Report 31 – Released on July 30, 2020

WESTERN OVERVIEW:

Dairy industry contacts in Western Europe comment on feed costs being quite reasonable now.

With recent rain helping bolster pastures, confidence is increasing in dairy production increases moving forward.

EU milk production during May 2020 was 0.4 percent higher than May 2019, according to Eurostat. January – May 2020 milk production was reported as 1.3 percent higher than January– May 2019.

Looking at some of the primary Western European milk producing countries January – May 2020 compared with January – May 2019, the percentage changes are Germany, +1.1 percent;France, +0.9 percent; Netherlands, +2.4 percent; Italy, +3.1 percent; and United Kingdom,+0.9 percent, according to CLAL data provided to USDA.

Cheese markets are stable in Western Europe. Retail cheese sales are very good. Orders are generally consistent, which is helpful to manufacturers. Export orders on the books are being satisfied. Many anticipated contracts for later in 2020 remain in negotiation. There is a divergence among cheese plants as to how aging stocks are viewed. Some plants report stocks are sufficient while other plants describe aging stocks as low.

EU cheese production during May 2020 was 2.2 percent lower than May 2019, according to Eurostat. In some of the primary Western European cheese producing countries January – May 2020 compared with January – March 2019, the percentage changes are Germany, +2.5 percent;France, -0.8 percent; Netherlands, -3.0 percent; Italy, -0.3 percent; and United Kingdom,+0.1 percent, according to CLAL data provided to USDA.

EU cheese exports January – May 2020, 525,811 MT, decreased 3.7 percent from January – May 2019, according to Eucolait. The main export destinations for the first third of 2020,quantity, and percent of the total, were the UK, 138,047 MT, 31.9 percent; the United States, 38,165 MT, 8.8 percent; and Japan, 35,110 MT, 8.1 percent.

EASTERN OVERVIEW:

Milk production in Poland during May 2020 was 1.8 percent higher than May 2019, according to Eurostat. January – May 2020 milk production was reported as 1.7 percent higher than January – May 2019. Production of some dairy commodities in Poland January – May 2020 compared with January – March 2019, are cheese, +4.4 percent; butter, 10.2 percent; SMP,-1.7 percent; and WMP, -0.1 percent, according to CLAL data provided to USDA.

Milk production in the Czech Republic during May 2020 was 3.7 percent higher than May 2019,according to Eurostat. January – May 2020 milk production was reported as 4.5 percent higher than January – May 2019. Production of some dairy commodities in the Czech Republic January – May 2020 compared with January – March 2019, are cheese, +8.7 percent; butter,3.3 percent; SMP, +8.3 percent; and WMP, -9.1 percent, according to CLAL data provided to USDA.

  Information for the period July 20 - 31, 2020, issued biweekly

     Published by:
     Dairy Market News - Madison, WI
     Eric Graf, 608.422.8590
     Email: Eric.Graf@usda.gov

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