Feed & Additive Magazine Issue 4 May 2021

MARKET REPORT 70 FEED & ADDITIVE MAGAZINE May 2021 The total milk production of the EU (157 million tons), the US (101 million tons), New Zealand (22 million tons), Argentina (11 million tons), and Aus- tralia (9 million tons) was estimated to be 301 million tons in 2020, according to same report. This amount is expected to reach 304 million tons in 2021. The production amount of cow's milk alone in the world in 2020 is approximately 532 million tons as per USDA figures. This amount is expected to ap- proach 540 million tons in 2021. In 2020, the largest share in world cow milk production belongs to EU countries with 157 million tons; but on a country basis, the largest producer is the US with 101 million tons. The USA is followed by India with 93 million tons, China with 33 million tons, Russia with 31 million tons, Brazil with 23 million tons, and New Zealand with 22 million tons. 2020-2029 PROJECTIONS IN MILK PRODUCTION World milk production is expected to increase by 1.6 percent annually between 2020 and 2029 and reach 997 million tons in 2029, according to OECD-FAO report. It is thought that the growth in herds and especially the increase in yield will be effective in the increase in milk production. Factors such as optimization of milk production systems, improved animal health, improved feeding efficien- cy, and better genetics are among the factors of pro- ductivity growth. Again, it is stated by the OECD-FAO report that between 2020 and 2029, India and Pakistan are ex- pected to contribute more than half of the growth in world milk production and provide more than 30 percent of world production by 2029. Production in the European Union, which is the second-largest milk producer, is expected to grow slower than the world average due to environmental constraints and limited domestic demand. An annu- al decrease of 0.6 percent is expected in dairy herds in the region between 2020 and 2029, while an an- nual increase of 1 percent is expected in yield. There are also expectations for an increase in North America, where the average yield per cow is highest. The number of dairy cattle in the US and Canada is expected to remain largely unchanged and the in- crease in production is mainly due to increased yields. As an important milk producer, New Zealand ranks among the top exporting countries of dairy products. However, milk production in the country shows a very modest growth. Countries EU USA India China Russia Brazil New Zealand Mexico Argentina Canada World Total 2018 154,575 98,688 89,800 30,750 30,398 23,745 22,017 12,368 10,837 9,944 519,719 2019 155,200 99,056 92,000 32,000 31,154 24,262 21,896 12,650 10,640 9,903 524,409 2020 157,500 101,015 93,800 33,000 31,650 23,505 22,000 12,750 11,350 9,950 532,245 2021-Dec 158,100 102,648 96,000 34,500 31,800 24,000 22,200 12,900 11,575 9,980 539,533 Source: USDA Cows Milk Production: Summary For Selected Countries 1,000 Metric Tons