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5 January 2023: Has milk reached the top of the mountain?

New year, new direction. Farm gate prices for milk have finally started to fall back, down 2-3p/l to start with, as processors/supermarkets start to regain the upper hand they’re used to. Although skim milk and sweet whey markets have been sliding for nine months now, both are showing signs of bottoming out, as both have shed less than 1% in price over the festive fortnight, and whilst supplies remain plentiful, acid whey offers have dried up, presumably because it is too cheap to dry. Producers and traders are shouting about imminent price rises and shortages, but they would say that, wouldn’t they?

However, the UK calf milk replacer market has started to ease, with reports of price reductions the south side of £50/t for skim-based CMRs, but less on the whey-based products. One suspects that this is likely to be short lived if the skim and/or whey markets bounce, but it is in recognition of the insurance that has been built in to pricing during the volatility of 2022.

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


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