Overview of the global dairy market

To continue reading the article, log in to your account or register with MilkPoint. Get access to exclusive content! New Zealand has started the dairy season with a big boost, which is likely to contribute a substantial amount of supply to the market, according to Westpac NZ. This was initially offset by weaker supply from the northern hemisphere. However, Chinese production picked up again in August and the US dairy industry is starting to recover from the bird flu outbreak. The main factor still limiting global supply is the ongoing outbreak of bluetongue virus in Europe. Westpac NZ has updated its gate milk price forecast for the season, raising it from NZ$8.70 (US$5.3) per kg milk solids [equivalent to NZ$0.72 (US$0.45) per kg milk] to NZ$9.00 (US$5.49) per kg milk solids [equivalent to NZ$0.75 (US$0.46) per kg milk]. This adjustment reflects improving market conditions, as indicated by stronger dairy auction prices. Global dairy prices have shown resilience, with whole and ...