Milk prices in the EU are falling due to a large supply on the market

Published 2023년 3월 13일

Tridge summary

The European Union is experiencing a decrease in raw milk prices due to an oversupply and limited demand for dairy products, both domestically and internationally, particularly in China, Japan, and Southeast Asia. This is despite the fact that prices are higher than February 2022 levels. The situation is worsened by surplus production of cheese, butter, and milk powder in anticipation of increased demand in China. As a result, dairy products are becoming cheaper in European warehouses. However, in Ukraine, raw milk remains cheaper than the EU's lowest price. Hungary is the only country where milk prices are rising, due to increased production costs.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

Prices for raw milk in most EU member states are falling under the influence of too much product supply on the market in conditions of limited demand for dairy products in the world. Meanwhile, in Ukraine, despite the sideways or restrained upward movement of prices, raw milk remains 5% cheaper than the lowest price tag in the EU, and among the few countries where the current price of raw milk has decreased compared to February 2022. This was reported by AVM analyst Georgy Kukhaleishvili. According to preliminary data from the European Commission, in February 2023, the average price of raw milk in the EU decreased by 2.79%, to 54.78 euro cents per kg, compared to January 2023. Although, compared to February 2022, the price still increased by 22.42%: a year ago, raw milk in the EU cost an average of 42.5 euro cents per kg. According to Kukhaleishvili, the weakening of prices for milk raw materials in the EU is influenced by too much supply of the product in conditions of limited ...

Source: Agravery