Market Report 24.2.23
Were these weeks the short stop before the crash?
The third week with stable prices.
Sellers have lightened the cheese warehouses in recent weeks with the low prices and can now wait. Buyers have stocked up on cheap cheese and can also wait. The question is what happens next? If demand picks up, then prices will hold or rise, if demand remains weak, the crash will come.
Those who have not emptied the stocks in recent weeks are speculating on rising prices. I have the impression that this is the case for the whole of Switzerland, the milk sellers’ cooperatives have kept the milk price high against the market and fixed the price until the end of June. To put it another way, they are speculating on rising prices. A risky game especially for the producers who are building up the stocks. For the milk sellers the risk is limited, unless one of the big milk buyers is illiquid.
Results of the GDT auction of 20.2.23 (rather negative)
The average price index at the 2/20/2023 GDT auction decreased 1.5%. The whole milk powder index decreased 2.0% at an average price of $3,264/ton, the skim milk powder index decreased 2.4% to $2,769/ton, and the butterfat 100% (AMF) index decreased 2.6% to $5,447/ton. The butter index was up 3.8% to $4,922/ton and cheddar was up 1.5% to $5,086/ton. BMP was not offered, and lactose results were not released.
To the question: where these weeks the short stop before the crash?
Milk production is high, and demand is weak, if this does not change, prices will drop massively in spring. Demand can almost only come from Asia especially China. In the USA and Europe, the markets are saturated, and the economy is weakening. Production will remain rather high thanks to the mild weather. The question is how will production develop in the summer? will there be enough water and cheap animal feed? Due to the poor snowfall, water will be scarce in Italy and Switzerland, but in Austria and Eastern Europe there seems to be enough snow. Due to the war, feed will remain rather expensive.
In this situation it is important to keep a cool head and above all not to build up a stock.
Kind regards, Affineur Walo
Our market report is issued monthly, when the markets are very unsettled, we increase the frequency (now weekly on Monday.)
Presentation Walo von Mühlenen AG
Walo von Mühlenen AG produces cheese for the processing industry and specialty cheeses:
1. the cheeses for the processing industry are created especially for our customers. Each customer has its own special recipe that we develop together with our technicians. It includes cheese for grating, cagliata for mozzarella production, cheese for ready meals, mozzarella with buffalo milk, grilled cheese with buffalo milk and many more.
Do you need a special cheese? Call us!
2. Our specialty range includes 2 different assortments of Flower Meadow cheeses made with natural raw milk. These are unique cheeses with a natural and complex flavor. These cheeses can be found in well-stocked cheese counters.
Do you need a special cheese for your cheese counter, do you want your cheese counter to gain profile. Then give us a call!
The two assortments are:
A) Affineur Walo, under this name we market the cheeses for the connoisseur who is looking for the extraordinary. These are cheeses made according to the recipes of the von Mühlenen family. The von Mühlenen family founded their first store in Bern in 1867 and since then they have remained faithful to Swiss raw milk cheeses. The family's cheeses have won countless awards, they have been world champions several times and continue to win awards regularly.
B) l'Antoine the cheese artist, under this name we market the cheeses for the connoisseur who seeks the original. These cheeses are made according to the 17th century recipes of Antoine the Cheese Artist. Antoine was a shepherd and cheese maker who lived in the Gruyère region in the canton of Fribourg and created many cheese recipes. A few years ago, Affineur Walo discovered these recipes and revived the old tradition. Already the first cheeses of Antoine have inspired international jury and have already received many awards. Thus, the raclette cheese received the award "best innovation of the year 2022" and it was also immediately chosen as the "best raclette in the world".
What does the label Swiss “Flower meadow cheese” mean?
Swiss Flower Meadow-cheeses are unique and one-of-a-kind products that bring the taste of nature directly to the tongue of every cheese lover. Their flavours are characterized by the natural raw milk, which guarantees that the diversity of the flower meadows is preserved, remains, and takes them into the world of nature.
The complex aroma of Flower Meadow cheese is clearly different from industrially produced cheeses. The secret of the aromatic taste of the Flower Meadow Cheese lies in the flower meadows, in the careful processing of the raw milk, in the craftsmanship of the cheesemaker and the knowledge of the affineur.
The milk is not bactofugated or ultrafiltrated and no lysozymes are added.