Milch News, 05/Feb/2026

1) Basic data & price level (EU)

Current EU average prices continue to show a tense but stabilizing market environment:

• Butter: approx. €419/100 kg, recently declining (≈ -3.8% compared to previous month).

• Skimmed milk powder (SMP): approx. € 210/100 kg, moderate increase.

• Whole milk powder (WMP): approx. 312 €/100 kg, slightly firm.

• Cheddar: approx. 377 €/100 kg, slightly weaker.

• Spot raw milk Italy: around 28.8 ct/kg (week 4 level).

These data confirm a segment split:
Fat products weak, powder stable to firm.

2) Raw material value & revenue situation

The Kiel commodity value of milk fell significantly in December 2025 to
30.8 ct/kg (-13.7% compared to the previous month; lowest level since 2020).
This was mainly due to the sharp drop in butter prices.

The economic basis of milk production therefore remains weak,
even if individual product prices stabilize in the short term.

3) Global market stimulus (GDT)

The most recent Global Dairy Trade auction (February 2026) brought:

• Overall index: +6.7 %

• Butter: +8.8 %

• SMP: +10.6 %

• WMP: +5.3 %

First clearly positive global signal after a long period of weakness.

4) Supply and production situation

• EU milk prices remain below the previous year's level
  (butter around -17%, SMP around -43% compared to the previous year).

• At the same time, milk supply remains high, which
  structurally limits the price increase.

• Individual countries show heterogeneous production trends,
  which indicates regional weather and structural differences.