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Welcome to the BDC agri blog. Here you will find reports from some of the events we attend, as well as Greg's popular weekly view of the UK milk and whey powders market:

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"Many years ago, I got my first job in the dairy industry, as class milk monitor at Tollesbury Primary School.
I thought it was a job for life, but sadly Margaret Thatcher famously ‘snatched’ free school milk,
and the nation’s health has suffered since. Fifty-four years later, I am still musing on the dairy industry,
with an irreverent view of politics and currency ..." Greg Dunn

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    • Dec 17, 2020
    • 1 min read

17 December 2020: China Syndrome

The whey market is on fire. Chinese pig production has returned to 90% of its former capacity, and whey is modest in its rise compared to $12 soyabeans, $400 meal and 40 cent oil. Physical offers of whey are scarce as traders ratchet the market ever higher, and lactose and permeate supply is virtually non existent. The Dutch market posts €20 higher, but on few trades.


Skim is the weaker leg, but still posted €10 higher this week, and supplies are available so not giving concern of sustained rises in Q1.


Sterling has wobbled within a three cent range this week, but is towards the top end today, just breaching €1.11 this morning, with some signs of progress in talks in Brussels.


BDC agri is the UK broker for Lacto Production milk and whey powder products.

For further information and prices, contact Greg Dunn on 01206 381521 or g.dunn@blackdiamondcommodities.com

    • Dec 9, 2020
    • 1 min read

9 December 2020: All up

Both the whey and skim markets are posted as up €10 this week. Whilst skim is freely offered, that market seems roughly in balance, but whey is a different story, as the reported rise represents small volume that has actually traded. The real whey market is probably up €30 or so, in order to tempt out genuine volume, and the potential is there to rise further. Even Central America is now in on the act, and Asian demand hasn’t cooled any.


BDC agri is the UK broker for Lacto Production milk and whey powder products.

For further information and prices, contact Greg Dunn on 01206 381521 or g.dunn@blackdiamondcommodities.com

    • Dec 3, 2020
    • 1 min read

3 December 2020: Here we go again ...

Up we go, on whey at least. The earlier surge in demand from China and all points east has been overlaid by the European middle market buying everything in sight and looking the hike the market by a good €50 by Q1. Despite the Dutch market being posted as unchanged on last week, this is a market on the move, upwards.


There is some evidence that whey supply may be limited going forward, as drying towers are favouring processing skim (higher margins), but it has been plentiful and freely offered going into Q4. Now Christmas cheese production has diminished, this has naturally reduced supply and moved the balance towards demand, a situation that traders will likely exacerbate.


Skim milk remains in equilibrium, with no significant market features, and unchanged on the Dutch feed grade index, although €10 higher on edible grade.


BDC agri is the UK broker for Lacto Production milk and whey powder products.

For further information and prices, contact Greg Dunn on 01206 381521 or g.dunn@blackdiamondcommodities.com

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