EU-28 Milk Production Update – Feb ’18
Executive Summary
EU-28 milk production figures provided by Eurostat were recently updated with values spanning through Dec ’17. Highlights from the updated report include:
EU-28 milk production has finished higher on a YOY basis over ten consecutive months through Dec ’17. The Dec ’17 YOY increase in milk production was the smallest experienced throughout the past four months on a percentage basis, however. Recent YOY increases in EU-28 milk production volumes have been amplified by the European Commission’s €150 million voluntary milk reduction scheme which took place over the fourth quarter of 2016. The voluntary milk reduction scheme was estimated to result in a 1.1% YOY reduction in total EU-28 milk deliveries in addition to YOY declines experienced prior to the scheme coming into force.
Dec ’17 YOY increases in production on an absolute basis were led by Germany, followed by Italy (estimated from the previous month), the United Kingdom and France. The aforementioned member states accounted for nearly two thirds of the total EU-28 YOY increase in production volumes experienced throughout Dec ’17.
YOY gains in production on a percentage basis were led by Ireland (+13.6%), followed by the Czech Republic (+11.8%) and Romania (+10.9%), while declines in production on a percentage basis were most significant within Malta (-3.3%) and Hungary (-2.8%).
Nine of the top ten milk producing member states experienced YOY gains in milk production during Dec ’17, as production within the top ten milk producing member states increased by a weighted average of 4.4% throughout the month. The top ten EU-28 milk producing member states accounted for over 85% of the total EU-28 milk production experienced throughout the month. Overall, 24 of the 28 member states experienced YOY increases in production volumes during Dec ’17.
Nov ’17 EU-28 beef & dairy cow slaughter finished higher on a YOY basis for the second consecutive month when normalized for slaughter days, increasing by 1.3%. YOY increases in beef & dairy cow slaughter were most significant within the Netherlands, followed by Poland and Ireland.
EU-28 bovine slaughter increased 0.7% YOY throughout the ’15-’16 production season and finished up an additional 3.2% throughout the ’16-’17 production season. USDA expects the EU-28 dairy cow herd to be marginally lower throughout 2018 but recent culling is expected to have a positive impact on future per cow productivity as lower producing animals are culled.
- Dec ’17 EU-28 milk production higher on a YOY basis for the tenth consecutive month, increasing by 4.4% to record seasonal high for the month of December. The YOY increase in EU-28 milk production was the smallest experienced throughout the past four months, however.
- Dec ’17 YOY increases in milk production were led by Germany, followed by Italy (estimated from the previous month), the United Kingdom and France. The aforementioned member states accounted for nearly two thirds of the total YOY increase in EU-28 production volumes experienced during Dec ’17.
- EU-28 bovine slaughter rates finished higher on a YOY basis for the second consecutive month during Nov ’17 when normalized for slaughter days, increasing by 1.3%. YOY increases in beef & dairy cow slaughter were most significant within the Netherlands, followed by Poland and Ireland.
EU-28 milk production has finished higher on a YOY basis over ten consecutive months through Dec ’17. The Dec ’17 YOY increase in milk production was the smallest experienced throughout the past four months on a percentage basis, however. Recent YOY increases in EU-28 milk production volumes have been amplified by the European Commission’s €150 million voluntary milk reduction scheme which took place over the fourth quarter of 2016. The voluntary milk reduction scheme was estimated to result in a 1.1% YOY reduction in total EU-28 milk deliveries in addition to YOY declines experienced prior to the scheme coming into force.
Dec ’17 YOY increases in production on an absolute basis were led by Germany, followed by Italy (estimated from the previous month), the United Kingdom and France. The aforementioned member states accounted for nearly two thirds of the total EU-28 YOY increase in production volumes experienced throughout Dec ’17.
YOY gains in production on a percentage basis were led by Ireland (+13.6%), followed by the Czech Republic (+11.8%) and Romania (+10.9%), while declines in production on a percentage basis were most significant within Malta (-3.3%) and Hungary (-2.8%).
Nine of the top ten milk producing member states experienced YOY gains in milk production during Dec ’17, as production within the top ten milk producing member states increased by a weighted average of 4.4% throughout the month. The top ten EU-28 milk producing member states accounted for over 85% of the total EU-28 milk production experienced throughout the month. Overall, 24 of the 28 member states experienced YOY increases in production volumes during Dec ’17.
Nov ’17 EU-28 beef & dairy cow slaughter finished higher on a YOY basis for the second consecutive month when normalized for slaughter days, increasing by 1.3%. YOY increases in beef & dairy cow slaughter were most significant within the Netherlands, followed by Poland and Ireland.
EU-28 bovine slaughter increased 0.7% YOY throughout the ’15-’16 production season and finished up an additional 3.2% throughout the ’16-’17 production season. USDA expects the EU-28 dairy cow herd to be marginally lower throughout 2018 but recent culling is expected to have a positive impact on future per cow productivity as lower producing animals are culled.