An ill wind has blown some good to whey traders, as the rockfall that has closed the Mont Blanc tunnel has hiked prices by €30 or 5% this week. It is the highway that carries sweet whey from the Italian mozzarella industry to European consumers and the extra haulage costs on a steeply rising fuel market has assisted the hike in whey pricing (I was quoted a 24% fuel surcharge for September today).
Whey has now increased from €520 to €600 on the Dutch market since the beginning of August.
Skim has risen a further 1%, up by €20, but is showing no signs of physical supply contracting.
Despite soya US crop condition deteriorating to the lowest level since the 2012 drought year, the whole complex has eased this week, with palm oil reflecting the commensurate fall. This despite the 5% increase in Brent Crude this week, as both Saudi Arabia and Russia withhold production to squeeze prices towards $90, levels not seen since nearly a year ago when the Ukraine war was affecting geo commodities more.
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 firstname.lastname@example.org