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TheDairySite Newsletter - 18 January 2013

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TheDairySite
Friday 18th January 2013.
Chris Harris - TheDairySite Editor in Chief

Chris Harris
Editor in Chief


Editorial: Mixed picture for global dairying

Reports showing market optimism in New Zealand as Fonterra shares rise, Spanish dairy farm numbers halving this century and fears of production levels plateauing in Uruguay show a mixed picture of the global dairy industry this week.

After gaining 25 per cent value on opening day, Fonterra shares have continued to appreciate. Earlier this week they were reported at NZ$7.35 six weeks after being made available.

The efficiency of the New Zealand industry is also said to be improving. Extensive culling has seen national herd numbers drop by 20,000 but yield per head has offset the decrease.

Both New Zealand and Australia have been coping with wild fires caused long dry period and recent hot weather. No significant disruption to production and supply was noted by Dairy Australia, who, in their latest market commentary release, reported an improving sector with an export index at 230.6 USD up from 255.0 a month ago.

Farmgate prices have been rising in the UK to address concerns over the cost of production but are required to rise further to sustain producers, the most recent government figures have shown.

Average UK farmgate price increased 3.2 per cent from October reaching 30.02ppl in November. The Northern Ireland average also increased by 2.49ppl beating to a stronger 31.05 ppl increasing 8.7 per cent.

The importance of dairy farming to the continued development of Ukrainian agri-business has been shown this week.

Rapid development in Ukraine livestock sectors, aided mostly by federal subsidies, has resulted in a 13.6 per cent in January to November milk production, agriculture minister Mykola Prysiazhniuk has said.

The dairy products surplus stood at $347.4 million in November for the year. Cheese products accounted for 43.3 per cent of this at a considerable 62,500 tons.

Elsewhere, there have been less positive reports with Miguel Blanco, Secretary General of the Coordinator of farmers’ and ranchers revealing on Spanish Radio that dairy farm numbers have halved this century largely thanks to unfair milk pricing caused by supermarket chains.

Feed and other inputs costs have sparked debate in South America as production costs are not set to rise above farmgate milk prices in 2013.

The negative dairy outlook in Uruguay is worsened by government milk production forecasts predicting a stagnant 2013.

Calculations by the Office of the Agricultural Policy Programme have said that growth rates of seven per cent through 2012 and 12 per cent in 2011 will not be bettered, meaning that despite an expected farmgate price rise in the coming months, farmers will struggle to make large profits.


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This Weeks Articles and Analysis

Out-Wintering of Cattle:Management and Precautions
Although money is saved on bedding and feed there are many potential negatives involved when wintering cattle outside warns the National Animal Disease Information Service who stress the importance of good management even in a mild winter.

First Detection of Livestock-Associated Meticillin-Resistant Staphylococcus Aureus CC398 in Bulk Tank Milk in the United Kingdom, January to July 2012
Eurosurveillance outline the discovery of meticillin-resistant Staphylococcus aureus belonging to clonal complex 398 in the UK for the first time. The article includes how the bacterium was isolated and the extent of its spread.

Risk Management in the Irish Dairy Sector
The volatility of the dairy markets and risk management tools were discussed at a conference held jointly by the Cork Institute of Technology and the Irish Cooperative Society.

'What Stocking Rate For My Farm? Maximising Milk Production From Pasture
To gain insight into what post-quota Irish dairying might be like, field trials on two dairy farms have been carried investigating into stocking rates on farm productivity by researchers by Teagasc at Moorepark, County Cork.

Company News

Market Reports

USDA Feed Outlook - January 2013
USDA National Dairy Products Sales Report - 17 January 2013

Global Dairy Industry News

   New Zealand

South Island Fire Warning Issued

   China

Major Farm Produce Prices Continue to Rise
Good Practice Feed Manual to be Published in Chinese

   Canada

Investment in New Technology to Support Cattle Industry
Fertiliser Effects Being Tackled by Joint Programme

   Ukraine

Ukraine Increases Agricultural Export
Dairy Production Increases 13.6 per cent

   United Kingdom

Few Consumers Seek GM Information on Labels
Schmallenberg Virus Engineering Brings Optimism
2013 Must Bring Schmallenberg Solution
Farmgate Milk Prices Up in November
Devon Worst Hit as Schmallenberg Spreads
Sales of Veterinary Antibiotics Fell in 2011
LMC: Weekly Beef and Lamb Markets
Slurry Evaluated as a Lone Fertiliser
How Will Genetics Feed the World?
Weekly Roberts Market Report

   Spain

Dairy Farms Halve in Number This Century
Bluetongue Free Status Declared

   Czech Republic

Agrarian Subsidies to Increase to 44.7 Billion

   Global

Will Governments Get to Grips with Antibiotic Use?

   Australia

Dairy Markets Roundup: Outlook positive,Fonterra Shares Up
Land Clearing Change Vital for Farmers
National Dairy Update: Production Not Hampered by Hot Weather

   United States

NFU to Meet For Policy Discussion
USDA Reports Provide Some Price Direction
NFU Applauds USDA’s New Microloan Programme
Grass Systems Get Backing from Researchers
Livestock Producers get Income Tax Relief After Drought
Striking a Balance in Animal Production
Workshops Help Farmers, Market Vendors Improve Their Markets
Efficient Transportation Remains Critical for Farmers

   Belgium

Global Consortium Measuring Role of Specialty Feed Ingredients Announces Scientific Council

   South Africa

Minister Calls for Restraint in Farmworkers' Protest

   Colombia

Import Clause Introduced on Mercosur Dairy Products

   Finland

Schmallenberg Identified For First Time

   Bolivia

Health Specialists Look into Mysterious Cattle Deaths

   European Union

Public Consultation on Future of Organic Production
MEPs Set for Marathon CAP Vote

   Uruguay

Milk Production Forecast to Slow

   Russian Federation

Subsidy Boost for Starter Farmers

   Cyprus

Consumers Expected to be Hit By Price Intervention

   Ireland

Minister Announces Meat Sector Technology Programme Launch

   Germany

More Specific Labelling Trials Prompted by Regional Renaissance

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