Greg's Milk Monitor 11 04 25: Immolation Day

Trump’s so called ‘Liberation Day’ has caused chaos in many markets, but it looks like milk powders have been spared, at least for the time being. The largest swing factor has been the sterling:euro exchange rate, as the pound has lost 6% of value in a fortnight, forced down by economic factors unrelated to Tariffgate.

Sweet whey has shed €20 while skim milk has risen €10, and the word is that real values, although still higher than stated, are easing slightly for whey, if not for skim, where edible quality is now actually cheaper than feed grade. This has come about because demand in the edible sector has been sluggish at best, whilst feed sales have been booming for over four months. This does now seem to be slowing, and order times have now reduced to four weeks.

Prices and supply are still high and tight for WPC, hydrolysed gluten and fat filled whey, and coconut prices have breached €2800, from €1800 a year ago.

The soya complex dropped off after 2nd April, but bounced before the big backtrack on tariffs to levels higher than previously, which is counterintuitive given that the South American crop can supply all China needs, circumventing 125% tariffs. Palm oil has dropped, though, but on its own fundamentals.

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

For further information and prices, contact Greg Dunn on 01206 598657 or greg@bdc-agri.com