Milk production was flat year-on-year in March, with season-to-date production trailing 0.1% YOY according to Dairy Australia.

Drought and dry conditions continue to impact production Victoria and South Australia. Production in Victoria declined 0.5% YOY for the month, weighed by a 3.4% fall in western Victorian output. Milk output in the state’s north and Gippsland lifted, 1.2% and 0.6% respectively. NSW production was + 3.4% YOY in March, with season-to-date output up 3.3% on the prior year. Tasmanian milk intake rose 1.4% YOY, rising for the first time since June 2024, however, season-to-date production remains 3.1% behind the prior season.

Meanwhile, Fonterra Australia milk intake was up 2% in March. Favourable weather in northern Victoria partly offset dry conditions in western Victoria and Tasmania.