USDA reduces global milk production forecast, raises price projections

Published 2022년 2월 9일

Tridge summary

The USDA's World Ag Supply and Demand Estimates (WASDE) report has lowered the 2022 milk production forecast due to a decrease in cow numbers, but increased the projected all-milk price to over $23.50 per hundredweight. The report also raised price forecasts for cheese, butter, nonfat dry milk, whey, and beef. The beef production estimate was raised due to expected larger placements in the first half of 2022. The WASDE report also projected unchanged corn outlook for the rest of the season, but projected an increase in soybean crush and lower ending stocks, with reduced soybean meal exports for Argentina, Brazil, and Paraguay.

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

Original content

The USDA’s World Ag Supply and Demand Estimates (WASDE) report reduced the 2022 milk production forecast due to lower cow numbers, while raising the projected all-milk price to more than $23.50 per hundredweight (cwt). Released on Feb. 9, the WASDE report revised the 2021 milk production estimate up 100 million pounds to 226.3 billion pounds, up about 1.4% from 2020. Looking into 2022, milk production was forecast at 227.2 billion pounds, down 500 million pounds from last month’s forecast. If realized, 2022 production would be up less than 0.4% from the 2021 estimate. As a result of less milk and tightening stocks, 2022 price forecasts for cheese, butter, nonfat dry milk and whey were raised from last month. With higher product prices, milk prices forecasts followed suit. For 2022, the projected Class III milk price was raised 65 cents from last month’s estimate to $20.30 per cwt. That would be up $3.22 from the 2021 average of $17.98 per cwt. The projected annual average Class IV ...

Source: Progressivedairy