EU-28 Milk Production Update – Mar ’18
Executive Summary
EU-28 milk production figures provided by Eurostat were recently updated with values spanning through Jan ’18. Highlights from the updated report include:
EU-28 milk production has finished higher on a YOY basis over 11 consecutive months through Jan ’18. The Jan ’18 YOY increase in milk production was the smallest experienced throughout the past five 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.
Jan ’18 YOY increases in production on an absolute basis were led by Germany, followed by Italy and France. The aforementioned member states accounted for over two thirds of the total EU-28 YOY increase in production volumes experienced throughout Jan ’18.
YOY gains in production on a percentage basis were led by Bulgaria (+36.7%), followed by the Romania (+12.4%) and Luxembourg (+11.5%), while declines in production on a percentage basis were most significant within Hungary (-4.0%) and the United Kingdom (-1.7%).
Nine of the top ten milk producing member states experienced YOY gains in milk production during Jan ’18, as production within the top ten milk producing member states increased by a weighted average of 3.8% 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, 26 of the 28 member states experienced YOY increases in production volumes during Jan ’18.
Dec ’17 EU-28 beef & dairy cow slaughter finished higher on a YOY basis for the third consecutive month when normalized for slaughter days, increasing by 0.6%. YOY increases in beef & dairy cow slaughter were most significant within Ireland, followed by Poland and Spain.
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.
- Jan ’18 EU-28 milk production higher on a YOY basis for the 11th consecutive month, increasing by 3.7% to record seasonal high for the month of January. The YOY increase in EU-28 milk production was the smallest experienced throughout the past five months, however.
- Jan ’18 YOY increases in milk production were led by Germany, followed by Italy and France. The aforementioned member states accounted for over two thirds of the total YOY increase in EU-28 production volumes experienced during Jan ’18.
- EU-28 bovine slaughter rates finished higher on a YOY basis for the third consecutive month during Dec ’17 when normalized for slaughter days, increasing by 0.6%. YOY increases in beef & dairy cow slaughter were most significant within Ireland, followed by Poland and Spain.
EU-28 milk production has finished higher on a YOY basis over 11 consecutive months through Jan ’18. The Jan ’18 YOY increase in milk production was the smallest experienced throughout the past five 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.
Jan ’18 YOY increases in production on an absolute basis were led by Germany, followed by Italy and France. The aforementioned member states accounted for over two thirds of the total EU-28 YOY increase in production volumes experienced throughout Jan ’18.
YOY gains in production on a percentage basis were led by Bulgaria (+36.7%), followed by the Romania (+12.4%) and Luxembourg (+11.5%), while declines in production on a percentage basis were most significant within Hungary (-4.0%) and the United Kingdom (-1.7%).
Nine of the top ten milk producing member states experienced YOY gains in milk production during Jan ’18, as production within the top ten milk producing member states increased by a weighted average of 3.8% 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, 26 of the 28 member states experienced YOY increases in production volumes during Jan ’18.
Dec ’17 EU-28 beef & dairy cow slaughter finished higher on a YOY basis for the third consecutive month when normalized for slaughter days, increasing by 0.6%. YOY increases in beef & dairy cow slaughter were most significant within Ireland, followed by Poland and Spain.
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.