USDA: European Dairy Market Overview in the beginning of January 2021

Report 1 – Released on January 7, 2021

WESTERN EUROPEAN OVERVIEW:

Early 2021 milk production is increasing seasonally in the primary Western Europeanproducing countries such as Germany, France, Netherlands and Italy. Cheesemakers inparticular are vying to obtain as much milk as they can from increased volumes.

The focus of cheese manufacturing is to keep retail sellers stocked. Food service interestis lagging with some Western European countries increasing COVID-19 related activity anddining out guidelines. Limited cheese is available for spot market sales. Manufacturers havebeen able to somewhat increase cheese in aging facilities over the December holidays becausefew new sales occurred during that period.

European Union cheese exports January – October 2020, 753,393 MT, increased 8 percent fromJanuary – October 2019 according to the European Union citing Eurostat data. Top exportdestinations January – October 2020 and percentage change from January – October 2019 areJapan, 108,331 MT, +13 percent; USA, 96,517 MT, -15 percent; and Switzerland, 58,162 MT,+12 percent.

EASTERN EUROPEAN OVERVIEW:

Belarus exports of primary dairy products January – October 2020 were butter, +8.9 percent;SMP, +1.7 percent; WMP, +18.4 percent; and cheese, +12.2 percent, according to CLAL datamade available to USDA.

Ukraine exports of primary dairy products January – October 2020 were below January –October 2019. Results include butter, -42.5 percent; SMP, -23.7 percent; WMP, -58.8percent; and cheese, -19.5 percent, according to CLAL data made available to USDA.