Report 5 – Released on January 30, 2020

Butter prices in Western Europe are slightly lower. The variation is slight and is considered trading fluctuation, not necessarily a new price trend. As always, this price series represents pricing across a number of countries. Pricing is stable in some countries, weaker in others. Germany tends to have the highest prices, and Netherlands the lowest among major butter producers. Butter oil prices are mixed.

Packaged butter orders in Western Europe have increased in late January. Demand is expected to increase in coming weeks. Bulk butter demand has also strengthened. There is more buying interest for near term winter butter deliveries as well as contracting for the balance of the quarter. Available supplies are very tight.

     Western Europe, 82% Butterfat, Free on Board - Port Butter
     Price Range - $/MT:                          3,925 - 4,125


     Western Europe, 99% Butterfat, Free on Board - Port Butteroil
     Price Range - $/MT:                          4,900 - 5,100


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

Secondary Sourced Information:

EU butter production January – November 2019 increased 2.8 percent from January – November 2018, according to Eucolait. However, November 2019 production was 1.4 percent below November 2018. Production declines in some leading producing nations led to the overall decline. Comparing November 2019 with November 2018, Ireland butter production decreased 14.3 percent. Netherlands production decreased 14.9 percent.

EU butter exports were quite strong in November 2019, 20,213 MT, up 61.6 percent from November 2018, according to Eucolait. Stronger exports to the United Arab Emirates, Turkey and Egypt helped boost exports. January – November butter exports, 166,289 MT, increased 37.8 percent from January – November 2018.

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

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