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Butter: discounters generate unexpected hype

September 9, 2021 10:49 AM, Der AUDITOR
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FRANKFURT/BRUSSELS. While milk deliveries continue their seasonal decline in Germany, dairies are confronted with an unexpected hype for table butter in the discounters. Retail sales are, by contrast, only picking up slowly throughout the USA. Ireland is offering highly competitive prices for butter. Demand has also shifted more towards China in the export market.

Unreasonably high prices for cream

While the dairies can charge the discounters higher prices for butter in Germany as of September, several supermarket chains have cut their prices for table butter as the Butter and Cheese Exchange in Kempten reports. This has given rise to an unexpected boom in demand in the retail market. Problem, however, is that this has hit the dairies quite unexpectedly. As the prices for cream range very high at 5.50 euro cents depending on the amount of fat it is difficult for them to produce fresh butter. Prices for cream are high as milk

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