Tridge summary
The dairy industry in New Zealand, particularly focusing on goat and sheep milk, is experiencing a downturn due to factors such as declining international birth rates and changing consumer preferences, especially in China. This has led to Maui Milk ending its milking season early, impacting 15 farmer suppliers, and the Dairy Goat Co-operative (DGC) asking its suppliers to cut milk supply by about one-third for the next season. The adjustments are in response to post-Covid demand changes, the need to align milk supply with anticipated product sales for 2024-25, the collapse of informal sales channels to China, and a shift towards domestic brands within the Chinese market. Despite these challenges, companies like Spring Sheep Milk are optimistic about future growth and diversification opportunities, even as they manage excess inventory due to market shifts.
Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.
Original content
This month Maui Milk abruptly ended its milking season one month earlier, forcing 15 Waikato-based farmer suppliers to dry off their flocks. Hamilton-based Dairy Goat Co-operative (DGC) is asking farmer suppliers to reduce milk supply for the next season, possibly by one-third. DGC chief executive David Hemara told Rural News that the reduction is necessary to better balance incoming milk against forecast product sales for 2024-25. "This is a continuation of a cap that we have applied for several seasons and reflects changing demand levels in some markets since Covid. "While the final amount of milk per shareholder is yet to be finalised, we have advised shareholders that we expect that they will be asked to reduce supply to around two-thirds of normal level." According to Hemara, the global supply/demand situation for goat milk has been impacted by several factors including declining birth rates internationally and the collapse of the Daigou informal sales channel to China during ...
Source: Ruralnewsgroup
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