Dutch Dairy Board says EU milk supply growing
A 2% Fonterra dairy commodity auction price increase last week also reflected market strength. But milk supply is still growing in all export regions, and provisional figures show 2010 milk output in the EU-27 up to August was 0.4% ahead of 2009. EU milk deliveries continued higher in the autumn, 4.5% ahead of last year in September. In October and November, deliveries were 8% ahead of 2009 in France, and 3.5% ahead in Germany.
The milk production trend in New Zealand (where daily intakes are at record levels), and demand from importers like Russia and China, are expected to largely determine prices in the near future.
Dutch Dairy Board rankings show milk prices at Glanbia and Kerry have not changed since May. Only First Milk in Britain paid less in October, of 17 dairies in the rankings. The average October price was €32.98 per 100kg, the Irish prices were €29.95 at Glanbia and €29.84 at Kerry.
Equivalent prices were €29.71 in New Zealand and €32.15 in the US.
In Britain, it is believed a fake dairy company in the Midlands was set up solely to drag the farm gate milk price down. Flyers from a bogus company were sent to shops offering discount priced milk, bread and eggs.
