New Zealand sees 2.9% drop in milk production

DCANZ has released its week of October milk production report, outlining a 2.9% year-on-year decline in New Zealand production. This number was not as low as expected, with a peak milk production of 252 million kilograms of milk solids; however, it was the lowest milk production peak since 2016. So far, milk production is 3.5% lower than the same period last season. Climate variability has significantly impacted pasture growth, with record levels of humidity, low light and warmer than average temperatures providing a difficult environment for pasture growth. Although conditions improved in the last half of October, most of the North Island is still recovering from the excess water, and last week's sudden rain didn't help. On the other hand, the rain has greatly improved conditions in the South Island, providing optimism for pasture growth volume, while quality remains in question. Furthermore, Statistics NZ reports that costs have increased by a further 15% year-on-year. ...