MILK intake at Bega Cheese has remained stable, despite suppliers battling with on-going drought conditions.
Bega Cheese chairman Barry Irvin said suppliers had not let milk production slip, even though many had relied on bought-in feed for their milking herds, and in some cases young stock as well.
"The guys have done a fantastic job," he said. "Our milk production has been stable for the past five years."
Bega Cheese had a record manufacturing year last year and suppliers continued to keep the milk up to the factory.
However, Mr Irvin said the region - in the southeast corner of NSW - had recently seen the first dairy closures as a result of the "green" drought with long-term, established suppliers forced to fold.
He said one fifth-generation dairy farmer had recently sold all their cows as buying in feed became too difficult.
He described the suppliers as "dynamic" and "robust" and said they were doing their best in a new climate.
The Bega region's essential coastal storms have not arrived this year.
On September 10, Federal Agriculture Minister Tony Burke announced Exceptional Circumstances funding for the Bega Valley area, until April 30, 2011.
While this announcement was welcomed by farmers in the area, it also caused heartache. The only area to be granted the status was the Bega Valley Shire, including the towns and outlying areas of Cobargo, Bemboka, Bega and Candelo.
Those outside the EC borders, including towns in the Eurobodalla, Cooma-Monaro and Bombala shires have been left to battle the dry conditions without the payment and interest-rate subsidy lifeline.
Mr Irvin said he could understand why farmers were disappointed with the "line in the sand" theory.
"I don't think there is a farmer in the Bega Valley that doesn't feel extreme pressure by the circumstances they now find themselves in," he said.
"We got no autumn, got a (mild) winter which gave some promise of an early spring, but that didn't come."
