Rising production costs, inflation, energy supply disruptions, COVID-19 constraints, labor shortages, political unrest, and related declines in demand… How much can you hear about the same thing, right? Unfortunately, this is again the content of our newsletter because this is still exactly the current global economic situation.
There is undoubtedly movement in the dairy market, although probably not in the direction many would like to see: The vast majority of commodity prices fell last week. There are bittersweet suggestions that this year’s Blue Monday has not lasted the usual one day, but will stretch over an entire month, if not a quarter.
Skimmed Milk Powder
This commodity is under severe price pressure, which is further exacerbated by the decline in gas prices in Europe. However, end users are still not coming down, so this price drop is not seen on store shelves. Skimmed Milk Powder producers keep complaining that they are losing money drying milk at current price levels.
Butter
Europe is currently the cheapest supplier of this commodity. Although in the past this title was attributed to the Oceania region, the situation has changed, and it is now Europe that holds this honorable title. It would have been nice to see similar reductions in our shopping carts, but they have not carried over to the retail sector for now. Have the cuts gone too far? Butter producers are convinced that this is the case. Although the price of Butter has dropped significantly in recent months, there have not been many inquiries about it for now.
Milk Protein Concentrate 85%
Compared to other proteins on the market, Milk Protein Concentrate remains strong. Demand for this commodity continues unabated. It is not a commodity people are feared of or have to liquidate.
Gouda/Edam
We have lived to see very interesting times, in which cheese analogue is more expensive than real milk cheese. Isn’t that strange? Cheese producers are still in a situation where they have to flee from already matured stocks that have to find their place in our refrigerators.
