Summary of the week 31
It was a rather quiet week for the SMP. There are still big quantities available and most producers are well stocked. Export inquires are slowly getting more intense. Some already have started talks for Q4 and Q1 2021 but without unnecessary hustle. Manufactures strive to maintain the price level above 2 EUR/KG. Will they succeed?
Whey stocks are declining, as less cheese is being produced. Moreover, it might go further up, as exports are getting busier. The highest prices can be found in Germany.
FCMP prices are slightly higher. Suppliers claim that there is always a chance to close the deal, most likely with smaller quantities. It can be said that demand meets the supply.
Cheese sales don’t reach the usual holiday levels from the previous years. There is almost no interest in cheese, except offcuts and second-grade cheese for melting.
Unless the price for Cagliata is highly occasional, there are none contracts made. The biggest difference comparing to the year before is the lack of Italian participants.
Butter was definitely the winner of last week. The heat and lack of raw material played its role. Buyers already ask for Q4, which gives hope for further gains. As for the price levels, the most expensive product is in Germany, France, and the Netherlands. Another contributing factor is the demand for butter cubes. Buyers start to ask around for butter for Q1.
Additionally, the demand for AMF was firmer.
The heatwave is roasting Europe. Luckily soon it is predicted to end, but the season decline has been already hasten. At the same time, the interest in the raw material is growing, as many buyers return from holidays and start to look up for supply.
The cream went up by 8% last week. Purchasers hoped to have an easy job, looking for the product, but the reality was different. The amounts rapidly went down, and the price skyrocketed.