Why There is Long-Term Optimism for Dairy Sales
While global dairy trade is in a funk and might remain there for a good while, there is reason that long-term prospects remain bright.
The reason: Babies. Over the next 15 years, the United Nation’s Population Division believes world population will grow 1.2 billion, says Mark O’Keefe, vice president of editorial services for the U.S. Dairy Export Council. And only about 36 million of that number will come from the United States, Europe and Oceania. The rest will come from Africa, Asia, Latin America and the Middle East.
These regions are already milk and dairy deficit, so burgeoning populations there will mean greater demand for dairy products and other food. The U.N. is already projecting a 3.7% compound annual growth for dairy trade through 2020.
You can read Mark’s full blog here.