Between surplus and deficit: An overview of the global dairy market

Production of raw milk by main dairy regions As of the beginning of 2023, raw milk in Europe is in surplus, while in Australia and South America, on the contrary, there is a significant shortage of supply. Despite the increase in milk production in New Zealand and the USA in January, milk production is expected to decrease until the end of the year due to unfavorable weather conditions, higher feed prices, a decrease in the number of cows, consumer inflation and weak demand for dairy products in the world, above all in China . Europe. Throughout February, a large surplus of raw milk supply from farmers was observed on the EU market. The demand for raw milk in the member countries continued to decrease due to the approaching seasonal peak of raw milk production at the beginning of spring and due to a reduction in the supply of dairy products to domestic and foreign markets. According to preliminary forecasts of the European Commission, in 2023 in the EU milk production is expected ...