Higher EU milk production delaying recovery

RECOVERY in the dairy market will be delayed because the biggest milk producing member states in the EU are increasing milk production.

Irish milk production was 6.73% under quota from March to August, when account is taken of the butterfat content. In sharp contrast, dairy farmers in some EU member states have taken advantage of feedstuff price cuts to offset the lower milk prices by boosting output.

Germany, the EU’s leading milk producer, increased production by 8% for April, May and June, compared to 2008.