USDA: European Dairy Market Overview in the beggining of November 2021

Report 45 – Released on November 10, 2021

WESTERN EUROPEAN OVERVIEW:

Milk deliveries across Western Europe are in typical seasonal declines, trailing to theannual nadir of milk output in November. Industry sources report prices for farm milk, creamand skim milk concentrate have all risen over the last few weeks. Demand for each has alsoincreased ahead of the fall and winter holiday season. Even with dairy prices supportive ofmilk production, farmers are facing higher feed costs and pressures to limit cow numbers. Assuch, industry sources expect milk supplies to remain tight over the next few months.

Lower than expected farm milk volumes have resulted in tight supplies of manufactured dairyproducts. Industry contacts suggest general dairy product demand is solid. While end usershave covered much of the Q4 dairy needs, dairy production and shipment are behind, andmanufacturers are trying to catch up.

WESTERN EUROPEAN SECONDARY DATA:

According to CLAL data made available to USDA, provisional September 2021 raw cows’ milkdelivered to dairies in the UK was 1.1912 million ton, down 0.4 percent from September2020. Year-to-date milk deliveries through September 2021 in the UK, 11.761 million ton,increased 0.5 percent compared to year-to-date milk deliveries through September 2020.

EASTERN EUROPEAN OVERVIEW:

Milk production in Poland and other Eastern European countries is nearing the low point forthe year. That said, a few the countries in the eastern parts of Europe have been above milkoutput volumes for the year to date. Strong cheese demand, rising commodity prices andrelatively stable milk prices have helped support farm milk output. Several countries likePoland and Belarus have been able to meet domestic needs and work to expand exportopportunities.

 Information for the period November 1 - 12, 2021, issued biweekly

     Published by:
     Dairy Market News - Madison, WI
     MIKE BANDLI, (608)422-8592
     Email: mike.bandli@usda.gov

     Additional Dairy Market News Information:
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