Situation & Outlook
Dairy Australia's Situation and Outlook report provides expert analysis and unbiased insights on the latest domestic and international dairy market trends.
The latest Dairy Australia Situation and Outlook report indicates that better product returns and tighter milk production support higher farmgate milk prices for the upcoming season. High operating costs will however continue to challenge profitability for the 2025/26 season, particularly if extreme weather conditions in many dairy regions do not improve.
Farm sentiment and investment intentions have changed in response to this season’s challenges, which are expected to contribute to further contraction in the Australian milk pool in the 2025/26 season. Downstream, retail price pressure and global trade uncertainties add to the complexity of the outlook.