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This is the first sale of SMP out of intervention since the first product tender in December.
Back then, just 40t of product was sold for between €2,150/t to €2,200/t.
Since then, a series of tender bids have been rejected, with the European Commission refusing to sell stock under a price it deems appropriate. The bids accepted in this week’s tender represented the time bids for product above the intervention buy-in level of €1,698/t in four months.
The Irish Farmers Journal understands that bids of €1,850/t were accepted for the 100t of SMP sold this week.
With 350,000t of SMP still sitting in intervention, these sort of prices put a value on the SMP of approximately €650m.
SMP as a foodstuff has a shelflife of 14 months, after that it must be sold as feed.
Intervention in Ireland
Figures obtained by the Irish Farmers Journal recently confirm that at present there is 37,076t of SMP intervention product in storage in Ireland, representing 10% of all SMP in intervention.
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