New Zealand Milk Production Update – Jan ’20
Executive Summary New Zealand milk production figures provided by Dairy Companies Association of New Zealand (DCANZ) were recently updated with values spanning through Dec ’19. Highlights from the updated report include:
- New Zealand milk production volumes declined on a YOY basis for the third time in the past four months during Dec ’19, finishing down 0.5%. Production on a milk-solids basis remained higher on a YOY basis for the sixth time in the past seven months, however, finishing up 0.2% YOY.
- Fonterra’s current ’19-’20 farmgate milk price forecast of $7.00-$7.60/kgMS was raised by an average of $0.25/kgMS, or 3.5%, in Dec ’19 and is on pace to reach a six year high at the midpoint of the forecast.
- Dec ’19 New Zealand cow & heifer slaughter rates increased 28.2% YOY when normalizing for slaughter days, finishing higher on a YOY basis for the sixth consecutive month.