Just like New Zealand dairy farmers, European dairy farmers are also feeling the heat. I received an update on the state of farming in the EU recently. The world wide dairy down turn is hurting everyone. Swedish and Danish farmers are also losing money and if prices stay low, estimates are that 25% of European dairy farmers will stop production.
In New Zealand however, we run a low cost, grass feed system and can survive where our international competitors struggle. It won’t take much of a swing to change the dairy landscape, especially when you consider the volumes produced outside of New Zealand.
John Barber