NEWS from OCEANIA: dairy market n° 11/2013
(27 May-7 June 2013) source: USDA
New Zealand milk production is slowing as the calendar enters the winter season with output levels below a year ago. Pasture conditions are expected to improve with reseeding growth developing. Farmers are optimistic for the next season due to the higher milk payments which are the result of recent higher prices of finished dairy products.
Australian milk production trends remain below a year ago level. Next season's pastures and crops benefit from recent rainfall. Recent currency devaluations would factor into allowing for increased milk pricing.
- New Zealand *: +2,67 % (Jun 12 - Mar 13 vs. Jun 11 - Mar 12)
- Australia *: -2,29 % (Jul 12 - Apr 13 vs. Jul 11 - Apr 12)
BUTTER (82%): lower prices from the past period; weak undertone; slow market activity and international demand; limited butter output.
CHEDDAR CHEESE: unsettled market undertone; stable production; shipments are moving on schedule.
SMP: lower prices from the April highs; tight SMP supplies from Oceania sources, but offerings are available from other supplying countries; slow market activity; light stocks.
WMP: further lower prices; low buyer interest and slow market activity; other countries are supplying WMP needs.
Domestic dairy product production and demand are stable with prices lower than recent high levels. Offerings volumes from Oceania sources are light.
Note: · Assessments about market trend are expressed in US$;
· * Dairy season: July, 1st - June, 30th (Australia), June, 1st - May, 31st (New Zealand)