New Zealand Milk Production Update – Apr’18
Executive Summary New Zealand milk production figures provided by Dairy Companies Association of New Zealand (DCANZ) were recently updated with values spanning through Mar ’18. Highlights from the updated report include:
- Mar ’18 New Zealand milk production volumes declined on a YOY basis for the fourth consecutive month, finishing down 1.5%. The decline in production volumes occurred despite soil moisture deficits finishing at a record low seasonal value throughout the month of March.
- Fonterra’s ’17-’18 farmgate milk price forecast was raised from $6.40/kgMS to $6.55/kgMS during Mar ’18 on strong global dairy demand. Current farmgate milk prices are 7.0% above ’16-’17 price levels and are on pace to reach a four year high.
- Feb ’18 New Zealand cow & heifer slaughter rates declined 11.6% YOY when normalized for slaughter days, finishing lower on a YOY basis for the first time in the past five months.