USDA: Oceania Dairy Market Overview Mid April 2021

Report 15 – Released on April 15, 2021

AUSTRALIA:

July 2020 – February 2021 seasonal milk production in Australia, increased 0.9 percent fromJuly – February 2020, according to Dairy Australia. February 2021 milk production, 616.2million liters, decreased 0.8 percent from February 2020. More detailed production data arein the table which follows.

AUSTRALIA MILK PRODUCTION, MILKFAT and PROTEIN

                            July 2020 – February 2021

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

     New South Wales          736.0  +1.4            4.01    3.28
     Victoria               4,081.6  +0.8            4.36    3.41
     Queensland               214.4  -3.0            3.99    3.31
     South Australia          339.1  +1.9            3.95    3.31
     Western Australia        243.6  -1.2            4.07    3.20
     Tasmania                 690.1  +2.3            4.47    3.57
     Australia (Total)      6,304.7  +0.9            4.28*   3.40**

     *  -1.0 percent from prior year period
     ** -0.4 percent from prior year period

Dairy producers lament the difficulty in hiring farm help. Unemployment is called relativelylow and most available workers are in urban areas. Efforts are being considered to allowmore workers for dairy farms to enter Australia from other countries.

January – February 2021 bulk and packaged milk exports from Australia 40,000 MT, increased24.8 percent from January – February 2020, according to CLAL data made available to USDA.The main export destinations January – February 2021, quantities, and percent change fromJanuary – February 2020, were China, 18,366 MT, +84.10 percent; Singapore, 7,743 MT, +1.64percent; and Malaysia, 3,705 MT, -9.61 percent.

NEW ZEALAND:

The current New Zealand milk production season will end on May 31, 2021. Many observersproject that the season will yield about 1 percent to 1.5 percent more milk than lastseason. Weather forecasters are suggesting near average temperatures through the season foreast coastal areas of both islands and the northern areas of the South Island. For the restof New Zealand there is potrential for higher than average temperatures.

A dairy strategic partnership has been announced by the New Zealand Exchange (NZX) with theSingapore Exchange (SGX). NZX will delist a suite of dairy derivatives then list them on theSGX. The goal is to expand growth and liquidity of dairy derivative markets and riskmanagement within Asia.

It was announced this week that New Zealand will ban live animal exports by sea. This isexpected to slow movements of dairy cows to other countries by sea.

Information for the period April 5 - 16, 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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