EU milk production continues its downward trend

Published Jun 6, 2024

Tridge summary

The European Union dairy cow numbers fell to 19.7 million in 2024, the first time below 20 million, due to declining inventories and a slight increase in productivity. As a result, cow milk production is expected to decrease by 0.3%. Despite an increase in milk deliveries to dairies in the beginning of the year, numbers are projected to decline throughout the year due to reduced milk production profitability, environmental restrictions, and a lack of interest from younger generations. However, larger and more professional farms are expected to maintain their herd numbers. The European dairy industry is facing challenges such as declining farm-gate milk prices, high production costs, and unfavorable weather conditions, which are expected to result in further contractions in 2024.

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

Original content

At the beginning of 2024, dairy cow numbers in the European Union amounted to 19.7 million cows in milk, continuing a declining trend and dropping below 20 million for the first time, according to a recent US Department of Agriculture (USDA) Global Agricultural Information Network (GAIN) report. Consistent growth in cow productivity is not expected to fully compensate for declining cow inventories in 2024, and as a result, EU27 cow milk production is forecast to shrink by 0.3%. In January-February 2024, cows’ milk deliveries to dairies increased by 1.7%, as compared to January-February 2023 (without leap year adjustment). However, those increases are expected to fall throughout the year, as a number of farmers that have kept their cows longer or postponed exiting milk production are expected to do so later in 2024. Milk production profitability has been sliding since the beginning of 2023, with dropping farm-gate milk prices and decreasing, but still elevated, production costs ...

Source: The Cattle Site