Milk prices in the EU show an increase for the first time since December

  • Milk prices in the EU show an increase for the first time since December
    FarmIreland.t. E.
    The EU average farm gate milk prices rose 1.0 PC in June 2018 to 32.37 C/kg; this is the first step up after consecutive declines from December 2017.
    https://www.independent.ie/business/farming/dairy/milk-prices/eu-milk-prices-show-increase-for-the-first-time-since-december-37199983.html
    https://www.independent.ie/incoming/article37166639.ece/efa44/AUTOCROP/h342/2018-07-19T125206Z_530516565_RC1BDD0B68B0_RTRMADP_3_GERMANY-POLITICS-MERKEL.JPG

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The EU average farm gate milk prices rose 1.0 PC in June 2018 to 32.37 C/kg; this is the first step up after consecutive declines from December 2017.

Due to adverse weather conditions, the expected increase in production volumes of dairy products the EU this year was lower than expected.

This can lead to an increase in milk prices in the 2nd half of 2018, in accordance with the latest forecast of the European Commission

In the first quarter of 2018, the milk collection in the EU was more than 2pc higher than last year.


Despite the large dairy cattle, production growth was slightly less than expected. The main reasons were cold and damp weather retards the growth of grass in early spring, accompanied by a precipitation deficit in some member States.

At the height of the dairy season (April-June), the availability and quality of pastures is the key not only to securing a good pasture, and to create fodder for the next few months.

After a late start, grass productivity in France is now back to normal in the main dairy regions. Ireland and the UK, is still catching up in this regard.

In addition, Denmark, and the vast territory around the Baltic sea, it affects a relatively higher seasonal temperatures and lack of precipitation.

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On the other hand, farmers were able to use more feed due to higher margin at the end of 2017 and the expected increase in yields prices in the second half of the year, thereby partially offsetting the reduced availability of food.

Ireland, and to some extent France, have been most affected, the Commission said.

In addition, the collection of milk in the Netherlands in comparison with last year, as restrictions on the emissions of phosphates in stages.

On the contrary, the collection has grown significantly in Germany, Italy, Poland, Spain and Belgium in the first 4 months of the year.

The increase in collections in the EU, but all over the world, as we came to the peak of the season, led to the fall of prices in the EU raw milk to about 33 euros/100 kg in April.

It was 2pcs at a price lower than the previous year and 1pc lower than in the last 5 years on average.

In accordance with the forecast, the price of milk in the EU is expected to increase this year. This corresponds to the seasonality and current growth of prices for dairy products, driven by EU and global demand.

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