EU tenders open for butter, skimmed milk powder
There are 192,000 tonnes of skimmed milk powder and 25,000 tonnes of butter in intervention stores, and with prices for both commodities very strong, the Commission has decided to invite tenders for all of the butter and up to 66,000 tonnes of the SMP.
The Commission will announce the successful bids on June 3.
Some EU countries had warned that the sales could undermine the recent recovery in dairy prices, but trade sources said the sales would help to maintain demand by curbing excessive price rises.
* Meanwhile, the upward price trend for dairy commodities continues. In Northern Ireland, United Dairy Farmers auctioned 52 million litres last week, at an average price of 26.53ppl. This was 0.45ppl up on the April price, and 7.31ppl (38%) ahead of the May 2009 price.
The Dutch Dairy Board’s weekly commodity figures show skimmed and whole milk powder and whey powder prices have levelled or eased, while butter prices continued to firm, gaining €100 last week to reach €3,700 per tonne – a record for 2010.
