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Butter: highly competitive prices in the EU

February 21, 2020 12:32 PM, Der AUDITOR
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FRANKFURT/BRUSSELS. Germany shipped as much as 4,528 metric tonnes of butter to Saudi Arabia last year. Negotiations within the German market are, however, difficult. The European Commission has reported a drastic rise in exports.

Difficult negotiations in Germany

Saudi Arabia is the main export destination for Germany as shipments amounted to 4,528 metric tonnes last year. Total shipments from Germany range at 15,447 metric tonnes. Germany thereby ranks fifth in the EU export ranking of producing countries. Meanwhile, the prices for bulk butter continue to trade in a stable range of EUR 3.56-3.66 per kg EXW. Problem is that the buyers are looking for contracts, that warrant low prices for as long as possible. The dairies, however, refuse to enter such agreements.

A wait and see attit

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