Milk Market: The first storm clouds? Market Analysis from December 1, 2023
Cheese is rising; cheese, protein concentrates slightly falling, milk fat, skimmed milk powder, spot milk price falling.
Consumer sentiment and demand are poor, but milk production is also low. The prices for cheese are still slightly rising, whereas the prices for volatile products such as skimmed milk powder, milk fat, and spot milk price are falling. These could be the first signs of a downturn, but it could also just be a brief pause. The "Christmas milk" is being traded around 0.33 € with a downward trend.
And in Switzerland?
The milk price will be reduced by 2 cents on January 1, 2024, and, of course, everyone is now waiting for lower prices, and sales are even weaker.
Regarding the question: The first storm clouds?
The milk prices in Europe hit a very low level this summer, and production consequently declined. Currently, the milk price is rising and will settle in at over 0.40 €. The question now is, is this enough to stimulate production enough that there is already too much milk on the market in spring?
Our forecast for Q1:
Prices will remain stable until the end of January. However, we do expect increased production afterwards, which will meet subdued demand and therefore tendentially lower prices.
We will be present at the following fairs:
- Marca Bologna, January 16 & 17, 2023
- Salon du Fromage, Paris 25.- 27.2.2024, with our own booth
- Cibus Parma 7. – 10. May 2024
- PLMA, Amsterdam 28, 29. May 2024
- International Cheese Award, June 27, 2024
- Sial, Paris 19. - 23. October 2024, with our own booth
Best regards, Affineur Walo
