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Fonterra's Aust milk production falls

AAP logoAAP 21/12/2016 Trevor Chappell

Production in the 12 months to October was down seven per cent from the same period a year earlier © REUTERS/Nigel Marple/Files Production in the 12 months to October was down seven per cent from the same period a year earlier Australian milk production in October was down 11 per cent from a year earlier because of unfavourable pasture conditions, dairy giant Fonterra says.

Volumes were affected in all large producing states, including Victoria, NSW and Tasmania, as farmers experienced a wet spring, Fonterra said in its latest global dairy update.

Production in the 12 months to October was down seven per cent from the same period a year earlier, it said.

New Zealand and Europe also experienced lower milk production, but US production continued to grow.

Fonterra also said China's dairy imports had rebounded, rising by 15 per cent in October, reversing the previous month's drop.

The increase was largely driven by a 31 per cent jump in imports of infant formula.

China's dairy imports in the 12 months to October were up 26 per cent from the previous 12 months, driven by higher demand for fluid and fresh dairy products, infant formula, whey powder and whole milk powder.

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