Three Pieces of a Global Dairy Turnaround

A DairyLine Radio interview provides an insightful preview to an in-depth USDEC webinar assessing struggling global dairy markets.

Appearing on DairyLine Radio this week, USDEC’s Alan Levitt said at least three pieces need to be in place before we are likely to see a recovery of global dairy markets:

• Milk production has to contract more than it has so far—not just in New Zealand, but in Europe and the United States

• Built-up inventory has to be worked through

• China needs to start buying more seriously again

It will take time for all three pieces of the puzzle to come together.

“I think we’re going to be hard-pressed to see a balance in this market any time soon,” said Levitt, vice president of communications and market analysis.

“I guess if we have a real dramatic El Niño impact, not just in Oceania but worldwide, or if Russia re-opens its borders, then the rebalancing will happen sooner," he said. "But otherwise I think we’re looking at a long, slow recovery.”

The DairyLine interview provided a sneak preview to a more in-depth, one-hour webinar to be aired by USDEC on Tuesday at 2 p.m. ET. Registration is still open.

Marc Beck, USDEC executive vice president, strategy and insights, will join Levitt to examine the drivers and dynamics of current global dairy markets and forecast what may be in store for 2016. More than 600 dairy industry professionals have already registered for the live webinar, which features a Q&A with attendees.

There is still time to register for the webinar here. If you’re busy that day, sign up anyway. You can play back the scheduled broadcast any time you like. But you must register first.

Listen to Levitt's analysis on Dairyline by clicking the arrow below.

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The U.S. Dairy Export Council fosters collaborative industry partnerships with processors, trading companies and others to enhance global demand for U.S. dairy products and ingredients. USDEC is primarily supported by Dairy Management Inc. through the dairy farmer checkoff. How to republish this post.