Japan: Dairy and Products Annual

Commodities

Topics

Milk production in Japan is projected to remain flat in 2019 before increasing around 1 percent in 2020 as recovery in the heifer population brings productivity gains. Lower than expected summer temperatures in 2019 reduced consumption of chilled dairy drinks and frozen products, pushing excess volumes of fluid milk to further processing. Butter and nonfat dry milk (NFDM) production is projected to grow 2 percent in 2019 and 2020 on higher milk supplies. Increased NFDM production amid low consumption pushed NFDM stocks to near historic highs in mid-2019, causing the government of Japan to reduce planned imports by 6,000 MT. Cheese production is projected to remain relatively flat in 2019 and 2020 as imports rise to meet growing demand.

Japan: Dairy and Products Annual