The value of halloumi exports amounts to around 350 million euros annually, with the United Kingdom as the main market, which accounts for approximately 45% of production, Michalis Koulouros, executive secretary of the Cheese Producers Association, told CNA, noting that Sweden, Greece, and other European countries follow. In fact, according to the Statistical Service, halloumi exports totaled 201.9 million euros in the first half of the year, accounting for 12.8% of total exports, compared to 199,637 during the same period last year and 11.03% of total exports.
Cheese producers express the view that there is potential for increased exports during this period; however, they acknowledge that “the only obstacle is the issue of quotas, in the sense that in order to increase halloumi production, there must be sufficient milk available under the quota to allow us to increase production”. Mr. Koulouros explained to KYPE that all milk not used for pasteurization, yogurt, and other cheeses is diverted to halloumi production, noting that “there is no additional milk available to increase production. Whatever milk there is, they turn into cheese.” He also said that the only way to increase production is either through quotas or by boosting production, and we acknowledge the efforts of the Ministry of Agriculture, which has provided incentives in this direction.
Regarding the quota and its implications for exports, he noted that this is a matter of concern for cheese producers. He noted that the new decree safeguards production, adding that “the concern arises if we reach 51%, a percentage that would not allow production to continue as it is today; so you can understand that exports will be affected, since 80% to 85% of the halloumi produced in Cyprus is intended for export.”
He explained that the concern is that we will not be able to produce these quantities, noting that due to the available milk supply, “if we were to increase the share of goat and sheep milk in production to 51% today, the volume of halloumi production would automatically drop dramatically, since there would not be enough milk available to maintain current production levels.” It should be noted that a decree from the Ministry of Energy is currently in effect, which sets the minimum milk content for halloumi production at 15% from May 15, 2026, through December 31, 2026.
The milk content in the product may be regulated by decree until 2029, when the five-year extension of the transition period granted by the European Commission for compliance with the PDO product’s production specifications expires.
Halloumi Also Entering the U.S. Market
When asked whether new export markets are being added for the product, Mr. Koulouros noted that cheese producers are making an effort to expand into the United States market as well.
“It’s a unique market; it takes a little more time for them to increase their sales, but it’s definitely a market that interests cheese producers—the U.S. is a huge market in and of itself, so it’s definitely of interest,” he said. When asked whether specific steps or contacts had been made to enter the U.S. market, he noted that some cheese producers are already exporting to the U.S., but due to several unique characteristics of thatmarket, “it’s not feasible to increase exports to the U.S. tenfold in just one year. “However, it is certainly a market of interest to cheese producers simply because of its size, because if halloumi succeeds in the U.S., there is enormous potential for significant growth of the product and investment in the sector,” Mr. Koulouros pointed out.
He also said that based on discussions with the government, it is clear that the goal is to maintain halloumi exports, so “I believe that for any country interested in halloumi, the necessary steps will be taken to enter all markets that are open.”
When asked whether there is participation in promoting the product at international trade fairs, he noted that cheese producers participate as companies in all major food fairs held around the world, specifically mentioning the SIAL international food fair in Paris—which attracts a huge number of visitors and runs from October 17 to 21—in which seven Cypriot cheese producers are participating.