The U.S. Foreign Ag Service says Australian milk production is expected to decline by four percent this year largely because of farm exits.
In its semi-annual report, the FAS office says labor shortages caused by the pandemic have led to some farms to transitioning to more to beef cattle production as the country experiences record beef prices. Increases in land prices have also encouraged producer exits.
Australian milk prices are at record levels and the FAS says farmer profitability is expected to be good.
