The USDA is forecasting lower dairy export numbers for 2017. The demand for dairy products on a global scale has not diminished. So, why are the numbers going down? Several reasons: China is increasingly becoming more developed with their own dairy and dairy products development and expansion and their economy is cooling off.
On the other hand, New Zealand and Australia can produce and ship products with more competitive prices, primarily because of geography.
Mexico on the other hand is sourcing other avenues for their dairy products because of the uncertainty of the US’s trading position.
However, the global economy is on an upswing, so there are reasons to be positive.
This article, USDA Forecast for Dairy Export Value Declines, will get to specifics
Bob Wolter, Business Intermediary