Milch News, 11/02/2023

In the 42nd calendar week, the amount of milk delivered to Germany decreased again. According to preliminary calculations, another 1.1 percent less milk was recorded. The milk quantity in the same week last year is also 0.4 percent lower, so the lead over the year to date is now 1.9 percent. As a result, cream prices continued to rise and demand, particularly for the production of molded butter, increased due to good consumer demand. Skimmed milk concentrate also increased, with demand improving. On the spot market , the ife Institute quoted a value of 42.4 cents/kg, 0.2 cents less than the previous week. However, the Kiel raw material value milk increased significantly. For October the value increased by 4.2 cents/kg to 39.2 cents/kg. Deliveries of molded butter have calmed down significantly this week due to the holidays. Overall, however, a high level of outgoing goods continues to be recorded. Promotions in food retail have spurred consumer demand. Demand is expected to remain high in the coming weeks due to the approaching Christmas season.Because of the public holiday yesterday, the South German Butter and Cheese Exchange in Kempten did not trade yesterday. There was also no quotation for block butter . Here the supply is becoming more scarce. Inventories have recently been reduced well, but new business is limited for short-term deliveries; deliveries are in demand in the first quarter of the new year, but deals are not yet being concluded on a large scale. There are firmer trends in butter contracts on the EEX, especially in the early dates, prices have recently increased and more contracts were traded compared to the previous week. Demand for sliced cheese is described as continuing to be good. The orders and demands from the food retail sector are increasing again, but there are also bring-forward effects due to the public holidays on October 31st and November 1st. to be taken into account. There is no significant impetus from industry or large consumers; these buyers call up goods from the ripening warehouses in the agreed volume. The only thing that is declining is the demand for mozzarella. Even though there are no official quotes this week, traders are reporting firmer price trends.After the very significant recovery in October, the market for food-grade skimmed milk powder has developed less dynamically. On the EEX, the early dates in particular have fallen slightly again on a weekly basis. The most recently quoted price level has significantly reduced demand and business transactions have become rarer. However, this does not create any real pressure to sell. Due to declining milk deliveries and the reduction in inventories, the goods are not hitting the market. Demand for feed qualities was also quieter. The whole milk powder market remains stable. Inquiries and outgoing goods are at the previous week's level, and there is still a significant lack of competitiveness on the global market. Sellers report firmer prices for whey powder . Manufacturers received increasing demand both from the domestic market and from exports. However, business in China continues to fall well short of expectations. Because of the All Saints holiday, no quotation for dairy products and milk powder was published in Kempten yesterday.