Global dairy market: rising milk prices, rising demand in China and falling imports in Mexico

A recent webinar by the international farm analysis network IFCN discussed the current state of global and regional dairy markets, highlighting the significant changes in milk prices throughout the year. In July 2020, global milk prices saw a slight increase to $36.7 per 100 kg, showing a 5% rise from June 2020's figures, attributed to factors such as recovered dairy product demand, increased stock exchange prices, and higher imports, particularly from Asian countries. However, IFCN experts caution that these increases might be overestimated and anticipate a potential period of low dairy product prices in 2020 due to various factors, including the corona crisis's impact on dairy markets in the USA and India. The webinar also touched on China's positive influence on the global dairy market, with its growing demand for dairy products and plans to establish large dairy farms, and discussed the trend towards milk self-sufficiency in countries like Mexico due to the lower costs of domestic dairy products compared to imports.