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Decline in Dutch milk production rapidly increasing

August 13, 2024 - Wouter Baan

The decline in the Dutch milk supply compared to last year is increasing. In recent months, the gap has widened by almost one percentage point each time. This trend is once again evident in July. Bluetongue seems to play a role in this.

The Dutch milk collection in July amounted to 1,148,430 tons, according to RVO data. This is a decrease of 3.15% compared to the same month last year. The negative difference continues to grow. In June, a decrease of 2.2% was observed, while in May, 1.58% less milk was produced. The production is also falling further below the five-year average.

Not market-related, but bluetongue
The decline cannot be attributed to market conditions. Milk prices continue to rise and are on track to exceed the €50 mark. Including premiums for grazing, this level can often be reached. Additionally, feed prices have eased considerably in recent months and have not played a limiting role.

The high manure disposal costs likely have a restraining effect on Dutch milk production. The numerous bluetongue outbreaks are likely affecting the supply. More than 2,000 farms have tested positive, with a relatively high number of outbreaks reported in East Netherlands. Aalten in the Achterhoek region stands out with 43 reports. Sheep farms, as well as dairy farms, are vulnerable to the virus. Apart from causing animal deaths, it also leads to a significant decrease in milk yield.


Wouter Baan

Wouter Baan is the editor-in-chief of Farmerbusiness and a market specialist in dairy, pork, and meat at DCA Market Intelligence. He also tracks developments within the agribusiness sector and conducts interviews with CEOs and policymakers.
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