Quarterly Australian Milk Production Update – May ’18
Executive Summary Australian milk production figures provided by Dairy Australia were recently updated with values spanning through the first half of the ’17-’18 production season. Highlights from the updated report include:
- Australian milk production increased on a YOY basis for the tenth consecutive month during Mar ’18, finishing up 2.5%. Australian milk production finished the ’16-’17 production season down 6.7%, reaching a 20 year low, but has rebounded by 3.4% throughout the first three quarters of the ’17-’18 production season.
- Low farmgate milk prices and poor weather conditions contributed to the Australian dairy cow herd finishing lower for the second consecutive year during 2017, declining by 1.8%. USDA projects the Australian dairy cow herd will rebound by 0.6% throughout 2018 as rising farmgate milk prices are expected to support herd rebuilding.
- Australia is the fourth largest global dairy exporter, accounting for 6.6% of combined butter, cheese, nonfat dry milk and whole milk powder exports throughout 2017. The bulk of Australian dairy exports are in the form of cheese and nonfat dry milk.