Out now: Q2 Dairy Market Insights Report

The Q2 Dairy Market Insight Report (July 2025), produced by independent global dairy analysts Freshagenda, delivers the following analysis on market conditions:

• Global dairy market fundamentals have weakened as high milk prices and good production margins in most exporting regions will likely increase milk output growth in the second half of 2025.
• Shifts in United States (US) fiscal and trade policies, as well as ongoing geopolitical conflicts are adding to uncertainty in the outlook.
• Drought conditions persist in south-eastern Australia in early 2025, while floods have again affected regions in northern NSW, impacting raw milk production.
• Competition for milk supply among processors re-emerged in the lead up to the 2025/26 season, as production slowed. After several step-ups through June, most southern region milk – excluding fresh milk supplies – was priced between $8.95 and $9.15kgMS, about 10% ahead of the closing 2024/25 price.
• Global market trends suggest cautious optimism, with some downside risks due to price competition in the cheese market.
• With input costs continuing to rise, including raw milk prices, dairy processors will need to adopt strategies that preserve financial sustainability while supporting farmgate competitiveness.

More: Milk Value Portal | Market Insights Report