National milk production set to increase for first time in three years

Published 2020년 10월 6일

Tridge summary

Dairy Australia's October Situation and Outlook report anticipates a rise in national milk production for the first time in three years, attributed to favourable weather, lower input costs, and stable farmgate milk prices. The increase is expected to be led by Tasmania, Gippsland, and South Australia, with the boost in milk supply contributing to cautious optimism for improved farm profitability. However, the report also addresses the significant consumer and market shifts caused by COVID-19, such as changes in purchasing habits and disruptions in global dairy demand. The pandemic has resulted in varied impacts on the dairy industry, with domestic demand for dairy products used in home cooking and baking surging, while foodservice and route channel sales have declined. Global production growth, particularly in the US and New Zealand, could negatively affect commodity pricing unless resurgent demand balances the additional milk supply.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

National milk production is set to increase this season, as favourable weather, lower input costs and a relatively firm farmgate milk prices support some of the best dairy farming conditions of recent years, according to Dairy Australia’s October Situation and Outlook. This will be the first annual increase in national milk production in three years — with Tasmania, Gippsland and South Australia leading the charge. Increased milk supply in most regions is also supporting «cautious optimism» for improved farm profitability. The report highlights significant changes in consumer purchasing habits resulting from COVID-19. “Two very different stories are emerging for the current season,” said Dairy Australia senior industry analyst Sofia Omstedt. “One tells the tale of consistently improving conditions at the farmgate and a positive flow-on impact on milk production. The other reflects depressed global economic growth, disrupted dairy demand and significant shifts in consumer ...

Source: eDairyNews