Report 43 – Released on October 22, 2020

WESTERN EUROPEAN OVERVIEW:

Netherlands unofficial milk production estimates for early October indicate seasonal declines slightly lower than expected. France and Germany are believed to have slowed the seasonal decline. The German seasonal low point is expected to occur in mid-November. Irish milk production is viewed as continuing to be ahead of last year at this time.

A new development in Germany is increased manufacturing and sales of UHT milk. This is attributed to consumer interest in stocking up on milk as a precautionary measure related to concerns of COVID-19 related milk supply disruptions.

The European Commission is developing proposed legislation to be released by the end of 2023, intended to create a legal framework for a sustainable food system. The interests to be addressed are maintaining adequate and affordable food and maintaining adequate income for producers, while adhering to sustainability goals as to climate neutrality by 2050.

Demand for sliced cheese within Western Europe, especially Germany, France, and Netherlands,remains strong. The strongest demand is for home consumption. Food service demand is better than expected, but lags home dining demand. Italian cheese demand has pulled back. Supply availability is mixed among and within countries. Cheese making is at the top of the list for extra milk.

EU cheese exports January – August 2020, 619,000 MT, increased 8.0 percent from January –August 2019 according to CLAL data made available to USDA.

EASTERN OVERVIEW:

Dairy exports from Belarus remain strong January – August 2020 compared with January –August 2019. Export volumes and percent changes for the period include butter, 58,000 MT,+4.9 percent; cheese, 173,000 MT, +11.8 percent; SMP, 85,000 MT, +6.4 percent; WMP, 19,000 MT, 24.2 percent; and dry whey, 91,000, +29 percent, according to CLAL data made available to USDA.

 Information for the period October 12 - 23, 2020, issued biweekly

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

     Additional Dairy Market News Information:
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