More Commodities - Dairy Products

Butter: high demand presents challenges

January 28, 2022 at 9:06 AM, Der AUDITOR
Play report as audio

FRANKFURT/BRUSSELS. Milk deliveries still range below normal levels in France and Germany. Prospects are far from encouraging as energy and feed costs continue to rise. This issue presents a problem for butter manufacturers, especially since international demand is high.

High production costs in Germany

As retailers are selling their remaining stocks, they are ordering more butter from manufacturers. Negotiations are currently underway as the Southern German Butter and Cheese Exchange in Kempten reports, but it remains unclear what way the prices for packet butter will turn. Trading has slowed for bulk butter and sales have recently declined in Germany with buyers preferring to wait as prices are high. The quotations for bulk butter remain fixed at EUR 5.75-5.95/kg in Kempten. Concerns are being voiced over the rise in production an

View related articles

Go to the News Overview
Dairy Products
Sep 27, 2022
FRANKFURT/BRUSSELS. With consumers about to spend more time indoors as the weather is switching to autumn the EU dairy industry is closely monitoring the impact of the energy crisis and inflation on milk, cream and butter.
Dairy Products
Aug 25, 2022
FRANKFURT/BRUSSELS. Butter producers are growing increasingly worried over the continuing war in Ukraine, the energy crisis and the persistent drought in Europe.
Dairy Products
Jul 11, 2022
FRANKFURT/BRUSSELS. As Europe is suffering from drought, especially in France, Italy and Germany, and the war in Ukraine continues there is little hope that costs will decline. EU butter production has already dipped by nearly 4% between January and April and negotiations are tough.
Dairy Products
May 24, 2022
FRANKFURT/BRUSSELS. Consumers are really confronted with a painful surge in prices as recent data shows. EU butter prices, for instance, soared by more than 70% in April as compared with last year. Dairy farmers are also reeling from high production costs. Although leading processors such as Kerry have stepped up support for farmers, the proposed scheme is a gamble at best.