USDEC: Global milk output slowing
Milk production in major exporting nations slowed in the third quarter of 2012, according to the U.S. Dairy Export Council’s November Global Dairy Market Outlook report. A summary of major dairy regions follows:
• European Union-27: Milk deliveries were estimated to be off 1.1% in the third quarter. Poor weather and tight margins have driven output lower. Production is down in key regions including France, Ireland and the United Kingdom. Meanwhile, Germany and the Netherlands are near year-ago levels.
• United States: Heavier culling this year, compounded by the summer drought, has put the United States in contraction mode. Cow numbers dropped 84,000 head in six months. Production was down 0.2% in the August-October period. Margins have improved slightly, but a quick improvement is not expected.
• New Zealand: The 2012/13 season is off to a good start. Output was up 8.4% in the July-September period. For the full year, production is projected to be up 2-3% on top of last year’s record pace.
• Australia: Milk production was up 2.1% in the third quarter. 2012-13 production is projected to be 2% higher than last year.
• Argentina: After two years of double-digit growth, milk deliveries were down 2.2% in the third quarter as unfavorable weather impacted productivity.
To see the full report, visit www.usdec.org/files/GDMO/USDEC%2DGDMO%2D201211%2DAbridged.pdf