2 Sept – Milk output in Australia fell 5.6% in the last financial year to the end of June to 9.68 billion litres.
The figures represent a drop of almost 9% compared to output in 2005/06, Australian authorities confirmed. Australia is a major global dairy products exporter.
Continuing dry weather in 2007 saw farmers cut herd sizes leading to an 8% drop in the number of cows milked.
However, farmgate prices rose 48% in 2007/08, boosting the financial performance of dairy enterprises, said the Australian Bureau of Agricultural and Resource Economics (ABARE). These prices are forecast to remain high in the face of tight global supplies allied with strong demand over the next two years.
Thanks to strong prices ABARE predicted the value of 2007/08 dairy exports would remain stable at A$2.7 billion.