Inside: Dairy Market
Butter price leveling off due to cautious market
The ZuivelNL quotations show that the market is cautious. Can the price of butter continue to rise as a result or will it fall?
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Throughout August, the butter price rose weekly by leaps from €150 to €200 per tonne. This week is different. In ZuivelNL's notes, the butter price only increased by €50 to €6.850 per tonne. Nevertheless an unprecedented historically high price.
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The price in euros per tonne in 2017 up to and including week 35.
Trade is careful
The reason why the butter price is rising less rapidly this week is the fact that trade has become more cautious. The prices are so high that buyers think twice and are already looking for alternatives.
This does not mean that butter is pricing itself out of the market. The demand for butter is expected to increase further in the coming months with a view to the holidays and winter. At the same time, stocks remain very limited.
Whey powder price continues to fall
The price of whey powder is falling by €20 per tonne and has not been this cheap this year. The residual product no longer has the interest of the market.
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The price in euros per tonne in 2017 up to and including week 35.
The prices of whole milk powder have been unchanged for weeks at €3.100 per ton. Skimmed milk powder is also quite stable and amounts to €1.720 per tonne.