Rising output and slack eastern sales threaten EU dairy product market

MILK price prospects have been downgraded by ZMP, the German market statistics agency.

They said milk output is on the rise in France, Germany, Holland and eastern Europe, and expected growth in consumer demand for dairy products in the new member states has failed to materialise.

EU milk trade prospects had also been hit by Russia's block on imports from new member states, on the grounds of inadequate hygiene standards.