New Zealand: Dairy and Products Semi-annual

  |   Attaché Report (GAIN)   |   NZ2022-0004

New Zealand milk production is forecast to fall in 2022 as a result of continued dry conditions in key producing areas, high feed prices, a smaller dairy herd, and continued labor shortages. Milk production in the first quarter of 2022 was down six percent from the previous year and was the lowest first quarter level since 2013. This decline is despite record farmgate dairy prices. As a result of lower milk supply, New Zealand whole milk powder exports are expected to decline the most of the major processed dairy products, with cheese exports slightly down but both skim milk powder and butter exports expected to be slightly higher.

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