European dairy market: SMP prices rise, WPC80 continues to fall, butter rebounds slightly on the spot market [Foodcom DAIRY Newsletter, Issue 324]

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At the end of October, SMP prices continue to rise, albeit at a slightly slower pace than before. Availability in the near term is limited, and buyers remain interested in volumes for Q4 and 2027. WMP prices remain stable. Following recent declines, some buyers have returned to the butter market, and spot prices have rebounded slightly. Cream prices are also rising, though high inventories continue to weigh on the milk fat market.

There have been no major changes in the cheese market. Gouda, Cheddar, and Mozzarella are holding their prices, while the upper limit of the price range for Emmental has shifted higher. WPC80 continues to fall in price, and buyers are holding off on purchases. WPI is falling much more slowly, the rise in MPC85 prices has stalled, and SWP for food use remains at a strong level.

Milk Powder

Whole milk powder (WMP) is being offered in Europe in the range of 3,900–3,950 EUR/MT. Stronger SMP prices and weaker milk fat prices are pulling in opposite directions, which is why WMP remains close to current levels. Producers are manufacturing it primarily to fulfill confirmed orders.

Skim milk powder (SMP) for food use is priced at 3,700–3,800 EUR/MT in Europe, while feed-grade SMP is priced at 3,650–3,700 EUR/MT. Forecasts for Q4 are around 3,700–3,800 EUR/MT. Near-term availability is limited, and buyers remain interested in deliveries for both Q4 and 2027. Prices continue to rise, although the pace of growth has slowed slightly.

Cheddar

Gouda is being offered in Europe in the range of 3,550–3,600 EUR/MT, while indications for Q4 are around 3,600–3,650 EUR/MT. Trading is stable, and prices remain firm, having changed little from the previous week.

Edam is priced at 3,550–3,600 EUR/MT.

Cheddar cheese is offered in Europe in the range of 3,750–3,850 EUR/MT, and Q4 indications fall within the same range. Prices are firm, and offers continue to hold at similar levels.

Mozzarella is priced at 3,500–3,550 EUR/MT in Europe, while Q4 indications are around 3,500–3,600 EUR/MT. Prices remain stable.

Grating-grade Emmental is offered in Europe in the range of 3,600–3,750 EUR/MT. The upper price limit has risen, though cheaper offers can still be found on the spot market.

Fats

Butter is being offered in Europe in the range of 3,650–3,800 EUR/MT, while indications for Q4 are around 3,650–3,750 EUR/MT. Following earlier declines, some buyers have resumed purchasing at lower prices, and spot prices have risen slightly. However, inventories remain high, and demand remains relatively weak.

Liquids

Cream is being offered in Western Europe in the range of 4,700–4,850 EUR/MT. Prices have risen again as November and December approach.

Spot raw milk is trading in Western Europe at around 43–46 EUR/100 kg. Prices are firm across the region, and milk deliveries to processing plants in Europe continue to decline.

Skim milk concentrate (SMC) is being offered in Western Europe in the range of 3,350–3,500 EUR/MT. Price variation across the region is wider this week.

Whey concentrate is priced at 1,450–1,550 EUR/MT. The price range has shifted lower compared to last week.

Whey and Proteins

Sweet whey powder (SWP) for food-grade use is offered in Europe in the range of 2,000–2,100 EUR/MT, while feed-grade material costs 1,650–1,700 EUR/MT. In Eastern Europe, SWP for food-grade use is trading at around 1,900–1,950 EUR/MT. Availability of SWP meeting certain food-grade specifications remains limited, which keeps prices at the upper end of the range firm. Trading in feed-grade material is concentrated around 1,700 EUR/MT.

WPC80 Instant is offered in Europe in the range of 17,000–18,000 EUR/MT. Prices in Eastern Europe are at a similar level. Buyers continue to hold off on purchases, and very few transactions are being concluded. Buyers’ and sellers’ price expectations still differ significantly, which is why WPC80 continues to decline in price.

WPI Instant is priced in Europe at 27,800–28,000 EUR/MT. Prices have fallen only slightly. Limited inventory and low availability of material meeting specific specifications mean that WPI remains much more stable than WPC80.

MPC85 is being offered in Europe at around 16,000 EUR/MT. The prolonged price increase has come to a halt, and slightly cheaper offers are beginning to appear. Most of the demand for Q4 has already been secured, so trading is limited.

Whey permeate for food-grade applications is priced at 1,050–1,100 EUR/MT in Europe. The lower end of the price range has weakened slightly, and supply remains high.

Food-grade lactose is being offered in Europe in the range of 1,600–1,650 EUR/MT. Most of the demand for Q4 has already been secured, and prices have changed little. Supply and demand are fairly balanced, with no clear factors that could drive prices higher.