With most trading in Europe at a standstill due to the peak of the summer holiday period, there is not much variation in the dairy market scene within Europe.
The trend is generally downwards, with €20/t coming off the price of butter and whole milk powder (WMP) plus €35/t coming off the price of cheddar cheese.
It is only skim milk powder (SMP) that registered a price increase and that was at the minimum of €5/t.
Realistically, it will be in early to mid-September before we get a real indication of the health of the market in Europe.
A lot will depend on the level of production from Germany, France and Netherlands in July and August.
We know that supplies in Ireland are holding up remarkably well. But up to the end of May, supplies in Europe were down by almost 1%. If that was to continue, then you’d say all the pressure will be on prices to stay up.
There was also good news from the latest Global Dairy Trade (GDT) auction, with the index increasing by just 0.7%. The main movers were WMP increasing by 2.1% and SMP increasing by 0.4%. The volume of product traded was also significant with over 37,000t traded, which is up from just over 24,000t at the last auction. Given the increase in the price for WMP and given the volume traded, it’s a good result all things considered.
Butter did take a bit of a hit at the GDT, dropping in price by 3.8% to reach €6,238/t, which is €777/t behind the European price at present. Cheddar fell by 0.6% at the GDT.
With most trading in Europe at a standstill due to the peak of the summer holiday period, there is not much variation in the dairy market scene within Europe.
The trend is generally downwards, with €20/t coming off the price of butter and whole milk powder (WMP) plus €35/t coming off the price of cheddar cheese.
It is only skim milk powder (SMP) that registered a price increase and that was at the minimum of €5/t.
Realistically, it will be in early to mid-September before we get a real indication of the health of the market in Europe.
A lot will depend on the level of production from Germany, France and Netherlands in July and August.
We know that supplies in Ireland are holding up remarkably well. But up to the end of May, supplies in Europe were down by almost 1%. If that was to continue, then you’d say all the pressure will be on prices to stay up.
There was also good news from the latest Global Dairy Trade (GDT) auction, with the index increasing by just 0.7%. The main movers were WMP increasing by 2.1% and SMP increasing by 0.4%. The volume of product traded was also significant with over 37,000t traded, which is up from just over 24,000t at the last auction. Given the increase in the price for WMP and given the volume traded, it’s a good result all things considered.
Butter did take a bit of a hit at the GDT, dropping in price by 3.8% to reach €6,238/t, which is €777/t behind the European price at present. Cheddar fell by 0.6% at the GDT.
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