DOC Kaas has reduced the advance milk price for January by the same amount as the price was increased in December. According to DOC Kaas, this is not a simple turning back of the clock, because the reduction is in response to possible price risks due to the recent FMD outbreak in Germany.
This outbreak leads to all kinds of trade barriers for German dairy products and therefore also market risks. Countries outside the EU often do not want German dairy for a while and buyers within the EU are also not eager to get German products.
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The basic milk price for January is according to the Boerenbusiness Dutch Milk price calculator now back to €53,01 per 100 kilos, while the pasture milk price is €54,51 and the maximum milk price is back to €60,01.
DOC Kaas is not the only processor that has lowered the milk price for January. Apart from Arla, all processors in the comparison of Boerenbusiness the payout price has been lowered.