Australia is producing more cheese than it did 12 months ago but less milk is being turned into powder.
And dairyfarmers are continuing to produce more milk.
The latest manufacturing figures released by Dairy Australia show that up to the end of August, cheese production lifted 6.1% compared with the same time last year.
Increases were also recorded in production of butteroil (up 23.8%) and buttermilk powder (up 6.9%).
But decreases were recorded in whole milk powder (down 26.2%), butter (down 9%), whey powder (down -10.2%) and skim milk powder (down 0.3%).
Milk production figures to the end of September show production across Australia lifted 2.8%.
But the average revealed big variations with Tasmanian production up 12.5%, while Queensland production fell 7%.
NSW (up 3.3%), Victoria (up 3.1%) and Western Australia (up 2.9%) also showed increases, while South Australian was down 2.8%.
The Victorian average figures hid a regional variation with Western Victorian production down 0.5% while Gippsland (up 5.9%) and Northern Victoria (up 4.9%) showed big increases.
Source: The Australian Dairyfarmer