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Dairy Market Review: Price and policy update. December 2019

Year of publication 2019

Place of publication Rome, Italy ;

Pages 10p.

Author FAO

Publisher FAO ;

Product type Journal, magazine, bulletin

Edition 1

Synopsis (short abstract) The FAO Dairy Price Index recorded 192 points in October, an increase of 9.8 points (5.4 percent) since January, but 83.4 points (30.3 percent) below its peak reached in February 2014. From January to May, the index value rose by 24 percent, but from June to October, the value dropped by 15 percent. Dairy price increases in the first three months in 2019 primarily stemmed from limited export supplies along with strong internal demand in Europe and seasonally tight export availabilities from Oceania. From April to May, international demand for dairy products remained robust, while export supplies were relatively limited due to drought in Oceania, especially Australia, but also dry weather in Europe during the summer. Since June, dairy prices weakened, reflecting a market optimism over possible increases in export supplies from Oceania, mainly New Zealand, in its 2019/20 production season. Milk production in the North and South America was stable, providing stability to international prices. In Europe, prices weakness stemmed from relative inactivity of dairy markets due to summer holidays. Increased export availability further added to price weakness towards September and October.

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​FAO. 2019. Global Dairy Market: Price and policy update, December, 2019. Rome

Language English

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