For instance, locally produced butter costs between 570 and 735 soms per kilogram, while similar products from Belarus are sold starting at around 400 soms.

Due to lower prices, imported dairy products are also displacing local producers on the domestic market. At the same time, Kyrgyzstan is almost fully self-sufficient in milk and dairy products, which has led to market oversaturation. As a result, companies are forced to seek new export destinations, including Uzbekistan, while significant volumes of products remain in storage.

The agency noted that despite Cabinet of Ministers Order No. 165-r dated March 14, 2025, which prioritizes the procurement of domestic goods, state and municipal organizations continue to favor cheaper imports. Price remains the main criterion in public procurement, placing Kyrgyz producers at a disadvantage.

Preliminary estimates suggest that only 5–7 percent of domestic dairy production was sold through the public procurement system last year and in the first quarter of 2026.

Industry representatives also reported cases of domestic producer certificates being used to sell products below production cost.

The agency believes this may indicate unfair competition and raises questions about the origin and quality of the products.

The Antimonopoly Service proposes tightening procurement requirements for dairy products supplied to state and municipal institutions, and introducing a rule requiring that at least 30 percent of supplies for budget-funded organizations come from local producers.

The agency also supports expanding state support measures for dairy processing enterprises to ensure food security, promote fair competition, and protect consumer rights. According to the service, relevant proposals have already been submitted to government bodies.