The article provides an overview of the international and Brazilian dairy markets, highlighting limited global milk supply due to production declines in the US, Argentina, and Uruguay, with mixed recovery in the EU and slight improvements in Oceania. This scarcity supports high international prices, with whole milk powder at $3,500/ton. In Brazil, adverse weather has constrained milk supply, but strong economic indicators have driven demand and prices up. Modest national supply growth is noted, with expectations of recovery in 2024 as weather and farm profitability improve. The article underscores the importance of monitoring grain prices and farm management, and stresses that adopting technology and innovation is key to enhancing production efficiency and competitiveness in the Brazilian dairy sector.