After months of year-over-year declines in national milk production, Australia recorded 1.8% YOY growth in December milk output—albeit on a low comparable.

Victoria’s milk output rose 1.6% YOY for the month, with year-to-date output trailing 2.4% behind the previous season. Production rose YOY across the state’s regions. In Northern Victoria, output rose +0.9% YOY, and Western Victoria output grew 2.7% YOY. In the state’s Eastern region, output was up 1.1% YOY. Victorian production rose year-over-year for the first time since April 2025. In NSW, output continues to increase, lifting +4.2% YOY with seasonal output +1.9% ahead of the prior year. Tasmanian output rose 3.2% YOY, taking seasonal output 1.8% ahead of the prior year.  

Similarly, Fonterra reported higher milk collections in December, up 6.8% YOY to 11.7m kgMS. The lift was due to favourable weather, cooler temperatures and above average rainfall in Victoria and Tasmania. Seasonal production rose 3.3% to 59.7m kgMS on the prior year comparable.