Report 7 – Released on February 18, 2021

AUSTRALIA:

July – December 2020 seasonal milk production in Australia, increased 0.7 percent from July- December 2019, according to Dairy Australia. December 2020 milk production, 846 millionliters, decreased 2.0 percent from December 2019. Calendar year 2020 milk productionincreased 2.8 percent from calendar year 2019. More detailed production data are in thetable which follows.

  AUSTRALIA MILK PRODUCTION, MILKFAT and PROTEIN

                            July – December 2020

                            Million Percent Change   Percentage
     State                  Liters  From 1 Year Ago  Milkfat Protein

     New South Wales          561.7  +1.2            3.95    3.22
     Victoria               3,236.6  +0.6            4.12    3.35
     Queensland               164.8  -3.8            3.90    3.25
     South Australia          261.4  +3.0            3.84    3.22
     Western Australia        189.5  -0.3            3.89    3.21
     Tasmania                 505.9  +2.0            4.24    3.45
     Australia (Total)      4,920.0  +0.7            4.09*   3.34**

     *  +0.3 percent from prior year period
     ** -1.8 percent from prior year period

NEW ZEALAND:

The New Zealand dairy industry has recently increased efforts to export fluid packaged milkto China, along the model of Germany which has already developed a robust exportrelationship with China. This upends the expectation that dairy exports are typicallymanufactured dairy products.

While China continues to make efforts to increase dairy production internally, the demand inChina for fluid milk has expanded. New Zealand dairy observers believe that China is open toincreasing fluid milk imports from New Zealand to supplement other existing milk sources.The profitability of exporting fluid milk for New Zealand dairy producers is veryattractive.

Information for the period February 8 - 19, 2021, 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
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