Milk price DOC Cheese is unprecedentedly stable

DOC Kaas has kept the fat and protein price the same for 4 months. This means that the price of €2,83 per kilo for fat remains and that the price for protein remains €5,67 per kilo. With an annual supply of 800.000 kilos of milk, this results in a milk price of €32,07 per 100 kilos. This concerns milk with contents of 4,41% fat and 3,47% protein.

Stable unusual in May
A stable milk price in May is unique for DOC Kaas. This did not happen in the past 10 years. Since the milk supply usually reaches its highest point in May, this often gives reasons for fluctuations in the market. However, in 2018, the payment price of DOC Cheese did not suffer from this. The guaranteed price of FrieslandCampina did suffer, while the price of raw milk also dropped spot market which is under pressure.

(Text continues below the chart)The movement shown in the milk price of DOC Cheese is unprecedentedly stable. 

Although a higher milk price is not immediately on the horizon, there are positive indications in the market. The German cheese price (Gouda 45) has risen somewhat in recent weeks. Historically, this increase continues in the second and third quarters.

Milk prices also often increase in the second half of a year. That the value of the euro has surrendered, is also good news for the export position of the Dutch dairy sector.

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.