Report 51 – Released on December 19, 2019

AUSTRALIA:

There is a general consensus among professionals in the dairy industry that higher milk pay prices are being edged by weaker retail and food service dairy demand related to consumer price resistance. Another factor is higher input costs, such as feed and water. Ongoing drought is pushing irrigation costs higher. The result is continuing disappointing margins for some Australian dairy producers. Dairying in southern Australia has been better than some other regions, such as northern Australia. High heat records were broken this week in Victoria. Melbourne record temperatures were into the 100 s Fahrenheit. Current milk supplies are being impacted by current extreme weather conditions.

NEW ZEALAND:

Heavy rains have led to flood waters in some South Island dairy areas. Impacts included rivers cutting into farmland, silt accumulation, damaged paddocks, and power outages. Some bridges and roads were also flooded, stopping some milk collection. In areas where rain was not excessive, it was a welcome development in terms of keeping good pasture growth. Some dairy manufacturing plants continue to maintain extended schedules to accommodate milk intakes, even as the seasonal peak has passed.

 Information for the period December 9 - 20, 2019, issued biweekly

     Published by:
     Dairy Market News - Madison, WI
     Eric Graf, 608.422.8590
     Email: Eric.Graf@usda.gov

     Additional Dairy Market News Information:
     Dairy Market News (DMN) by Phone: (608)422-8602
     DMN Website: https://www.ams.usda.gov/market-news/dairy
     DMN MARS (My Market News): https://mymarketnews.ams.usda.gov