Global Milk Production Update – Dec ’16
Combined milk production within the major dairy exporting regions of New Zealand, the EU-28, the U.S., Australia and Argentina remained lower on a YOY basis during Oct ’16, declining by 2.6%. The aforementioned regions combined to account for over 90% of global butter, cheese, whole milk powder and nonfat dry milk export volumes during 2015. Combined milk production within New Zealand, the EU-28, the U.S., Australia and Argentina typically builds through the months of August and September until it reaches its seasonal peak during the month of October.
Combined milk production within the major dairy exporting regions has declined on a YOY basis over five consecutive months through Oct ’16. Production increased by 2.0% throughout the 12 month period prior to the most recent YOY declines, driven higher by a 3.8% YOY increase in EU-28 milk production experienced throughout the first year within the post-quota production environment. The Sep ’16 YOY decline of 2.6% was the largest experienced throughout the past three and a half years.
Of the top five exporting regions, the U.S. was the only region to experience a YOY increase in milk production during Oct ’16 as production volumes finished up 2.5%. Declines on a percentage basis were led by Argentina (-12.0%), followed by Australia (-11.4%), New Zealand (-5.0%) and the EU-28 (-3.4%). The EU-28 produces significantly more milk than the other dairy exporting regions, accounting for nearly half of the combined production within the five exporting regions throughout the month.
Excluding the U.S., milk production within the major dairy exporting regions declined by 4.8% throughout the month of October. The YOY decline in production within the EU-28, New Zealand, Australia and Argentina was the largest experienced throughout the past three and a half years.
Combined milk production within the major dairy exporting regions has declined on a YOY basis over five consecutive months through Oct ’16. Production increased by 2.0% throughout the 12 month period prior to the most recent YOY declines, driven higher by a 3.8% YOY increase in EU-28 milk production experienced throughout the first year within the post-quota production environment. The Sep ’16 YOY decline of 2.6% was the largest experienced throughout the past three and a half years.
Of the top five exporting regions, the U.S. was the only region to experience a YOY increase in milk production during Oct ’16 as production volumes finished up 2.5%. Declines on a percentage basis were led by Argentina (-12.0%), followed by Australia (-11.4%), New Zealand (-5.0%) and the EU-28 (-3.4%). The EU-28 produces significantly more milk than the other dairy exporting regions, accounting for nearly half of the combined production within the five exporting regions throughout the month.
Excluding the U.S., milk production within the major dairy exporting regions declined by 4.8% throughout the month of October. The YOY decline in production within the EU-28, New Zealand, Australia and Argentina was the largest experienced throughout the past three and a half years.