Dairy giant Fonterra has released a new report on milk production. In Australia it declined in the USA and the EU remained stable, while New Zealand had a good season for the milking, reports Agriland.
If we talk about milk production in New Zealand, over the last calendar year until July 2019, it was 2.2% higher than the same period last year. If we compare the data for July 2019 with data for July 2018, it increased by 4.8%, reaching 23.5 million tons. If you evaluate his production for the season, i.e. two months – for June and July, it increased by 4.7%, reaching 32.7 million tons.
The reason for production growth in New Zealand, Fonterra analysts see good conditions for livestock observed in the beginning of the season (due to the relatively “soft” weather of July in the country for pastures enough grass for cows), and remaining stocks of winter milk. If we evaluate it for the season, the growth is insignificant.
In Australia, milk production in the period from June 2018 to June 2019 fell 8.2% compared to data for the same period from June 2017 to June 2018 the Company Dairy Australia predicts a further decline of about 3-5%. Farmers in Australia to reduce herds because of the drought and are experiencing financial difficulties. In July 2019, which began 2019/2020 MG milk production is 5.4 million tonnes, which is 28.9% less than in July 2018.
Milk production in the EU in June 2019 decreased by 0.3% compared with the data observed in the previous year. It has slowed down due to steady heat in Germany, Finland, Spain and the Netherlands. Meanwhile, in Ireland it increased by 7.5% in June 2019 compared with data for June 2018
Milk production in June, the U.S. has not changed and remained at level of 8 billion tonnes seen in June 2018 When evaluating data per calendar year the increase was not significant at 0.3%.
The reason for the lack of growth in the world Fonterra connects with the low profitability of production for farmers.
As wrote earlier “КазахЗерно.kz” according to the Ministry of agriculture of the USA of a new report (WASDE) the forecast of supply and demand in the U.S. and the world for milk, due to the reduction in the number of cows and a decrease in average milk yield per cow price for it will grow.