Milk supply down 7,3% on last year

The total milk supply during the first half of 2016 was 7,3% lower than during the same period in 2015. According to MPO economist Dr Koos Coetzee this decrease was caused by a 4,9% lower supply from producers, as well as a 30% decrease in imports on a milk equivalent basis. The total supply is now only 15 million litres more than the total supply in the first half of 2014.

In June 2016 5 902 t of dairy products were imported, 22% less than in June 2015. UHT milk imports amounted to 1,26 million litres. Exports in June 2016 amounted to 14 250 t, marginally down on 2015. Total exports during the first half of 2016 were at 175 million litres milk equivalent, slightly lower than during the first half of 2015.

According to MPO economist Dr Koos Coetzee, the supply situation will not improve before spring as the milk:feed price ratio remains unfavourable and farmers are still suffering from the effects of the 2015/2016 drought.

Published on Mon, 8th Aug 2016 - 08:08

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