Inside Milk
Price pressure on liquid dairy not extremely high
It is noticeable in the liquid dairy market that the broken weeks around Christmas are fast approaching. Prices are under pressure, although the downward movements were greater in other years.
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The pressure comes mainly from France. The French processors, as is often the case around these broken weeks around Christmas, offer raw milk and dairy products at dumping prices. The supply from the Netherlands and Germany is not necessarily abundant. Given the milk supply, which shows no excesses, this is not entirely surprising.
milk protein
The quotation of skimmed milk concentrate is holding steady above €2 per kilo this week and is supported by the stable skimmed milk powder market, which is trading around €2,60 per kilo. The good prospects for protein motivate to maintain production and this ensures that concentrate can easily change hands. Bargain hunters who have been waiting for a major price dip therefore have no chance.
milk fat
The DCA cream quotation drops through the limit of €4 per kilo. Since the butter price (€3,50 per kilo) is relatively stable, it is expected that cream will increase in value again after the New Year. This also applies to the DCA spot milk quotations, which are dropping slightly, but have not yet fallen through the €30 limit. For example, the quotation for the Netherlands drops by €2 to €36 per kilo. The northern German quotation drops by €3,50 to €32.50, while the price in southern Germany drops by €3 to €34 per kilo.