27 October 2009 - Argentinean milk production is predicted to reach 10.3 million tons in 2010, a US government report has said.
Producers are expecting better returns and improved weather conditions following a severe drought in the country in 2008-2009.
The report stated that in 2009 producers had to buy large volumes of feed due to the drought but with the recovery of pastures production costs are expected to drop in 2010.
Milk consumption is expected to remain stable in 2010 with exports expected to grow moderately due to higher projected milk output. Surplus milk will be primarily processed into dry whole milk and will remain Argentina’s largest dairy export, the report said.