By Olivia Cooper
MILK production has hit target for June, coming in almost 4% above last year, and not far below the peak-production month of May.
The Intervention Boards provisional figures put production at 1.21bn litres, and also increased the May figures by 14.6m litres.
This brings the cumulative production 48m litres ahead of this time last year (or 25m butterfat-adjusted litres).
Quota agent Carver Knowles believes if milk producers continue to exceed last years volume, by 30-35m litres a month, the UK stands a better chance of meeting quota.
But there are many uncertainties in the market, says partner Tony Carver.
“When a scheme becomes available for cull cows, milk production will drop.
“But there are herds lined up in Canada, Holland and Denmark, ready to import as replacements for cattle culled due to foot-and-mouth.”
Leased quota markets have risen by 14% to 0.8ppl at 4% butterfat. According to Mr Carver, there has been a lot more interest, but trade is yet to pick up.
“Sales are still in very short supply, due to the lack of voluntary herd sales, but demand is strong, with 4% butterfat quota selling quickly at 14ppl.”