Decreases expected in milk and beef production across the EU in 2023

Overall, the EU dairy herd could shrink by 1%, market experts say, and overall milk production by 0.2%. 

EU milk production remained fairly stable in 2022, albeit with lower milk fat and milk protein content, and so reduced processing availability. 

The negative impacts of Russia's invasion of Ukraine and the ensuing high input costs and food inflation continue to weigh on agricultural markets and consumers' purchasing decisions across the EU.

The current EU macroeconomic forecast is relatively more positive than in autumn 2022, despite uncertainties about energy supply for next winter and recent financial market tensions, according to the latest short-term outlook for agricultural markets published this week by the European Commission.