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 Jan ’22. Highlights from the updated figures include:

• Combined milk production within the major dairy exporting regions declined 1.7% on a YOY basis throughout Jan ’22, reaching a three year low seasonal level. The YOY decline in combined milk production volumes was the fifth experienced in a row and the largest experienced throughout the past five years.
• Jan ’22 YOY declines in milk production on a percentage basis were widespread across production regions and led by Australia, followed by New Zealand, the U.S., Argentina and the EU-27+UK. Production volumes finished below previous year levels across all five major production regions for the first time in the past eight and a half years.
• Excluding the U.S., milk production within the major dairy exporting regions declined by 1.6% on a YOY basis throughout the month of January, finishing above the growth rate exhibited within the U.S. for just the second time in the past 18 months.

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 1.7% lower on a YOY basis throughout Jan ’22, reaching a three year low seasonal level. The aforementioned regions combined to account for 90% of global butter, cheese, whole milk powder and nonfat dry milk export volumes throughout 2021.

Combined milk production volumes finished largely flat or lower on a YOY basis over eight consecutive months through Jun ’19, prior to finishing higher throughout each of the past 26 months through Aug ’21. More recently, combined milk production volumes have finished below previous year levels over five consecutive months through Jan ’22. The Jan ’22 YOY decline in combined milk production volumes was the largest experienced throughout the past five years.

Jan ’22 YOY declines in milk production on a percentage basis were widespread across production regions and led by Australia (-6.3%), followed by New Zealand (-6.1%), the U.S. (-1.7%), Argentina (-0.9%) and the EU-27+UK (-0.6%). Production volumes finished below previous year levels across all five major production regions for the first time in the past eight and a half years throughout Jan ’22. 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 Jan ’22.

Excluding the U.S., milk production within the major dairy exporting regions declined by 1.6% on a YOY basis throughout the month of January, finishing above the growth rate exhibited within the U.S. for just the second time in the past 18 months.

More recent milk production figures for the month of February have been made available for New Zealand, the U.S. and Argentina. Production remained below previous year levels throughout New Zealand and the U.S. but finished higher on a YOY basis throughout Argentina.