# Spotlight on ag production | Country News

> ABARES forecasts Australian milk production to decline marginally in 2025-26 as the dairy herd shrinks by about 2%. The farm gate milk price is forecast to rise 5% to 68.5 cents per litre, and the gross value of agricultural production is forecast to fall 2.8%.

- Date: 2025-06-05 · published 2025-06-05T12:00:00.000Z
- Category: report · region Australia · magnitude low
- Page: https://feedsoft.ai/events/24171-spotlight-on-ag-production-country-news
- Commodities: [Milk (Class III)](https://feedsoft.ai/c/MILK.md)

## Why it matters

Lower Australian milk output tightens dairy supply, supporting prices for dairy products and milk.

## Read by commodity

- MILK: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| MILK | 2021-11-09 | [Production declines could yield $1 bump to milk prices - Brownfield Ag News](https://feedsoft.ai/events/44053-production-declines-could-yield-1-bump-to-milk-prices-brownfield-ag-news.md) | -0.3% | +3.9% |
| MILK | 2016-12-12 | [Milk futures up on lower production estimates - Brownfield Ag News](https://feedsoft.ai/events/73506-milk-futures-up-on-lower-production-estimates-brownfield-ag-news.md) | +1.3% | -2.3% |
| MILK | 2023-08-11 | [USDA projects lower dairy production, some higher prices - Brownfield Ag News](https://feedsoft.ai/events/34590-usda-projects-lower-dairy-production-some-higher-prices-brownfield-ag-news.md) | +0.1% | +7.1% |
| MILK | 2019-09-12 | [Dairy production tempers while prices increase - Brownfield Ag News](https://feedsoft.ai/events/57056-dairy-production-tempers-while-prices-increase-brownfield-ag-news.md) | -0.2% | +2.3% |
| MILK | 2019-03-26 | [Milk production continues to slow](https://feedsoft.ai/events/60104-milk-production-continues-to-slow.md) | +0.1% | +5.8% |

## Sources

- countrynews.com.au: https://www.countrynews.com.au/news/spotlight-on-ag-production/

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.