Milk production was down 1.2% YOY on a solids basis in March, taking season-to-date production 1.1% ahead of the prior year. Milk intake fell 3.5% YOY on a volume basis with seasonal output trailing 0.2% behind the prior year comparable.

The drop was just short of predictions as NZX forecast March production to fall 1.6% YOY on a solids basis. Drier than normal conditions and irrigation restrictions impacted milk production. Farmers reportedly dried off cows earlier than normal. According to  the NZX pasture growth index pasture growth in the North Island was better than the South Island through March.

NZX expects April milk output to fall 1.1% YOY and May production to be down 5.3% YOY.