Global milk production is forecast to grow next year according to the most recent forecasts from the five largest producing regions.
The growth, expected to be around 1 percent, would bring global milk production to 292.5 billion litres, the UK's AHDB says.
This is 2.9 billion litres higher than the figure estimated for 2019 production.
The estimation takes into account the expected reduction in milk production growth for Australia.
A recent USDA report estimates Australia’s production for the 2020 year to be lower than anticipated in September by the Australian government.
Continued challenges of drought, fires and high costs of water and feed are hampering any recovery in Australia.
The production forecast for New Zealand is flat as the country is unlikely to surpass the last seasons’ record production.
Increased global demand for dairy products is expected to continue, with the UN's Food and Agriculture Organisation (FAO) predictions at 2.1% per annum for fresh products and 1.5% per annum for processed products.
As such, global dairy product prices are expected to remain fairly firm for the first half of 2020, as the production increase is relatively small.