There are finally some signs that the upward charge is starting to run out of steam. My take is that what started with a genuine shortage of skim milk powder back in September turned into unbridled greed and wilful withholding of material in both the skim and sweet whey markets. The shop window prices for both products showed €20 increases week-on-week, but out in the real world, suddenly physical supplies seem plentiful. Not that these are sunlit uplands, at least from the consumer’s point of view, but it looks unlikely we will see anything more favourable than a levelling off before a possible downward correction later in Q1.

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