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Milk Prices Trend Higher as Supply Concerns Mount

05 April 2013

UK – Limited production has resulted in strong prices as supply weakens.

According to DairyCo, many buyers who were previously ‘reluctant’ to trade have now been forced into the market due to supply concerns.

Snow and ice have dominated the weather picture across Britain over the last few weeks. This is delaying the start to the 2013 milk year with deliveries 8.2 per cent down on last year for the two weeks up to 23 March.

This means a 3.2 million litre/day drop in output on last year’s production and an upward trend in all dairy commodity prices.

Cream and Butter are up £50 and £100/tonne respectively on February and favourable exchange rates are helping exporters.

TheCattleSite News Desk

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