Halloumi Cheese Market – Global Industry Size, Share, Trends, Opportunity and Forecast, By Type (Flavored, Unflavored), By Distribution Channel (Hypermarkets/Supermarkets, Convenience Stores, Online, Others), By Region & Competition, 2021-2031F

Forecast Period	2027-2031
Market Size (2025)	USD 516.01 Million
CAGR (2026-2031)	10.91%
Fastest Growing Segment	Online
Largest Market	Europe
Market Size (2031)	USD 960.47 Million

Market Overview

The Global Halloumi Cheese Market will grow from USD 516.01 Million in 2025 to USD 960.47 Million by 2031 at a 10.91% CAGR. Halloumi is a semi-hard, unripened, and brined cheese traditionally produced from a mixture of sheep’s and goat’s milk, distinguishing itself with a high melting point that allows for grilling or frying without losing its structural integrity. The global market is primarily propelled by the fundamental shift toward vegetarian and flexitarian diets, where consumers increasingly demand robust, high-protein meat alternatives. Furthermore, the expansion of organized retail channels and the deeper penetration of Mediterranean cuisine into mainstream food service sectors serve as critical economic drivers, effectively broadening the product's accessibility beyond niche ethnic markets.

Despite this robust demand, the industry faces a significant supply-side challenge regarding the consistent availability of sheep and goat milk required to meet strict Protected Designation of Origin (PDO) standards. This scarcity of raw materials often creates production bottlenecks that constrain the ability of manufacturers to fulfill surging international orders. Highlighting the sector's continued resilience amidst these constraints, according to the Statistical Service of Cyprus, in 2025, the export value of Halloumi cheese reached €262.9 million for the period spanning January through August.

Key Market Drivers

Rising Global Adoption of Vegetarian and Flexitarian Lifestyles is a primary force propelling the Halloumi market, as consumers increasingly seek robust, protein-rich alternatives to meat that maintain structural integrity when cooked. This dietary shift has positioned Halloumi as a premium "grilling cheese" ideal for burger replacements and salads, expanding its appeal significantly beyond traditional ethnic consumption patterns. The trend is particularly visible in Western markets, where the integration of Mediterranean culinary habits is merging with plant-based preferences to drive volume in regions previously unfamiliar with the product. Highlighting this geographical diversification beyond Europe, according to Cyprus Business News, March 2025, in the 'A pillar of exports' article, Halloumi exports to the United States reached 1,037 tonnes valued at almost €9.6 million in 2024.

The Expansion of Organized Retail and E-commerce Distribution Channels has further solidified market growth, effectively transitioning the product from niche specialty stores to mainstream supermarket shelves. Major retailers across Europe and the UK have capitalized on the cheese's popularity by introducing private-label options and securing consistent supply chains, thereby increasing shelf visibility and consumer accessibility. This retail penetration is heavily concentrated in established import markets that drive the bulk of the sector's revenue. According to Cystat, in 2024, the United Kingdom remained the largest importer, purchasing over 18,558 tonnes worth approximately €143 million. Underscoring the broader economic impact of these widened channels, according to the Statistical Service of Cyprus, in 2024, the total global export value of Halloumi cheese amounted to €323.9 million.

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Key Market Challenges

The primary impediment restricting the sustainable expansion of the Global Halloumi Cheese Market is the chronic scarcity of sheep and goat milk required to strictly adhere to Protected Designation of Origin (PDO) specifications. This shortage of essential raw materials creates a severe bottleneck in the supply chain, as the biological capacity to increase livestock milk yields lags significantly behind the rapid surge in international demand. Consequently, manufacturers are frequently forced to cap production levels to remain compliant with regulatory quotas, which directly stifles their ability to fulfill large-scale contracts with major global retailers and limits the volume of certified product available for export.

This supply-demand imbalance places a tangible ceiling on the market's physical growth, as the industry's output is determined by raw material availability rather than consumer appetite. The magnitude of the volume at risk due to these supply constraints is substantial. According to the Cyprus Dairy Producers' Association, in 2024, the total export volume of Halloumi cheese stood at 42,427 tonnes. This heavy reliance on a constrained milk supply means that despite high market interest, the sector’s actual growth trajectory is mechanically restricted by the inability to source sufficient PDO-compliant ingredients to support higher production figures.

Key Market Trends

A growing segment of consumers is opting for high-end, organic, and PDO-certified (Protected Designation of Origin) halloumi that emphasizes authentic Cypriot production methods and clean-label ingredients. This shift towards premiumization allows manufacturers to command higher price points by validating the cheese's traditional heritage, effectively differentiating authentic products from generic dairy analogues. The market value of these certified authentic products has surged, underscoring the commercial viability of maintaining strict production standards despite the sector's known raw material shortages. According to Kathimerini, November 2025, in the 'Halloumi overtakes pharmaceuticals to become Cyprus' second-biggest export' article, between January and June 2025, exports of PDO halloumi brought in €201.1 million, highlighting the substantial revenue generated specifically by certified authentic varieties.

Supermarket chains and retailers are aggressively launching their own private-label halloumi products, offering competitive pricing to capitalize on the cheese’s mainstream popularity. Major European retail giants are bypassing branded intermediaries to source directly from Cypriot producers, filling shelves with store-branded options that cater to price-conscious shoppers in high-demand regions. This strategy has successfully driven massive volumes into key continental markets where discount retail formats thrive, securing consistent shelf space beyond the traditional stronghold of the United Kingdom. According to Cyprus Business News, March 2025, in the 'The countries that imported €324 million worth of Halloumi from Cyprus in 2024' article, exports to Sweden, a market characterized by strong private label penetration, reached 3,247 tonnes worth over €25.3 million in 2024.

Segmental Insights

The Online distribution channel is recognized as the fastest-growing segment in the Global Halloumi Cheese Market, driven by a significant shift in consumer purchasing habits toward digital convenience. E-commerce platforms provide access to a broader variety of authentic, artisanal Halloumi brands that are frequently unavailable in physical retail outlets, satisfying the rising global demand for specialized Mediterranean products. Furthermore, advancements in cold chain logistics have effectively addressed preservation challenges, ensuring the delivery of fresh, high-quality dairy. This accessibility has encouraged major retailers to expand their digital presence to capture this expanding market share.

Regional Insights

Europe maintains a dominant position in the Global Halloumi Cheese Market primarily due to its status as the original production hub and strict regulatory protections. The European Commission granted Halloumi Protected Designation of Origin (PDO) status, which limits commercial production under this name to Cyprus and ensures product authenticity. This legal framework secures consumer confidence and strengthens trade across the European Union. Additionally, high consumption rates in countries like the United Kingdom and Germany drive consistent regional demand. Consequently, these established production standards and robust distribution networks sustain Europe’s leadership in the global industry.

Recent Developments

• In July 2025, the Greek dairy company Omiros Dairies Group announced the strategic acquisition of A. Hadjipieris Ltd, a Cyprus-based producer of traditional Halloumi cheese. This acquisition marked the group's first production expansion outside of Greece and included an initial investment plan of €5 million to modernize existing facilities and increase annual PDO Halloumi production capacity to 5,500 tons. The company also revealed plans to construct a new factory within three years to reach a total capacity of 12,000 tons. This move, with a projected total investment of €30 million over five years, aimed to strengthen the group's position in the international PDO cheese market.
• In May 2025, Nando's expanded its summer menu with the launch of a new vegetarian option, "The Big Cheese" burger. This product featured a grilled Halloumi cheese patty paired with red pepper and pineapple salsa, sliced avocado, and a specialty chili mayonnaise. Alongside the burger, the restaurant chain introduced Halloumi Sticks served with a new hot honey dip, catering to the growing "swicy" flavor trend. This launch demonstrated the company's strategy to diversify its non-meat offerings and leverage the versatility of Halloumi cheese to attract a broader customer base looking for premium meat-free alternatives during the summer dining season.
• In October 2024, Hellenic Dairies S.A. inaugurated a new state-of-the-art production facility in Tseri, Cyprus, dedicated to the manufacturing of Protected Designation of Origin (PDO) Halloumi cheese. The factory, representing an investment of €70 million, was designed with a production capacity of 18,000 tons annually, which reportedly accounts for approximately 40% of the country's total Halloumi output. The facility incorporates sustainable technologies, including an anaerobic wastewater treatment unit for biogas production and a photovoltaic system, aligning with the company's commitment to environmentally responsible production practices while meeting growing global demand for authentic Cypriot dairy products.
• In March 2024, McDonald's UK announced the return of a popular item to its menu as part of its seasonal Easter offering. The fast-food chain reintroduced Halloumi Fries, served with a rich tomato dip, responding to strong consumer demand for the savory cheese snack. This launch was part of a broader menu update that included both sweet and savory limited-time options, available at restaurants nationwide. The move highlighted the continued popularity of Halloumi cheese in the UK quick-service restaurant sector, reinforcing its status as a staple ingredient for major food retailers seeking to offer vegetarian-friendly and trendy snacking choices.

Key Market Players

• Danone S.A.
• Gujarat Co-operative Milk Marketing Federation Limited
• Nestlé S.A.
• Land O' Lakes, Inc.
• Kerry Group
• The Kraft Heinz Company
• Archer-Daniels-Midland Company (ADM)
• Lactosan A/S
• Arla Foods Group
• DairiConcepts, L.P.

By Type	By Distribution Channel	By Region
Flavored Unflavored	Hypermarkets/Supermarkets Convenience Stores Online Others	North America Europe Asia Pacific South America Middle East & Africa

Report Scope:

In this report, the Global Halloumi Cheese Market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:

• Halloumi Cheese Market, By Type:

• Flavored
• Unflavored

• Halloumi Cheese Market, By Distribution Channel:

• Hypermarkets/Supermarkets
• Convenience Stores
• Online
• Others

• Halloumi Cheese Market, By Region:

• North America
• United States
• Canada
• Mexico
• Europe
• France
• United Kingdom
• Italy
• Germany
• Spain
• Asia Pacific
• China
• India
• Japan
• Australia
• South Korea
• South America
• Brazil
• Argentina
• Colombia
• Middle East & Africa
• South Africa
• Saudi Arabia
• UAE