World dairy prices below production costs

Published 26 November 10

Milk production costs in the majority of key producing countries were higher than world market prices in 2009 according to latest data from IFCN. Compared to the three year average world market price, IFCN identified that production costs in approximately 40% of milk producing nations were in excess of this. 

Compared to the average production cost level in the EU, the UK and Ireland have a production cost advantage of around US $15/100kg, resulting from milk produced from forage.

For more on this story and other news about dairy markets view our Dairy Market Update.