News Milk supply
Dutch milk supply at highest level in 5 years
Dutch milk production continues to exceed previous years. The effect of the high payout prices is clearly visible in the rapidly growing supply figures.
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In November, Dutch dairy farmers jointly produced 1.113.476 tons of milk, according to figures from RVO. This is an increase of 4,9% compared to the same month last year. Only in 2017, when the milk supply in the Netherlands was in excess due to the expiration of the quota, the supply was even higher. The average fat content last month was slightly higher than last year at 4,52%.
Supply is increasing
The figures show that the supply in the Netherlands continues to increase. In October growth was 4,6%, a month earlier the month-on-month increase was still below 4%. There has been production growth since June. In the first half of this year, supply was still consistently below last year's level.
The high payment prices can be seen as the driver of the milk increase in the past month. Although the dairy market has been under considerable pressure since the autumn, milk prices remained at a high level in the fourth quarter, in many cases well above €60 per 100 kilos. The first milk price corrections are expected in early 2023.
Cumulative
Cumulatively, the production increase in the first half of this year is 0,68%. From that point of view, production growth in 2022 can still be described as modest. However, production lagged considerably in the first half of this year. Daily production last month was 37.115 tons, compared to 36.769 tons in October. This shows that milk supply is also on the rise again seasonally. This increase will normally work towards a production peak next May.