Growth of global milk supplies slowing

Published 19 June 18

Global supplies of milk are higher in April compared to last year, with average daily deliveries from the key regions reaching an all-time high of 816m litres per day. This is 1.7% higher than in April 2017, providing an additional 402m litres globally, or 13m litres more per day on average.

All of the key supplying regions saw a step-up in average daily deliveries in April, with most recording relatively stable annual growth through the first four months of 2018. New Zealand saw growth for the first time in the year. Milk prices have been relatively stable in 2018 so far, so the improvement is likely down to a recovery in pasture conditions.

In the EU and the US, production has grown in each month this year, although the rate of growth in average daily deliveries has been slowing down. While the poor spring weather affected growth in the EU during March and April, relatively poor milk prices in both regions are also likely to have limited production growth. In April, the average farmgate milk price in the US was 8% lower than at the start of the year, while it had dropped by 13% in the EU.

Global Milk Supply Growth