IFCN predict good times ahead

Published 3 October 16

According to the International Farm Comparison Network (IFCN), the outlook for dairy markets over the next decade appears favourable. Globally milk demand is expected to grow by approximately 20bn litres/year until 2025.

The key driver for this growth is expected to come from a larger population (nearly 1bn more consumers over the decade), but also an increase in milk consumption per capita. IFCN predict annual consumption per capita to increase by 13kg of “milk equivalents”*, or about 12%, during the same period. This is provided that consumers still have positive preferences for milk and the political and economic situation is stable. In addition, IFCN’s ten year outlook estimates a world farmgate milk price of around 30ppl, with growth in milk production coming from fewer and larger farms.

*IFCN consumption figures are quoted in milk equivalents, which include fat and protein only. This is to allow global comparisons to be made between milk containing different percentages of solids.