Milk prices in EU and Poland should rise in the coming weeks and in 2022

Published 2021년 10월 27일

Tridge summary

Experts from Bank PKO BP predict a positive effect on milk prices due to a decrease in production in the EU and Poland. The average purchase price in Poland in August increased by 13% compared to the previous year, and there has been a significant increase in the prices of most dairy products, especially butter, compared to 2020. The average purchase price in Poland is expected to increase by 1-5% in 2022, with the dynamics decreasing in later months of the year. The decrease in supply and increasing milk production costs, along with potential economic performance improvement in the EU, support the increase in prices, although export of dairy products to Asian markets, especially China, could be a factor of uncertainty.

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

Original content

According to experts of Bank PKO BP, declines in milk production in the EU and a slowdown in production in Poland due to a smaller number of cows have a positive effect on milk prices. - Declining production in the EU translates into increases in milk prices. The average purchase price in Poland in August amounted to PLN 150.52 / hl and was higher by 13%. y / y The prices of most dairy products have increased significantly compared to 2020. Noteworthy is the strong increase in butter prices. In September, they were 27 percent higher. y / y and were at the highest level since 2018. The increase in demand, including in the catering sector, and high prices of vegetable fats (margarine) support the price increases of this product. Prices of skimmed and whole milk powder in the EU in September increased by 26% respectively. y / y and 25 percent y / y to the highest level in over 7 years - informs Mariusz Dziwulski from the Economic Analysis Department of PKO BP Bank. According to bank ...

Source: Wrp