UK daily milk deliveries averaged 38.5m litres/day in the fortnight to 16 August – 6.8% higher than the same period last year and 8.3% above the three-year average.
Over the past five years, milk used for manufacturing had accounted for about 47% of the UK’s milk use, said a report by DairyCo. But with growth in the liquid sector forecast to remain stable, the volume of milk used for manufacturing would have to increase to take up the extra production.
See also: EU takes action over Russian import ban
The Russian ban on EU-28 cheese and butter exports was likely to exacerbate the downward trend in global dairy commodity prices, with domestic and European markets already starting to react. “The annual volumes of cheese typically sent to Russia represent a significant proportion of EU-28 total exports, making the job of finding alternative markets challenging,” said the report.
The European Commission had already made €125m (£99.5m) available to support the fruit and vegetable sector and would be meeting this week to consider support for animal products and dairy commodities, with the option of opening private storage aid being discussed.