Title: SELECTED RESULTS OF THE IFCN DAIRY NETWORK MILK PRICES AND COSTS OF MILK PRODUCTION IN 2003
Author(s): Hemme, T. + Deeken, E.
Organisation: Institute of Farm Economics, Federal Agricultural Research Centre FAL
Country: Germany
Within the IFCN Dairy Network milk prices and costs of milk production have been analysed
from 31 countries for the year 2003. A wide diversity of milk prices between the countries
could be observed with > 35 US-$/100 kg milk in Switzerland, Norway and Canada and <
15 US-$ in Argentina and Pakistan. Costs of milk production differ significantly between the
countries, and within the countries as well. The highest costs of milk production (50 – 60 US-
$/100 kg milk) are found in Switzerland and on average sized farms in the EU, the lowest costs
in Argentina (10 – 15 US-$). For the future, a “world market price for milk,“ which was around
15 – 20 US-$/100 kg milk in 2003, is expected to be higher and might end at around 28 US-$.
Keywords: Milk production, international competitiveness, International Farm Comparison
Network.