EU: Rabobank expects milk prices to recover from April

Published 2023년 3월 8일

Tridge summary

EU milk prices are expected to drop to around € 45 per 100 kilos of milk in April, reaching the lower end of Rabobank's forecast for 2023. This is due to milk production rising more slowly than anticipated and following a downward trend in other regions like New Zealand and the US. The European milk supply has increased by 1.2% in the first quarter compared to the same period in 2022. The dairy market is volatile, with prices of basic dairy products falling sharply in the first two months. Global milk production is expected to increase by 0.8% in 2023, a slight adjustment from the previous forecast, largely due to increased cattle slaughter in the United States and weather-related challenges in New Zealand.

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

Original content

According to Rabobank, the average milk price in the main milk-producing countries in the EU will drop in April to around € 45 per 100 kilos of milk. This means that the milk price will soon reach the lower end of the forecast (€ 45 to € 55) that the Rabo analysts issued in December for the whole of 2023. Milk production is rising less quickly than expected European milk prices are currently following the price decline that has already started in other regions such as New Zealand and the US. In April, the bottom seems to have been reached. After that price recovery is expected. This is because milk production is increasing somewhat less than previously anticipated. Milk supply is higher The European milk supply is 1.2% higher in the first quarter than in the same period of 2022 and Rabobank expects growth of 1% in the second quarter. Strong increases in milk supply have been recorded in Ireland, the Netherlands and Germany. Production figures are only lower than expected in Italy ...

Source: Boerderij