Inside: Dairy Market
Price of phosphate rights has a strong lower limit
It has been a quiet week for the trade in phosphate rights. Still, the prices remain easy on the legs. In the somewhat longer term, slightly rising prices are expected.
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For many dairy farmers it is 'all hands on deck' this week first cut to get in. From Thursday 10 May (Ascension Day) the weather will change, causing time pressure for some. After all, some plots were only mowed at the beginning of this week. As expected, the trade in phosphate rights is at a very low level; even more so because this week has 1 fewer trading day.
Stable listing
The providers of phosphate rights know the situation and are therefore not panicking. The prices therefore remain virtually the same last week. The DCA quotation for phosphate rights therefore remains at €181 per right. Compared to other weeks, trading is sparse. Since the price remains unchanged, it can be concluded that the market has a solid bottom.
Trade is expected to slowly pick up from next week. The forecast is for a stable to slightly improving price. This is because the supply is not considered to be excessively large, while there is quite a bit of demand beneath the surface. The quotations at DCA markets show that they have increased slightly compared to last week.
| DCA listing phosphate rights | Price range (week 19) | Number of problems | Average |
| €181 (=) | € 180 - € 183 | 7 | €181 |
| Explanation DCA Markets: The trade in phosphate rights has had a quiet week, due to the many activities on land. Still, the price has easily held up. Since the price range has increased somewhat, it can be said that the market has a firm bottom. |
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