17.8%) segments.

Niche Production And Strategic Specialization: The Case Of Cyprus

Cyprus remains a minor player within the EU dairy sector. Its modest agricultural base, constrained pastureland, and limited herd sizes yield relatively low production volumes—recording 56,310 tonnes for drinking milk, 12,440 tonnes for acidified milk products such as yoghurt, 0.050 tonnes for butter, and 42,550 tonnes for cheese. However, the island’s strategic focus on high-value cheese production, particularly halloumi, a Protected Designation of Origin (PDO) product, underscores its competitive niche in the market. With a high proportion of available milk being allocated to cheese, Cyprus exemplifies how specialization can drive export success, even amid constrained production capacities.

Meta’s Reality Labs Deepens Its Losses Even As Revenue Climbs

Meta Platforms’ Reality Labs division reported an operating loss of $4.62 billion in the second quarter, highlighting the continued cost of the company’s investments in virtual and augmented reality technologies. The unit generated revenue of $431 million, up from $370 million a year earlier and above analysts’ expectations of $423.4 million, according to StreetAccount. Operating losses widened from $4.53 billion in the same quarter of 2025.

Revenue Grows As Losses Continue

Despite higher revenue, Reality Labs remains one of Meta’s biggest cost centres. Since late 2020, the division has accumulated more than $80 billion in operating losses as the company continues investing in hardware and software for its long-term computing strategy.

Focus Shifts Toward AI Wearables

Reality Labs develops the Quest virtual reality headsets and Ray-Ban Meta smart glasses in partnership with EssilorLuxottica. While Meta originally positioned the division around its metaverse vision, the company has increasingly focused on AI-powered wearables as demand for virtual reality devices has grown more slowly than expected.

Long-Term Investment

Meta renamed Facebook to Meta in 2021 to reflect its strategy of expanding beyond social media through immersive technologies. Although Reality Labs continues to report multi-billion-dollar quarterly losses, Zuckerberg has maintained that investments in AI, wearable devices and next-generation computing platforms are central to the company’s long-term growth strategy.

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