1、 Dairy:World Markets and Trade U.S.Leads Global Milk Production Growth U.S.milk production is forecast 1.1 percent higher in 2025 as dairy farmers increase herds in advance of expanding processing capacity.U.S.exports were strong during the first 5 months of calendar year 2025 and supported overall

2、demand for U.S.dairy.Competitive prices for U.S.butter and cheese lifted shipments despite weaker demand for skim products,including whey,lactose,and skim milk powder.New Zealand is also expected to boost milk output this year on growth in yields,along with a stable cow herd.New Zealand exports were

3、 also strong during the first half of the year,especially for cheese and butter.Production of butter,cheese,and skim milk powder are forecast higher in 2025,while whole milk powder is unchanged from the previous year.Argentina milk production is also forecast higher in 2025,a rebound from last year

4、when an economic crisis led to a sharp decline in milk production.European Union milk production is forecast to continue declining as environmental regulations and poor profitability,among other factors,pressure the dairy herd lower.With lower milk supplies,strong domestic and international demand w

5、ill support a focus on cheese production at the expense of lower butter and milk powder production.Australia milk production is forecast less than 1 percent lower in 2025 given persistent drought that has increased hay costs and limited suitable pasture in major production regions.Together,global mi

6、lk production by these five major exporters is forecast less than half a percent higher in 2025.-2.0%-1.5%-1.0%-0.5%0.0%0.5%1.0%1.5%2.0%JanMarMayJulSepNovJanMarMayJulSepNovJanMarMayJulSepNovJanMarMay2022202320242025Percent Change in Monthly Average Daily Milk Production for Major Dairy Exporters and