Farmers in Germany, Poland, France and Ireland will produce 10 billion litres of extra milk between 2015 and 2020. Thats almost double the current output of Ireland - says analyst.

Speaking at the ASA conference in Wateford Mathew Johnson from Rabobanks Food and Agricbusiness research dept - he told the conference output was likely to rise by 7 to 8 percent between 2015 and 2010.

He indicated world demand will be 13 to 14 billion litres of milk and therefore there is room for growth. He indicated that farmers can expect huge volitality in milk prices and that this is already happening. Flexibility will be the name of the game and cost management will play a large roll, he told the large attendance at the conference. 

Future markets include Russia, China, North Africa and former Soviet Union countries. In the maturing domestic market the focus will be on value added products

Higest demand is expected in Infant drink formula, nutrional drinks and health related products, with growth slowing in milk, cheese and butter.

 

 

 Mathew Johnson is a dairy analyst within Rabobank’s Food & Agribusiness Research 

and Advisory Department, based in Utrecht, Holland. He provides insight and analysis 

on dairy trends in Europe to farming and corporate clients. Prior to joining Rabobank in June 2013, 

Matthew spent almost 10 years working in Britain as an analyst with DairyCo, an organisation which provides 

information and knowledge to dairy farmers. He holds an MA in economics from Heriot-Watt University, 

Edinburgh.