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Lower payout prices are reflected in milk supply

12 July 2023 - Wouter Baan

The milk supply in our country is still ahead of last year, but shows a weakening trend. In addition, the seasonal decline is also manifesting itself for the first time in months.

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The milk supply last month amounted to 1,16 million tons with an average fat percentage of 4,31%, according to figures from RVO. This is an increase of 1,56% compared to the same period last year.

In May the lead was still almost 2%. In the previous months, 3% more milk was produced. This means that the milk supply clearly shows weakening growth, which is in line with the payment prices, which have fallen to around €40 per 100 kilos and are still under some pressure.

The average daily production in June was 38.884 tons of milk. This also means that the seasonality is also reflected for the first time in months. This, in combination with the weakening growth, provides some relaxation on the spot market. For example, the DCA spot milk quotation in the Netherlands recently rose to €37,50 per 100 kilos, the highest level since the beginning of 2023.

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