Only 40t of SMP sold in first EU intervention stock tender
A tiny fraction of the initial skimmed milk powder (SMP) intervention stock offered for sale by the European Commission has found buyers at acceptable prices.
At a meeting this Thursday, experts from the European Commission and EU member states opened the bids received for the 22,150t of SMP put on the market for the first time since the past year’s milk price crisis.
The expert committee accepted bids for only 40t of SMP at prices ranging between €2,150/t and €2,200/t, a European Commission spokesperson told the Irish Farmers Journal.
Half of the product sold was stored in Germany and the other half in the UK.
ADVERTISEMENT
Lower offers not accepted
“We received offers at much lower prices, which were not accepted,” the spokesperson added.
SMP is currently trading at €2,010/t on average in the EU and €2,470 on the New Zealand-based Global Dairy Trade (GDT) auction platform. The SMP placed into EU intervention was bought at a price of €1,698/t.
European Commission officials have repeatedly stated that they would only accept bids for intervention stocks at prices that would not destabilise markets. Tenders will open again twice a month from January until the 22,110t remaining on offer are sold. This represents just over 6% of the 352,951t currently in storage.
This content is available to digital subscribers and loyalty code users only. Sign in to your account, use the code or subscribe to get unlimited access.
However, if you would like to share the information in this article, you may use the headline, summary and link below:
Title: Only 40t of SMP sold in first EU intervention stock tender
A tiny fraction of the initial skimmed milk powder (SMP) intervention stock offered for sale by the European Commission has found buyers at acceptable prices.
The reader loyalty code gives you full access to the site from when you enter it until the following Wednesday at 9pm. Find your unique code on the back page of Irish Country Living every week.
CODE ACCEPTED
You have full access to the site until next Wednesday at 9pm.
CODE NOT VALID
Please try again or contact support.
At a meeting this Thursday, experts from the European Commission and EU member states opened the bids received for the 22,150t of SMP put on the market for the first time since the past year’s milk price crisis.
The expert committee accepted bids for only 40t of SMP at prices ranging between €2,150/t and €2,200/t, a European Commission spokesperson told the Irish Farmers Journal.
Half of the product sold was stored in Germany and the other half in the UK.
Lower offers not accepted
“We received offers at much lower prices, which were not accepted,” the spokesperson added.
SMP is currently trading at €2,010/t on average in the EU and €2,470 on the New Zealand-based Global Dairy Trade (GDT) auction platform. The SMP placed into EU intervention was bought at a price of €1,698/t.
European Commission officials have repeatedly stated that they would only accept bids for intervention stocks at prices that would not destabilise markets. Tenders will open again twice a month from January until the 22,110t remaining on offer are sold. This represents just over 6% of the 352,951t currently in storage.
If you would like to speak to a member of our team, please call us on 01-4199525.
Link sent to your email address
We have sent an email to your address. Please click on the link in this email to reset your password. If you can't find it in your inbox, please check your spam folder. If you can't find the email, please call us on 01-4199525.
ENTER YOUR LOYALTY CODE:
The reader loyalty code gives you full access to the site from when you enter it until the following Wednesday at 9pm. Find your unique code on the back page of Irish Country Living every week.
SHARING OPTIONS