Summary of the week 40

Author Aleksandra Konarska
Reading time 7 minut
Publication date 20 October 2020
This is our summary of the week 40 on the European dairy market divided into 4 main categories.

 

Powders

Stable SMP prices – producers seem to be satisfied with both the selling price and the contracted volume. End-users change their purchasing behavior and prefer to make weekly or monthly deals rather than long-term contracts. Christmas is on the horizon and their increased activity shows us that the price has been growing in strength. FCMP sees equilibrium in demand and supply, so the price remains equal. Whey – yet another week of steady price. Feed grade SWP however slightly lower. It seems that permeate and lactose are slowly getting stable after several weeks of adjustments.

Cheese

The price of Gouda / Edam remains around 2.90 – 2.95 EUR/kg. There is some commotion in the market and producers keep their prices tight as many end-users still don’t have stocks.
Off-cuts and cheeses for melting and shredding are actively looked for. On the other hand, the situation with cheese analogues doesn’t look promising as the situation in the HoReCa sector is tough.

Last week we could see significant amounts of Mozzarella (first quality) in the range of 2.60 – 2.70 EUR/kg. It is interesting that some producers do not want to accept lower prices on Cagliata – buyers, in turn, cannot imagine that with such Mozzarella prices it is possible to maintain the high level of Cagliata.

Butter

In Poland, there are still high prices for fresh butter. This is mainly due to the price of the raw material. Customers are looking for a cheaper – older or frozen product, as the demand will surely keep the price steady.

Remember about private storage (PSA) and keep in mind that customers also remember about it, being afraid to do shopping far ahead. However, soon we will be at the moment when Christmas production starts and the situation may drastically change.

Liquids

At the beginning of the week, a stable level of cream price around 4.50-4.55 EUR/kg was maintained, while on Wednesday and Thursday it was difficult for anyone to find a buyer for it at market prices. This resulted in a correction at the end of the week to ca. 4.30-4.35 EUR/kg. However, still, the gap between cream and butter is so significant, that there is no profit it turning the former into the latter.

The fairly high price for raw and skimmed milk remains rather stable, with a slight downward trend. It is worth bearing in mind that right now, we are at the bottom of raw milk intake, and soon we should be slowly rebounding.

Related articles

157th Edition of Foodcom DAIRY Newsletter
22nd edition of Foodcom ADDITIVES Newsletter
156th Edition of Foodcom DAIRY Newsletter
23rd Edition of Foodcom PLANT-BASED Newsletter

Looking for the best deals?

You've come to the right place! If you would like to know more about our products or become a business partner, let us know!

    Polecane Artykuły

    Global Dairy Trade Event 301 – event results
    Summary of the week 38
    Summary of the week 48 (dairy)
    137th edition of Foodcom DAIRY Newsletter