Oceania Dairy Market Overview

MADISON - Aug 6/15 - SNS -- The USDA published its latest review of dairy market conditions in Australia and New Zealand today.

OCEANIA OVERVIEW:
Heavy milk volumes have lowered milk prices. Farmers in Australia are
looking to decrease input costs as milk prices are projected to remain
low through Q2 2016. Production is up slightly from last year. The
colder weather in New Zealand has slowed production, but has started
to rise slightly. Some dairy products processors are looking to
increase exports as there are some buyers refilling pipelines. Crop
production yields in Australia are expected to be stable to
increasing.
Dairy Australia reports that Australia's milk production season July-
June) is +2.6% compared to last season. The season changes from one
year earlier are: New South Wales, +4.3%; Victoria, +1.9%; Queensland,
-6.4%; South Australia, +0.1%; Western Australia, +6.5%; and Tasmania,
10.1%. Victoria and Tasmania are the primary export producing dairy
states and accounted for 75% of Australia's total milk production in
the 2014-15 season. June 2015 milk production in Australia was 0.1%
above June 2014. The state changes from a year earlier are: New South
Wales, +0.3%; Victoria, -0.4%; Queensland, -7.1%; South Australia,
+1.5%; Western Australia, +14.3% and Tasmania, unchanged.
At the August 4 GDT event #145, average prices ranged from 14.4% lower
to 0.2% higher from the prior event across categories. The all
contracts price averages (US$ per MT) and percent changes from the
previous average are:  anhydrous milk fat, $2,253 -11.7%; butter,
$2,293 -6.1%; buttermilk powder, $1,700 -5.1%; cheddar cheese, $2,663
+0.2%; lactose, $535, no change; rennet casein, $5,289 -2.7%; skim
milk powder, $1,419 -14.4%; and whole milk powder, $1,590 -10.3%.
0930C Tara.Herbst@ams.usda.gov  608.557.7007
USDA/AMS/Dairy Market News, Madison, Wisconsin
Dairy Market News website: http://www.ams.usda.gov/market-news/dairy
Dairy Market News database portal:
http://www.marketnews.usda.gov/mnp/da-home

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STAT News Service