Summary of the week 32 (Dairy)
This is our summary of the week 32 on the European dairy market divided into 4 main categories.
SMP is steadily rebuilding its price. It’s likely caused by high prices of whole milk and skimmed liquid milk. Quite a few producers do not produce SMP at the moment, so the prices offered from those who do reached the level of 2.50 – 2.52 EUR/kg EXW DE / FR. There are some that do not even want to go below the level of 2.60 EUR/kg, although customers are not ready for these prices yet. Buyers that are looking for the best price are interested in WPC 35 and Buttermilk as substitutes. Many buyers have logged in again, so we see more inquires for Q4 and even Q1. Export destinations remain active. FCMP is offered at 3.10 – 3.15 EUR/kg EXW IE/UK depending on the date of collection. FFMP is catching interest. Whey is rather stable as the supply of liquid whey is growing. New stocks of WPC80 with prompt loadings are scarce. Moreover, producers have secured sales for the coming months, while the interest from outside the EU does not decrease.
Madness in cheese department. The availability is insufficient, and the demand is high. Lucky those who made their purchases earlier. Gouda is offered at 3.15 – 3.20 EUR/kg EXW DE/NL.
Depending on the producer, Mozzarella stays north of 3 EUR/kg EXW DE/NL. Times when the prices were at 2.85 – 2.90 EUR/kg are officially gone. Cagliata is also in demand.
Everyone is looking for cheese offcuts for melting – very poor availability.
The high price of cream has led to an increase in the price of butter. Butter, produced in PL, is offered at 4.05 – 4.08 EUR/kg EXW PL and further build up in this price is expected. Western butter is offered in the range of 4.10-4.15 EUR/kg EXW DE/NL. There is a gap between fresh and frozen butter (3.90-4.00 EUR/kg). We might have it for a while. Not for long, though! Hot weather and decreasing availability of milk might close or at least tighten the gap. AMF is also rising – offers from Poland are already at the level of 5.10 EUR kg EXW PL. Producers of butter cubes are looking for material, so the price race is picking up now.
Cream is on a rise. Almost all liquids went up. The heatwave across Europe influenced the raw material collection. The situation will most likely continue in the near future. Prices of concentrate are climbing up to the prices of powders. Only whey is steady.