UK Leads Europe on Dairy Restructuring

The analysis shows the opportunity available to UK dairy farmers to stabilise milk production in the years ahead, if farmers have the confidence to invest and grow their businesses, as the heifers are in the pipeline.

In the summary the analysis goes on to say that world stocks levels will be a primary influence on world market prices moving forward. Tracking stock levels will therefore be important as small changes will have a significant impact on price. Better information is required, as already found for most other major agricultural commodities.

"Although we face a volatile future, profitability for good dairy farmers will improve in the medium term compared to recent years," says the analysis. "The current market dynamics will widen profit differentials - the rewards for efficient, flexible businesses will be greater whilst inefficient businesses will be exposed and more likely to fail.

"Trust and confidence throughout the supply chain is vital. Customers must ask themselves what they are doing to build trust and encourage stability, for the benefit of everyone in the supply chain."

TheCattleSite News Desk

Sign up for our
regular news updates

Latest Dairy Industry News

•   Vaccinate For Tick Fever
•   Dairy Farmers Receive €590 Each
•   A Strong CAP Is Needed To Help Europe Grow
•   New Report Highlights Impacts Of Livestock Production
•   Agriculture A Key Area For NPC
•   Japan Aims For 50 Per Cent Self Sufficiency By 2020
•   DDG Futures Contract Could Be Promising For Livestock Industries
•   Ensuring Sustainable Livestock Production
•   All In Favour Of Clearer Food Labelling, Say Yes
•   Productive Agriculture Must Be Included In Future CAP
•   French Live Cattle Exports Recover
•   Preventing E. coli O157 Contamination
•   US Grains Council Opens Southern Offices
•   Fonterra Rescues Organic Milk Suppliers
•   Pfizer Welcomes Agreement With Elanco On Divested Assets