mmg.com.au

Northern Victorian milk production has continued to climb, preliminary figures held by Dairy Australia show.

Last week Country News reported the region was ahead of last season’s output by about 11 per cent.

Dairy Australia managing director Ian Halliday said the region was continuing its growth of about 12 per cent on year-to-date figures, with the December increase about 17 per cent.

The Gippsland production figures have been flat due to the poor weather last year, and the state figures are at about four per cent.

Mr Halliday said water had played a part in northern Victoria’s return, with good rain and irrigation water availability make a difference.

‘‘The economy is continuing to improve although for many people there is a residual debt to deal with from the drought,’’ Mr Halliday said.

He said although there were doubts around the Murray-Darling Basin Plan, the region had demonstrated confidence in the future.

Nationally the milk volumes have increased by about 3.5 per cent.

On milk prices, Mr Halliday said Dairy Australia was still holding to its seasonal forecast of between $5.10 and $5.50 kg/milk solids, but was looking at the lower end of the range.

Milk buyer UDP has announced a milk price step up of $0.20kg fat and $0.40kg protein, payable for all premium milk supplied, backdated to January 1, 2012 for its suppliers.

UDP has recently completed the acquisition of the South Australian dairy factories at Murray Bridge and Jervois, previously owned by Lion.

Meanwhile, Dairy Australia’s poll roadshow is being rolled out across this region.

Farmers are being asked to vote on a proposal for a 10 per cent increase in the dairy services levy.

They will be given three options: a 15 per cent increase; the 10 per cent increase; or no increase.

The first in the region will be at Kyabram on Monday, February 13 at 11am and they will continue at Finley, Numurkah, Cobram, Rochester, Kerang, Cohuna and Tatura.

Mr Halliday said dairy poll meetings to date had varying numbers attending, from small groups to the high 20s.

‘‘In New South Wales, some of the issues raises were around extension work because of the spread across the state,’’ he said.

‘‘We are doing a review on how we can better meet those needs.’’

Mr Halliday said there had also been discussions about issues such as animal welfare where Dairy Australia had been active but did not have a high profile.