Milk

Australian milk production declined approximately 190 million litres, or 2.0%, to 9.54 billion litres in 2015/16 – reflecting both difficult seasonal conditions as well as the sudden price step-downs late in the season. Although seasonal conditions were initially favourable, a dry Spring and delayed Autumn break across much of the southeast increased input costs<br>and constrained production. Consequently, national milk production was already down 1.1% YTD before late season step-downs were announced in April. 

Milk production is concentrated in the temperate zone of Australia. Australian milk production remains strongly seasonal in the key south-eastern dairying regions, reflecting the predominantly pasture-based nature of the industry.

 Milk production peaks in October, tapers off until late-summer, and then flattens out into the cooler winter months. The production of long shelf-life manufactured products in these parts of the country has enabled maximum milk utilisation within the seasonal cycle. However, the seasonality of milk output in Queensland, New South Wales and Western Australia is much less pronounced, due to a greater focus on drinking milk and fresh products in<br>these states. Farmers in these states manage calving and feed systems to ensure more even, year-round milk production. 

Milk production (million litres) by state


NSW VIC QLD SA WA TAS AUST
1979/80 907 3,151 508 329 222 315 5,432
1989/90 879 3,787 629 356 267 344 6,262
1999/00 1,395 6,870 848 713 412 609 10,847








2005/06 1,197 6,651 597 646 377 622 10,089
2006/07 1,104 6,297 537 655 349 641 9,583
2007/08 1,048 6,102 486 606 319 661 9,223
2008/09 1,064 6,135 513 628 340 709 9,388
2009/10 (r) 1,099 5,813 530 605 359 677

9,084

2010/11    
1,087 5,936 487 
572 372  726
9,180 
2011/12 1,135 6,241 487
570  349
792
9,574
2012/13
1,136 6,071 460 536  349
765
9,317
2013/14
1,104 6,166
437
516
340
810
9,372
2014/15
1,160
6,390
411
516 364 891
9,732
2015/16 (p)
1,165
6,186
405
514
387
883
9,539

* From July 2005, data collection based on farm location
Source: Dairy Manufacturers