Global dairy prices dropped for a fourth consecutive time at a fortnightly auction on Wednesday as production in New Zealand showed signs of a potential turnaround after weak levels earlier in the season.
The world’s top dairy exporter, New Zealand’s Fonterra Co-operative Group Ltd, said on Tuesday that milk production in its home market fell 1 percent in March, pointing to support for global dairy prices.
Fonterra said on Friday its domestic milk production in January had fallen 5 percent year-on-year, which could be seen as a boon for global dairy prices as New Zealand is the world’s largest dairy exporter.
New Zealand, the world’s biggest dairy exporter, will spend more than NZ$880 million ($610 million) in a bid to eradicate the mycoplasma bovis cattle disease, Prime Minister Jacinda Ardern said on Monday.
According to the National Weather Service, farmers in the Midwest and eastern U.S. can expect above-normal precipitation in March, April and May. The Southwest and West are expected to see below-normal precipitation.