New Zealand Milk Production Update – Jul ’20
Executive Summary New Zealand milk production figures provided by Dairy Companies Association of New Zealand (DCANZ) were recently updated with values spanning through Jun ’20. Highlights from the updated report include:
- New Zealand milk production volumes declined to a 12 month low level but remained at a record high seasonal level for the second consecutive month during Jun ’20, finishing up 1.8%. New Zealand milk production volume typically reach seasonal low levels throughout the month of June.
- Fonterra announced an opening ’20-’21 farmgate milk price forecast of $5.40-$6.90/kgMS during May ’20, with the wide range reflecting the heightened uncertainty surrounding the COVID-19 outlook. The ’20-’21 farmgate milk price forecast was revised $0.50/kgMS higher on the low end of the range during Jul ’20 while remaining unchanged on the high end of the price range.
- New Zealand cow & heifer slaughter rates increased 7.0% on a YOY basis during Jun ’20 when normalizing for slaughter days, reaching the highest seasonal figure on record.