EDA reports bi-lateral 2013 for European dairy

The first edition of the European Dairy Association’s annual report notes that 2013 was a year of two parts. The first half was characterised by lower milk deliveries and decrease in margins for milk producers caused by high feed costs and an exceptionally cold and long winter. The second half saw marked improvements, withy profitability of milk production increasing with higher pay-outs for dairies and dropping feed costs.

Overall, the number of cows increased in 2013, particularly in the Netherlands, Germany, Ireland and France. Demand for dairy products is improving worldwide, the report says, and Europe is set to be a key supplier: “It seems evident that significant increase in demand could only be expected from outside the EU. The traditional big players on the demand side outside the EU, Russia and Chinam have increased their imports of European milk powder, even in spite of Russian restrictions imposed on European companies.” Exports opportunities for milk protein might be more favourable than for butter, the report says.

Predictions are for 2.1 million tons of additional European milk to be added to current supplies, an increase of 1.5%. The report also provided details of bilateral trade agreements, and the status of countries interacting with the EU, such as Ukraine, India, Iceland and Canada. For further information, please visit www.euromilk.org