163rd Edition of Foodcom DAIRY Newsletter

Foodcom Experts
6 min reading
163rd Edition of Foodcom DAIRY Newsletter

The last few weeks have not brought spectacular changes in the dairy market. Relatively large quantities of spot milk are available, and demand for all dairy commodities remains at lower levels than many would like. Perhaps this simply means that late January and February is still a time of hibernation, and the current situation is not surprising. Perhaps. Or perhaps it is a harbinger of larger changes to come. Whichever answer is correct, it is definitely worth keeping an eye on all market developments and reacting accordingly at the right moment.

Dairy innovations are being developed all over the world. New products are being created or going into wide distribution. Have you heard about sports drinks made from milk and an alternative to plant-based alternative to meat? If not, no problem, you can find out all this and much more in the latest edition of the legenDAIRY newsletter. After all, that’s what you opened it for, right?

Continue reading to learn about this week’s market insights.

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Skimmed Milk Powder

The situation of this commodity remains unstable, especially with regard to the countries that offer it. We continue to hear that in the CEE region, Skimmed Milk Powder tends to be offered at the upper end of the price range. Western European raw material is offered at lower prices.


Officially, we have seen raw material offered at lower prices everywhere except Poland. However, at the time of writing, the situation may have changed and Poland may become the country where Butter is offered at the lowest prices. The availability of Irish Butter has not affected the price of the raw material much, but other suppliers from Belgium and France have not kept up with the price decreases at which Butter is offered by their competitors.

Whey Protein Concentrate 80 Instant

After the hard fall of one of the protein kings, the price seems to be stable for the moment. We hear that there is more interest and demand from manufacturers due to the price drop. Most transactions are being kept on a spot basis. Some believe there is still room for further reductions, while others find it hard to believe we are close to last year’s prices.


Cheese prices have been falling for several weeks. Sellers came to terms with this some time ago and are trying to sell as much as they can, so they do not have to deal with the fact that the cheese has passed its expiration date. The European market for Gouda seems unusually weak, with exceptionally high supply and low demand. Due to extraordinary high milk production, we hear that much of the production capacity has already been used up. Buyers are mainly covering current needs, although some would like to lock in low prices for the rest of 2023.


In the past week, the situation with Cream remained quite stable. At the end of the week, this commodity was even able to gain a little, which leads us to believe that it is beginning to recover from the hole and the price may rebound slightly this week.


What else?


Bulgaria is experiencing a significant increase in the prices of dairy products

According to the country’s dairy industry representatives, spot milk prices have increased by up to 37% since August last year. The reasons for this rise are the increased production costs – packaging alone has become 100% more expensive – and the insufficient supply of raw material on the market. The Bulgarian dairy industry is undoubtedly looking forward to the country becoming a land of milk and honey.

Family Dairy Farms in Ukraine have increased the number of their cattle by 22 percent

The FDF network has also increased the annual milk yield per feeder cow on an industrial farm. This increase was made possible by providing cows with a mixed, balanced feed that contains all the necessary nutrients to positively increase milk yield and weight gain. It’s nice to read some good news from this region.

The productivity of UK dairy herds has declined over the past 10 years

The productivity of the average British dairy farm has declined over the past decade. Over the same period, dairy herd productivity has remained stable or increased in most other countries. Lower productivity in the UK is primarily a problem for farmers, who have to pay more for unsatisfactory milk yields.

The Americas

Danone plans to expand its portfolio in the United States

Danone has decided to explore strategic options for its organic dairy business in the United States, which of course include a possible sale. If the projections satisfy Danone, the organic products will be developed under the Horizon Organic and Wallaby brands.

The innovative milk-based sports drink will be on shelves in 1 000 Walmarts in the United States

According to its creators, the GoodSport drink was developed out of frustration with sports drinks containing highly processed ingredients that are not necessarily healthy to consume, especially for young athletes. The product is supposed to be a healthier alternative to popular post-workout drinks. The real question is: does the brand name suggest there is a ‘bad sport’ and if so, what sport did they have in mind?

Are you bored with plant-based alternatives to meat?

There may soon be a new offering for you on the market. Top Protein, an American company, has been working for four years to develop technology that can be used to produce new alternatives to meat. However, it’s not about plant-based products. The products they are working on are… Milk-based. According to company representatives, their products are capable of mimicking both the texture and attributes of any type of meat. What now, are we waiting for an alternative to an alternative to an alternative?

Asia & Oceania

The state of the Chinese economy will be key to predicting dairy prices in 2023

With the recent easing of China’s zero-COVID policy, many observers and market participants around the world are expecting robust import growth in virtually all products and commodities, but the reality is not so simple. Presently, evidence suggests that the current supply of dairy products is sufficient, and the high cost of imports discourages ordering goods from abroad. How will this situation develop? Time will tell.

Composting may offer more benefits than we expected

At least that’s what farmers in New Zealand say. Dairy farms are among the largest agricultural contributors of greenhouse gasses. To offset the negative environmental impact, many farmers are opting for composting, using plant and animal waste to make fertilizer. This seems to suit cows just fine, as they seem to love the warmth of composting facilities. As previous studies have shown, the conditions created by composting are not only very pleasant for the cows, but also lead to an overall improvement in their well-being, body condition and higher milk production.

South Korea’s Lotte Confectionery is investing the equivalent of 52.5 million euros in the construction of a new production facility in India

This will be Lotte Confectionery’s third plant in the country. The latest investment is aimed at further expanding the company’s ice cream division in the Indian market through its local subsidiary Havmor Ice Cream. This is pretty cool news for many, right?

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