Why is Algeria the #2 milk powder importer in the world? Can anyone explain to me why Algeria, a country of 40 million people is importing almost half as much milk powder as China?



Turkey has 80 million people yet it apparently doesn't import milk powder, or very little. Likewise for Libya, which is right next to Algeria, although it has only 6 million people. Egypt has about 100 million people and is similar to Algeria in some respects, yet it imports no milk powder.
Four-fifths of Algeria is just desert --which leaves no room for agriculture.  The Algerian economy is mostly powered just by the oil industry, which contribute about ~70% of government revenues. Oil and oil related products constitute more than 80% of Algeria's exports. 

For example, Turkey has twice the population of Algeria but it has more than 7.5 times the cattle Algeria has. (14.2 in Turkey vs 1.6 in Algeria). So the short answer is that Algeria isn't just suited for Agriculture.