27 Sep 2016

European milk production drops

7:24 am on 27 September 2016

There's been a small decline in European milk production for the first time since early 2015.

Dairy cow.

European milk production has declined two percent in the year to June. Photo: SUPPLIED

Fonterra's Global Dairy Update says European milk production fell by two percent in June compared to June the year before.

Fonterra's analysis attributed that to increased culling, poor weather and less supplementary feed being used in Europe.

The UK was down seven percent, France three percent and Germany one percent.

However, over the entire 12 months to June, European milk production rose four percent.

In the same period, New Zealand's milk production fell two percent and Australia's was down one percent.

Fonterra forecasts it will collect three percent less milk in the 2016/17 season in New Zealand than it did last season.

In August, Fonterra collected 96 million kilograms of milk solids in New Zealand - down five percent on August 2015.

Milk flows are well down in Australia - in July milk production was down 10 percent on the July 2105.