Australia's milk production is set to fall significantly in the 2016-17 season due to the damage caused to farm cashflows and industry confidence after the late cuts to milk prices in April this year.

Farmer-owned cooperative, Livestock Improvement Corporation, made a loss of $4 million in the year to May 31 2016, down from a profit of $13.7 million the previous year.

Dairy farmers will need more time to upgrade milk cooling systems to align them with proposed new regulations.

Venison exporters and Deer Industry NZ (DINZ) are promoting new cuts to chefs to increase returns from the whole deer carcass and to help keep venison on restaurant menus.

New Zealand's second biggest dairy cooperative Westland Milk Products has released a budget for the 2016-17 dairy season of $4.55 - $4.95/kgMS.

Dairy Australia's next 'Situation and Outlook' report will be released on June 1, as a challenging season for many farmers approaches its end.

Fonterra earnings and profit are well up for the first half of this financial year.

Farmers are being warned that low interest rates are going to be a thing of the past.

Weak lamb prices are cutting into sheep and beef farmers' profits this season.

Falling global dairy prices, dry conditions and high input costs are tightening the margins for Australia's dairy farmers and reducing national milk production.