This paper provides an overview of the economic trends and outlook for global dairy trade. Particular attention is given to the Asian market due to the significant role it plays in the global dairy trade. The global dairy market is in a challenging period, particularly given the uneven and volatile market movements. Despite these challenges there is reason for optimism in the international dairy market. There are signs the market is in correction mode as low milk prices are translating into slower production growth which in turn is expected to improve the supply situation.