No buyer for half of EU’s extra dairy produce

ICOS figures show that nearly half the increased milk production in the EU has gone into intervention or private storage aid schemes.

In recent weeks, sales to EU intervention stores escalated, as EU wholesale milk powder prices traded below the intervention level.

This trend may escalate, with EU milk production forecast to expand 1.9% in the first half of this year, likely to result in an additional 9% of exportable dairy surplus, if consumption grows only 0.7%.