Report 41 – Released on October 14, 2021

WESTERN EUROPEAN OVERVIEW:

Milk production naturally declines through mid-November in parts of northern Europe. Whilemilk output is following this typical seasonal pattern, several industry sources reportweekly collections in France and parts of Germany were above the previous week. A fewsources also indicated spot milk prices may have eased slightly. However, supplies of farmmilk intakes, cream and skimmed milk concentrate are tight and are trading at high prices.As a result, dairy product manufacturing is constrained.The European Commission released the Autumn 2021 Short-term Outlook for the EU earlier thisweek. In the report, the commission forecasts EU milk production to grow 0.3 percent forthe year. They predict stable milk intakes through Q3 and rising milk deliveries in Q4.Continued strong cow slaughtering would result in a smaller milking herd, but that may beoffset by an increase in milk production per cow.

WESTERN EUROPEAN SECONDARY DATA:

According to CLAL data made available to USDA, January – August 2021 raw cows’ milkdelivered to dairies in the United Kingdom was 10,577,000 MT, up 0.7 percent from January -August 2020.

EASTERN EUROPEAN OVERVIEW:

Farm milk intakes are tight in Eastern Europe. Manufacturers have to allocate available milkamong processing channels. Like much of Europe, milk production in eastern parts of thecontinent is still in seasonal decline, however, unlike some of the other major milkproducing countries, Poland’s milk output is ahead of the prior year.

EASTERN EUROPEAN SECONDARY DATA:

According to Eurostat data, August 2021 raw cows’ milk delivered to dairies in Poland was1,059,270 MT, up 0.9 percent from August 2020, but down 0.8 percent from July 2021.According to CLAL data made available to USDA, January – August 2021 raw cows’ milkdelivered to dairies in Poland was 8,514,000 MT, up 0.3 percent from January – August 2020.