Dairy market review in the UK for the second quarter of 2024

Published 2024년 7월 16일

Tridge summary

The UK dairy market is experiencing a contraction in milk deliveries due to poor weather, with the 2023/24 season recording the lowest volume since 2016/17. Despite improved grass growth rates, future cuts may be affected, and a 1.0% decline in milk production is expected for 2024/25. Organic milk production fell by 11% year-on-year in May, but retail sales grew by nearly 4%. The milking herd has stabilized, and calf registrations increased by 0.7% in Q1 2024. The industry is shifting towards block calving and using beef sires. Global milk production declined by 0.5% in April, and UK wholesale market prices have risen due to concerns about product availability. Dairy product prices, including bulk cream and mild cheddar, have increased, with a shift towards cheese production. UK dairy exports declined marginally in Q1 2024, but cheese exports saw significant growth, reaching the highest quarterly level since 2020.

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

Original content

GB milk deliveries through the milk year to date have contracted in supply terms as a result of the poor weather seen from Autumn through to Spring. April was back by 1.9% and May by 1.0%. June ended the month back by 0.2%. Following weaker production throughout the flush, we saw June deliveries move much closer to year ago levels as the month progressed, due to improved grass availability. We need to remember that we are not annualising on a good year. The 2023/24 milk season was the lowest milk-year volume recorded since the 2016/17 season. Grass growth rates were poor through Spring but have since come back in line with seasonal averages which should indicate that first cuts, at least, have been successful. Time (and weather) will tell to what extent the slow start and damage to ground will make for prospects for second cuts. This is reflected in the latest forecast as a slightly bigger decline is now expected in GB milk production for the 2024/25 season. To reflect the ...

Source: Ahdb