With no Global Dairy Trade auction this week, we are reliant on the European stock market for guidance on market direction.
The short answer is it continues to be volatile, with butter continuing its downward trajectory.
Sadly, it is now back to €4,000/t, which is where it was at the start of the year.
A few weeks ago we were expecting it to break the €5,000/t mark, but that rally has well and truly ended.
Some of the sheen has also come off cheddar cheese prices, with a tonne of cheddar now going for €3,550/t, which is back €100/t on last week’s price.
Both skim milk powder (SMP) and whole milk powder (WMP) are relatively stable, although the sharp price increases for SMP seem to have come to an end for now.
Meanwhile, the futures market gives little hope for big price rises as we head into the summer and autumn.
The reality is that higher supplies are continuing and not just in Ireland but across most of Europe and the US.
While the rate of gain has decreased, supplies are still increasing at an historically high rate.
Friesland Campina increased the guaranteed milk price for April to 35c/l excluding VAT at base price of 3.3% protein and 3.6% fat. This is the first milk price increase to come from the giant Dutch co-op in almost 12 months.
It was the rate of increase that caught people by surprise, increasing the price by almost 2.2c/l excluding VAT. Arla has decided to keep the April milk price the same as March at 30.8c/l excluding VAT.
Both SMP and WMP prices at the Global Dairy Trade pulse auction declined this week.
With no Global Dairy Trade auction this week, we are reliant on the European stock market for guidance on market direction.
The short answer is it continues to be volatile, with butter continuing its downward trajectory.
Sadly, it is now back to €4,000/t, which is where it was at the start of the year.
A few weeks ago we were expecting it to break the €5,000/t mark, but that rally has well and truly ended.
Some of the sheen has also come off cheddar cheese prices, with a tonne of cheddar now going for €3,550/t, which is back €100/t on last week’s price.
Both skim milk powder (SMP) and whole milk powder (WMP) are relatively stable, although the sharp price increases for SMP seem to have come to an end for now.
Meanwhile, the futures market gives little hope for big price rises as we head into the summer and autumn.
The reality is that higher supplies are continuing and not just in Ireland but across most of Europe and the US.
While the rate of gain has decreased, supplies are still increasing at an historically high rate.
Friesland Campina increased the guaranteed milk price for April to 35c/l excluding VAT at base price of 3.3% protein and 3.6% fat. This is the first milk price increase to come from the giant Dutch co-op in almost 12 months.
It was the rate of increase that caught people by surprise, increasing the price by almost 2.2c/l excluding VAT. Arla has decided to keep the April milk price the same as March at 30.8c/l excluding VAT.
Both SMP and WMP prices at the Global Dairy Trade pulse auction declined this week.
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