Shifts In Global Dairy Trade Dynamics
Recent years have seen shifts in global dairy trade in terms of both origin and destination. The 2009 edition of the Rabobank World Dairy Map launched today shows a dairy trade landscape that has changed considerably since 2005.
The map shows international dairy trade flows, examining milk production figures, export destinations, consumption and processor consolidation.
US gains
For 2008, the US emerged as the number three dairy exporter in the world after the EU and New Zealand, with a volume share of 13 percent of global trade, explained Rabobank dairy analyst Mark Voorbergen. In 2005, the volume share was still just 8 percent.
Voorbergen added that only time will tell whether the US has established itself as a leading dairy exporter.
While becoming a sizeable exporter, the US also remains a large destination market for imports and the main destination for casein trade. New Zealand is the main supplier of casein into the US.
Venezuelan import market grows
In a surprising development, Venezuela is shown to be one of the leading dairy importers in the world, claiming the number two position just behind Russia.
It is interesting to see how strongly political factors like government social programmes can influence the import side, Voorbergen said. Hugo Chavez, the countrys president, is a great advocate of social programmes aimed at feeding the population. With stocks of milk powder building up in the country, 2009 imports have been less impressive, but this will likely be a temporary dip.
Impressive amounts of whole milk powder (WMP) from New Zealand, Brazil, Argentina, the EU and China have been exported to the country. Venezuelas dairy imports have more than trebled from 0.8 million tonnes of milk equivalents in 2005 to 2.7 million tonnes of milk equivalents in 2008.
Europe dominates consumption charts
European countries are still riding high in per capita consumption charts in all dairy products. Western Europes lead in consumption levels is insurmountable. This leaves most of the rest of the world with only the possibility of moving closer to, but not reaching, the levels seen in western Europe.