New Zealand dairy production reaches record high

New Zealand's milk production has set a new record in the 2025/26 season, with more than two billion kilograms of milk solids collected for the first time.

The latest New Zealand Dairy Statistics from DairyNZ and Livestock Improvement Corporation (LIC) show milk solids were up 4.5 percent on the previous season. The country's dairy herds produced close to 22 billion litres of milk (up 3.5 percent), which reflects an improving milk composition.

DairyNZ chief executive Campbell Parker said the results reflected farmers' continued focus on improving on-farm performance and producing high-quality milk.

"Surpassing 2 billion kilograms of milk solids is a significant milestone for New Zealand dairy. It reflects the skill, investment and day-to-day management of farmers, alongside long-term gains in genetics, reproduction, animal health and farm systems.

"The figures show productivity and milk quality moving in the right direction. This matters for the competitiveness and resilience of farm businesses and the wider dairy sector."

Rise of artificial breeding

The data also showed that artificial breeding had reached its highest level in three decades, with almost 85 percent of cows mated through artificial breeding in the season just been.

LIC chief executive David Chin said the results showed farmers recognised the value of data and superior genetics in understanding and improving herd performance.

"Record participation in herd testing and artificial breeding gives farmers more information and more options to accelerate genetic gain," he said, adding it was particularly encouraging.

"The six-week in-calf rate reached a record 70.2 percent across seasonal and split-calving herds, up from 63.5 percent in 2008. Strong fertility supports herd efficiency, while better-quality information helps farmers breed cows that are well suited to New Zealand's pasture-based farming systems."

Meanwhile he said it was a busy time for its artificial breeding technicians who are out working seven days a week inseminating cows - he added they would go through about 100,000 straws of semen a day. Early indications suggested mating was going well and ahead on last year - reflecting good conditions in the North Island, with reproduction efforts just starting in the South Island.

Growth of dairy-beef

Also ahead of last year - beef-on-dairy sales are up approximately 25 percent, as are sales of sexed semen. Chin said with dairy farmers increasingly using technology and collars they are doing more precision mating.

"[There's] more beef going into the bottom genetic merit cows in their herd, increased use of sexed semens on their better cows so they're trying to drive genetic gain as well as get that early calved beef."

On the dairy-beef front, Chin said the global shortage of cattle was helping drive demand and played well into New Zealand's hands - a recent Rabobank report found dairy-beef had a potential value of more than $1.2 billion each year. He said there was still demand for Herefords as well as increasingly Charolais crosses - as the breed's markings make it easier to tell the beef calves apart and the cows are known for their calving ease.

"For the dairy farmer they're after a well-marked, short-gestation, easy-calving animal.

"But as we move those beef-on-dairy animals through the value chain, rearers are looking for healthy calf that kinda gets to 100 kilos really quickly, and when you're putting them out onto the hill country the beef growers and finishers are after a healthy, sturdy animal that gets to high 400 and 600 day carcass weights."

Chin said there had also been strong interest in its new beef genetics, KiwiPrime and Synergizer. While only limited quantities are available this year, both products are tracking well ahead of their official launch in 2027.