Growth in the dairy industry is at unprecedentedly high levels.
Export growth for Australian milk is up and expected to keep rising.
But forecasts for dairy prices at the back end of the season are taking a downward turn which will see a fall in dairy incomes.
International dairy consultant, Greg Bethard, says during the good times, farmers need to start planning for the bad.
âWe have really bad times, we have really good times.
âThis happens to be the moment when things are really goodâ he said.
Mr Bethard says farmers in the U.S are producing dairy products at a record surplus which is finding a strong market in exports.
âWeâve never been this high.
âItâs climbed the last four or five years every year, we were 30 percent higher in 2013 than in 2012 and weâre climbing, climbing, climbing.
âItâs our growth area for sure.â
Mr Bethard is in Australia teaching dairy farmers how to maximise profitability from their dairies before, he says, the prices collapse.
âThey will drop but I think we will still be profitable for some time.
âWhere they drop to a point where weâre not making money anymore, itâs hard to tell.
âIt will get there, is it 6 months, a year, two years? Itâs hard to tellâ he said.
While farmers arenât able to predict when the next fall in prices will be, he says they are able to control their sustainability in the future.
âThe history of our industry shows very clearly that when we have times of high price and high profits, sometime in the future they will be followed by a declineâ.
âWe just donât know when that will be.â