22 April 2021: No news is … no news

The Dutch markets for both sweet whey and skim milk remain unchanged this week, as do my comments of last week, namely that whey should be sliding whilst there is little reason for skim to do so.

Liquid milk supply is poor across Europe, with the exception of Eire, thus the poor supply of skim milk, and even sweet whey, given Europe’s demand for catering mozzarella is still extremely downsized. Buying demand from SE Asia is still strong, and supply isn’t currently coming from the USA, so Europe is being plundered both domestically and from export interest.

The Pound is lacking strength, somewhat surprisingly given favourable recent unemployment figures and non-essential shops reopening, but the emerging stories of Boris’s pedigree chumocracy may be subduing bullish sentiment.

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

15 April 2021: Invisible strings suspending sweet whey

Again the market is split in sentiment as well as in direction. Sweet whey is posting unchanged prices on the Dutch market, but there is evidence of wholesale discounting going on under the counter, as processors climb over each other, to catch whatever spot and forward business they can. Skim milk, on the other hand, is still in undersupply and actually posted prices €10 higher this week over last.

Sterling is still surprisingly weak, given that profits have been taken, and with the UK bucking the European trend by reopening the economy, it seems to be contra-trading that’s holding the Pound back.

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

8 April 2021: Sunlit Uplands

Whilst processors and traders enjoy the sunlit uplands of the market summit they have created, buyers are now sensing blood, and the hoped-for slide has just begun. Feed grade skim milk powder is more freely available at albeit unchanged price levels, but sweet whey has now fallen by €10, so hopefully we’ll see a continuation further into Q2.

Profit-taking has sawn a cent and a half off sterling, which had bounced on lockdown easing as the Eurozone moves further into restrictions.

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