Feed & Additive Magazine Issue 4 May 2021

MARKET REPORT FEED & ADDITIVE MAGAZINE May 2021 73 WMP exporter, is expected to carry out 5 percent of world exports in this product group by 2029. On the import side; Japan, Russia, Mexico, the Middle East and North African countries will con- tinue to be major net dairy importers. In terms of cheese, for example, the United Kingdom, Russia, Japan, the European Union and Saudi Arabia are projected to be the top five importers in 2029. Chi- na is expected to continue to be the world's larg- est importer of dairy products, especially for WMP. Although China has increased its butter and SMP imports from the European Union in recent years, its main supply is from Oceania. Imports from the Middle East and North Africa are expected to origi- nate primarily by the European Union. The US and Oceania are predicted to be the main suppliers of milk powder exports to South East Asia. PRODUCTIONSYSTEMANDPRODUCTIVITY RELATIONSHIP The data in the OECD-FAO report reveal that the increase in milk yield is highly related to way o f feeding. In countries where grazing-based livestock breeding is carried out, milk production increases are mostly related to the number of herds, while in countries where special feeding is common, produc- tion increases due to productivity. In India and Pakistan, which are among the major producers, and in African countries with growth ex- pectations, animal husbandry is based on grazing and the production is due to the increase in the number of herds. However, growing herd sizes and limited growth in pasture area require intensification of pasture use. Production in the European Union consists of a mix- ture of grass and feed-based production systems. In North America, feed-based production is widespread and although a significant increase in herd numbers is not expected, an increase in productivity is projected. In New Zealand, another major milk producer, milk production is mainly grass-based and yields are significantly lower than in North America and Eu- rope. However, turf management and the efficiency of year-round grazing keep New Zealand competi- tive. Land availability and increasing environmen- tal constraints are seen as the main constraints on growth, but a transition to feed-based production is not expected in the country. MARKET STATUS FOR DAIRY ANIMAL FEEDS According to the 2021 Global Feed Survey pre- pared by Alltech, the production amount in world dairy animal feed is around 128 million tons. The biggest share in dairy animal feed production, where there was no increase between 2019-20, belongs to European countries with approximately 42 million tons. Dairy feed production of European countries decreased by approximately 1.6 million tons (4%) in 2020 compared to the previous year. European countries are followed by North Ameri- can countries with approximately 28 million tons in 2020 and Asia Pacific countries with approximately 23 million tons. While production in North Amer- ica remained at the same level as the previous year, production in the Asia Pacific region increased by 3 percent compared to the previous year. Latin America, which ranks third in world dairy animal feed production with approximately 22 mil- lion tons, was the region that achieved the largest growth (7%) in production in 2020 compared to the previous year. Global Dairy Feed Production Country Africa Asia-Pacific Europe Latin America Middle East North America Oceania TOTAL 2019 5.97 22.85 43.36 19.97 6.59 28.30 1.74 128.77 2020 5.8 23.56 41.82 21.45 6.26 28.30 1.62 128.81 Growth -3% 3% -4% 7% -5% 0% -7% 0% Source: 2021 Global Feed Survey *All numbers are in million metric tons.