MILK PRODUCTION
AUSTRALIAN milk production is generally stable with recent weeks, weather conditions are tracking at dryer than normal patterns and supplemental watering and irrigation are being utilized to compensate for rainfall shortages and to keep pastures and crops in decent shape. High milk prices allow farmers to offset input costs. Milk production in NEW ZEALAND remains well above year ago but the trend is being tempered by dry conditions on the North Island. Due to dry conditions some dairy farmers are drying off herds whereas others are utilizing higher milk prices to offset higher production costs of buying supplemental feed. Forecasted milk price for the current season was NZ$8.65/kilogram of milk solids which is a new record high price.
- New Zealand *: +5,71 % (Jun 13 – Jan 14 vs. Jun 12 – Jan 13)
- Australia *: -2,16 % (Jul 13 – Jan 14 vs. Jul 12 – Jan 13)
BUTTER (82%): higher prices; limited offerings into the export market and new export business; some buyers look to secure more AMF offerings than butter 82% due to better prices.
CHEDDAR CHEESE: steady to lower prices; light production; supplies adequate to service domestic needs and export orders; better cheese availability from the US and Europe is creating more challenges to service international customers.
SMP: steady prices; unsettled market; competition with offerings from the US and Europe are in marketplace, yet those are not much impacting Oceania pricing; good demand thank you to the interest from infant formula and nutraceutical manufacturers.
WMP: sharply lower prices; uneven demand; producers are attempting to keep milk flowing to production plants to make WMP to fill established orders and to have product on hold for future needs.
The largest export categories are SMP and WMP thank you to the global good demand, in particular from China. As holdings of dairy products are trending lower seasonally, the product mix is shifted to products of greatest needs and those needed to maintain carryover stocks.
Note: · Assessments about market trend are expressed in US$; · * Dairy season: July, 1st – June, 30th (Australia), June, 1st – May, 31st (New Zealand)
Source: USDA 3 – 14 March, 2014
CLAL.it – Comparison among the Cheese Prices in Germany, USA and Oceania
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Degree in Economics with focus in Marketing and Sales, she belongs to the CLAL.it Team. The CLAL.it Team is composed of young people who, with the help of Computer Science, study the dairy market and develop tools to provide the Operators of the dairy sector with a comprehensive real-time view of the Italian and international market trends.
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