Inside: Dairy Market

Milk price DOC Cheese plummets rapidly

1 February 2018 - Herma van den Pol

The milk price of DMK and DOC Kaas fell sharply in February. Due to the correction, the price of DOC decreases much faster than that of FrieslandCampina and Arla. A-ware is the next to announce its milk price.

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DOC Kaas announces that it will reduce the fat price for February to €2,83 per kilo, while the protein price drops to €5,67 per kilo. The reductions result in a milk price of €31,75 per 100 kilos (with an annual supply of 600.000 kilos of milk, with 4,41% fat and 3,47% protein). This price excludes VAT, but includes the ZuivelNL levy.

9,19

euro

the price per 100 kilos has fallen since December

Pressure on the cheese price
If the supply increases to 800.000 kilos of milk, the price rises to €32,05 per 100 kilos and 1,1 million kilos of milk yields €32,33 per 100 kilos. The reduction in the milk price is reflected in the pressure on cheese prices. The fact that the milk price has so far been kept at a reasonable level was due to the situation in Germany. DMK has the greatest difficulty in retaining dairy farmers there. 

If the correction is added to the January reduction, the cheese maker has recorded a decrease of €2017 per 9,19 kilos since December 100. This amounts to a minus of 22,45%. This decrease is much more rigorous than the reductions of Arla en FrieslandCampina, where prices have fallen by approximately €5,50 per 100 kilos since December. 

Levies and premiums
At DOC Cheese a sustainability bonus of €0,90 per 100 kilos can be earned. From 2017 there is a separate grazing allowance, which can amount to €1,75 per 100 kilos. 

View the milk price comparator.The milk price in February is €31,75 per 100 kilos of milk. 

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