Australia: Dairy and Products Annual
Australian milk production is expected to rise slightly in 2016 to 9.8 million metric tonnes, due to higher milk yields and improved seasonal conditions. The size of the dairy herd is comparatively unchanged at 1.7 million. Farm prices for milk and other dairy products are likely to decline further in 2016 as a result of higher world production and reduced demand. Domestic consumption of dairy products in Australia is relatively mature, but is expanding in Asian markets where most exports are directed. A series of recent trade agreements between Australia and countries in this region should facilitate dairy exports.
