In the first weeks of January, the liquid feed market appears calm. The supply of residual flows will start to increase again after the Christmas holidays, but this does not mean that price reductions are to be expected, because the demand is perfectly in proportion to the available supply.
In the first weeks of January, price increases are visible for residual flows from the bread industry. For example, prices for bread flour, bread juice, power fe and robiscope pellets increased by 2 euros per 0,25 kilos in both week and week 100. The changes should mainly be linked to the wheat price on the Matif, which rose again above 170 euros per tonne in the first week of January, partly as a result of low temperatures in eastern Europe.
Wheat yeast concentrates and wheat starches are stable in January, but those prices are also at the top of the range that still makes interesting calculations, or at least that is the thinking among buyers. As far as the other flows are concerned, it is quiet and supply and demand are largely in balance. In the longer term, as winter progresses, there are indications of price relief for buyers. Implementation of the phosphate production plan means that the dairy herd will shrink, meaning there will be fewer 'beaks' to feed.
Roughly speaking, the liquid feed market is split into 55 percent dairy farming and 45 percent pig farming, meaning that shrinking dairy farming has a significant impact. However, it must be stated that the supply of many residual flows is relatively tight this season, such as potatoes and grain. All in all, the expectation is that the market is likely to show stable movements in the coming weeks, with a real chance of price reductions in the longer term. Especially when milk and brewer's yeast production increases and more cows go to slaughter.