Milk price DOC Cheese down more than one and a half euros

The cheesemaker from Hoogeveen, which has been part of the German dairy cooperative DMK for several years, will reduce the milk price by €1,60 in June, bringing the basic milk price to €30,52 per 100 kilos. This is calculated for an annual supply of 1 million kilos, at 4,42% and 3,57% protein.

Including bonuses for grazing and vlog, the milk price can rise to €33,77 per 100 kilos. In the milk price comparator from Boerenbusiness  DOC Kaas therefore belongs to the bottom regions. 

Dairy market is recovering
In light of the more positive dairy market in recent weeks, the reduction in the milk price is a setback. It should be noted that DOC/DMK was not at the forefront of reductions when the price drop in milk powder and cheese emerged at the end of February. In March and April, the German dairy cooperative kept the milk price the same, while other processors already lowered the price. 

Based on the current valuation of skimmed milk powder and butter, the raw material value of milk is just above the limit of €30 per 100 kilos. Spot prices in Northwest Europe also briefly move above that limit, which means that it can be expected that the payout prices will soon find a bottom.