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Global Milk Production Continues to Fall

03 November 2016

GLOBAL - The combined milk production of the five main exporting regions continued its decline in August, with the daily milk production equivalent (adjusted for varying seasonal output of the different world regions) down 0.3 per cent compared with July, according to UK levy board AHDB Dairy.

Despite being the start of the new season in the southern hemisphere, NZ milk production in August, was down 2.7 per cent on August last year. Sustained low farmgate prices in Europe have meant that EU28 production has continued to fall month-on-month for the last four months. However, the drop in production appears to finally be stabilising, with a fall of just 0.1 per cent month-on-month in August.

Four of the five key regions have recorded year-on-year decreases for cumulative production from April to August. Argentina was down 16.8 per cent, Australia down 7.3 per cent, New Zealand down 1.1 per cent and the EU28 down 0.3 per cent. Only the US has shown an increase, with production 1.3 per cent higher than the same period in 2015.

September production figures are available for the US and NZ. Seasonally adjusted milk production in the US is showing a further increase, and production is now running 2.1 per cent above September last year. NZ production in September is put at 1.1 per cent up on last year, partly reversing the deficit recorded in August. September production figures are not yet available for Australia, Argentina or EU28.

TheCattleSite News Desk


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