17 November 2018

You may have seen elsewhere the market has leapt €50 on sweet whey. Quite why is a harder question to answer.

Just about every milk powder company in the world was at Eurotier, and as is the way with exhibitions/conferences/bourses, traders whip up a frenzy that is invariably a bull market. Sylvain at Lacto Production tells me this hike has been triggered by traders marking prices up, while supplies remain abundant.

Apparently the German market has not risen, while the Dutch market hit the gradient. So his view is that it is traders needing some movement, either up of down, to position themselves with a long/short position to widen out what they see as a worthwhile margin.

He may, of course, be wrong, but his batting average has been quite consistent over the past couple of years.

One other thing, everyone was hitting the Lacto stand looking for WPC35, so the shortage is now a famine.

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


Recent Posts

See All

2 December 2021: Peak Skim?

I give up trying to read this market. Last week, it looked certain to be running out of steam, yet this week we are served up with a whopping €50 increase in skim milk and €30 increase in sweet whey p

25 November 2021: Levelling up?

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 gr

11 November 2021: Square Book

The truce is over, for whey at least, as it is up €10-20 this week, but more significantly producers warn of more to come as their milk supply dwindles. Skim milk shoots up another 2% or €60 on the sa