New Zealand butter production expected to rise in 2024
Butter exports are forecast to decline modestly
26 August 2024
1 minute read
By: In 2024, butter production in New Zealand is expected to increase to 525,000 tons, slightly above the previous year, according to a recent USDA Dairy World Markets and Trade report.
Relatively stable production is supported by the recent investments in processing facilities focused on producing high-value products such as grass-fed butter. Additionally, New Zealand dairy farmers face economic pressures from high debt servicing costs and fluctuating feed and fertiliser prices, which could affect overall butter output.
New Zealand’s butter exports are forecast to decline modestly to 495,000 tons in 2024. Despite a slight decline in butter exports early in the year, the overall demand for New Zealand butter remains firm, particularly in key markets like China, and the United States.
Anhydrous Milk Fat (AMF) exports are also performing well, with year-to-date exports up 24% from the same period last year, reflecting robust global demand. New Zealand’s strategic shift towards producing and exporting high-value dairy products, including butter and AMF, is expected to continue supporting its trade performance in the global market.
