Cheese prices are slowly falling

Not much is happening, trading parties indicate. With the weather improving and temperatures rising, the forecasts for early next week point to an old-fashioned Dutch summer that many dairy farmers are happy with. It is possible that the weather will improve again afterwards, but all in all this is not a cause for commotion on the market.

Cream and butter down 
With this variable weather type, milk production in Northwest Europe remains at the same level and demand from the fresh segment is not slowing down. This results in a somewhat subdued market, with DCA's liquid quotes slipping somewhat. For example, the cream price, which, just like last week, drops by €50 and amounts to €4.025 per tonne.

Cream moves with the falling butter price, which drops by €45 to €3.285 per tonne. During July, the listing lost just €100, which indicates a slowly downward trend, which is expected to continue.

Pressure on cheese price
Red figures are also visible on the cheese market, which is struggling with weak sales. Especially to the out-of-home segment and export. Gouda's spot quote drops this week by €50 to €2.790. The second decline in a row. The fact that prices are not falling faster is due to excellent retail demand. Traders believe that the downward trend will continue, as they find it difficult to get rid of the product. Producers are in a different position and are holding on to higher prices based on tight supplies. 

With the exception of whole milk powder (+ €25 to €2.740), the undertone on the powder market is also weak. The price of skimmed milk powder continues to fall below €2.100, although it is not expected to break the psychological limit of €2.000.

Click here for explanation of the DCA quotations (liquid) 
Click here for explanation of the DCA quotations (cheese)