Brazil is the world's fourth largest milk producer. The country has substantial capacity to meet domestic demand and to steadily expand its presence in international markets. Genetic improvement has become one of the most significant areas of investment to increase milk production, driven by imports of genetic material from the United States. In 2026, milk production is expected to increase to 26.16 million metric tons (MMT), an increase of 2.6 percent, from the revised 2025 estimate of 25.5 MMT in 2025. In 2026, Post forecasts an increase of cheese production to 1.25 percent to 810,000 MT in 2026 and estimates a production increase of 2.5 percent in 2025 compared to the previous year. Post forecasts butter production at 86,000 MT in 2026, an increase of 2.4 percent compared to the estimate for 2025.