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Analysis Cheese

Much more milk flows into the cheese box

1 August 2019 - Wouter Baan

Significantly more milk is flowing into the cheese box in the Netherlands this year. While the total milk supply has shrunk considerably, cheese production is actually taking off. In the meantime, cheese prices are moving broadly stable.

Dutch cheese production amounted to 75.035 tons in June, compared to 71.449 tons in the same month of 2018 (+5%). In the first 6 months of this year, cheese production amounted to 456.757 tons. This is 3,8% more than in the same period last year. The increase is striking, because the Dutch milk supply has really given up.

This indicates that dairy producers process a larger part of the supply into cheese. That in itself is not a surprise, given that cheese has been the best valorization of raw milk for some time. At the same time, the increase in production is large. The increase is mainly at the expense of a lower production of butter and milk powder (skimmed and full-fat).

Slight drop in DCA foil cheese prices
Due to the holiday season, it is mostly quiet on the cheese market. As a result, little trade takes place. Prices are slightly down compared to last week. The DCA foil cheese quotation for Gouda falls by €0,02 to €2,83 per kilo. The price of Edam yields €0,01 to €2,76 per kilo.

This article is part of the subscription Boerenbusiness Milk & Feed Pro† In the coming period you can check the weekly cheese analysis of Boerenbusiness read for free for a limited time. 

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Wouter Job

Wouter Baan is Head of Meat & Dairy at BoerenbusinessAt DCA Market Intelligence, he focuses on dairy, pork, and meat markets. He also monitors (business) developments within agribusiness and interviews CEOs and policymakers.

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