Well, all the people who are at least a little bit interested in dairy products are just talking about one thing. Okay, maybe people do not (after all, they are busy with their business), but the Internet certainly does. Yes, we mean 'super cows,’ of course. If you do not know what that’s all about, read on – the main body of the newsletter traditionally has all the information you need. The only thing we wonder about this issue is whether it was more of a challenge to clone the cows or to sew such large capes to size, after all.
Joking aside, all eyes are indeed on China, and not just because of the cloning games. With the recent relaxation of COVID restrictions and the opening up to imports and exports, the activities of Chinese buyers are of even greater interest worldwide. Some predict that Chinese buyers will return to intense market activity as early as this week or next.
At a similar time, many expect dairy commodity prices to stabilize or even rise. Some prices have already shown an upward trend or at least widened their ranges in the past week. Details of the main developments and changes in the market can be found below.
Skimmed Milk Powder
Last week, we saw an increase in the raw milk sector, which affected the Skimmed Milk Powder price. Many buyers, after seeing the upward trend in the liquid sector, have rushed for their spot fills in the SMP product. The increase was not that big compared to its decrease, but the quarterly upward trend was also positive in the futures market.
Butter
Recently, the demand for fats has been quite high, and the daily price has steadily increased by 100 euros per ton. Buyers are still looking for the cheap remaining stocks on the market. However, this is hardly possible as long as sellers keep prices in the upward trend.
Full Cream Milk Powder
So far, the product of Full Cream Milk Powder has remained stable with its lack of sales to the export sector, as there is sufficient quantity of the product in the market. There is a demand for the product in Europe, but it is not as high as we would expect. And we believe that the product is priced at the right place in the current market.
Gouda/Edam
Many offers for the cheaper cheeses that were available in recent weeks have suddenly disappeared from the market. We do not see huge sentiment in an increase, but since milk prices have risen dramatically, we may see such a trend in cheese in the near future.
Cream
Another week in which Cream has strengthened slightly. At the beginning of the week, prices were at 4700 EUR/MT. With each passing day, the demand for Cream increased throughout Europe, which was reflected in higher prices. The rising Butter prices prompted purchases of larger quantities of Cream.
