Executive Summary

Milk production figures throughout the major dairy exporting regions of New Zealand, the EU-27+UK, the U.S., Australia and Argentina were recently updated with values spanning through May ’21. Highlights from the updated figures include:

• Combined milk production within the major dairy exporting regions remained at a record high seasonal level for the 12^th consecutive month throughout May ’21, finishing 3.3% above previous year figures. The YOY increase in combined milk production volumes was the largest experienced throughout the past three and a half years.
• May ’21 YOY increases in milk production were widespread across the five major dairy exporting regions and led on a percentage basis by New Zealand, followed by the U.S., Argentina, Australia and the EU-27+UK.
• Milk production growth throughout the U.S. continued to outpace growth experienced throughout the other major dairy exporting regions for the tenth consecutive month throughout May ’21.

Additional Report Details

Combined milk production within the major dairy exporting regions of New Zealand, the EU-27+UK, the U.S., Australia and Argentina finished 3.3% higher on a YOY basis during May ’21, remaining at a record high seasonal level for the 12^th consecutive month. The aforementioned regions combined to account for 90% of global butter, cheese, whole milk powder and nonfat dry milk export volumes throughout 2020.

Combined milk production growth rates experienced throughout the major dairy exporting regions decelerated over much of 2018 but remained positive until Nov ’18, when production volumes declined on a YOY basis for the first time in the past 22 months. Combined milk production volumes finished largely flat or lower on a YOY basis over eight consecutive months through Jul ’19, prior to finishing higher throughout each of the past 23 months through May ’21. The May ’21 YOY increase in combined milk production volumes was the largest experienced throughout the past three and a years on a percentage basis.

May ’21 YOY increases in milk production on a percentage basis were widespread across the major dairy exporting regions and led by New Zealand (+7.6%), followed by the U.S. (+4.6%), Argentina (+3.4%), Australia (+2.6%) and the EU-27+UK (+2.2%). The EU-27+UK produces significantly more milk than the other dairy exporting regions, accounting for over half of the combined production within the five exporting regions throughout May ’21.

Excluding the U.S., milk production within the major dairy exporting regions increased by 2.6% on a YOY basis throughout the month of May, reaching a three year high growth rate but remaining below the growth rate exhibited within the U.S. for the tenth consecutive month.