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Some 20,033t of skimmed milk powder (SMP) has been sold from European intervention stocks for €1,231/t in the latest tender.
The price has risen slightly from €1,230 and marks a sharp increase from the 2,499t sold in the last tender at the beginning of October.
Industry stakeholders commented that it was “very encouraging” given that recent prices had been under pressure.
Over 300,000t for SMP was sitting in intervention at the beginning of the year with doubts over the European Commission’s ability to sell it on without disrupting the market.
However, Commissioner for Agriculture Phil Hogan doubled the number of tenders per month and to date some 170,000t has been sold.
Future SMP sales
It was decided this week that the European Commission won’t buy-in SMP for 2019, by the EU agriculture ministers.
However, the current rules will remain in place whereby EU experts will be allowed to open tenders for intervention SMP on a case-by-case basis.
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