Oceania Dairy Market Overview
MADISON - Feb 4/16 - SNS -- The USDA published its latest review of dairy market conditions in Australia and New Zealand today.
OCEANIA OVERVIEW: Dairy Australia reports dairy product exports for the July-November 2015 period, 312.3 thousand MT, are up 7.8% from the year ago period. Various dairy product export changes compared to the same period last year are: butter, -32.1%; butter oil, -32.6%; cheddar, +11.0%; SMP, +26.9%; WMP, -0.6% and whey products -36.9%. The total value of exports for the July-November period was up 6.4%. According to Dairy Australia, November 2015 milk production in Australia was 3.4% below November 2014. The state changes from a year earlier are: New South Wales, +1.4%; Victoria, -5.3%; Queensland, +1.7%; South Australia, -1.3%; Western Australia, +1.9% and Tasmania -0.1%. Australia's milk production season to date (July- November) is +0.8%, compared to last season. Welcome recent late January rain in parts of Australia helped boost milk production volumes, with about 2/3 of the season completed. Hay supplies and demand vary. In the northern region, recent widespread rains have helped pasture growth rebound. Wet conditions have slowed bailing and there concerns that continuing wetness may negatively affect hay quality. Rains have reached drought suffering inland areas and provided relief. Fodder demand is high in southern Australia. Contributing factors are lower than average fodder yields and an early end to the season. In Tasmania, the unusual factor of seeking fodder shipments from the mainland to bolster tight supplies is underway. Most hay buyers from South West Victoria to South Australia have adequate hay to last until fall, which has kept prices stable. Western Australia has tight hay supplies with firming prices. Good quality hay crops but poor yields have created this condition. In New Zealand, December milk production as reported by DCANZ was 2.765 million MT, was down 1.6% from December 2014 but up 1.7% from two years ago. Total 2015 milk production was down 1.4% from 2014. December 2015 milksolids reflected a 1.2% decrease compared with December 2014. At the February 2 GDT event #157, average prices ranged from 2.2% lower to 10.4% lower 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, $3,486 -6.6%; butter, $2,905 -8.3%; buttermilk powder, $1,513 -6.7%; cheddar cheese, $2,807 -4.2%; lactose, $577 -2.6; rennet casein, $4,362 -3.7%; skim milk powder, $1,792 -2.2%; sweet whey powder, n.a.; and whole milk powder, $1,952 -10.4%. 0930C Eric.Graf@ams.usda.gov 608.557.7005 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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