EU: Butter price up 64% year-over-year

Recently, European dairy commodity markets have seen a softening in demand for butter and, consequently, prices for it, while the price of skimmed milk powder continues to rise.

Reduced milk supplies and strong demand are the main reasons behind the recent rise in commodity prices, according to StoneX.

In more detail, the European Butter Index has risen for 14 consecutive weeks and has risen by more than 40% in that time. However, according to the company, over the past two weeks, the price of European oil has fallen by 1.4% from the highs of mid-November. However, despite this decline, the average butter price remains 64% higher than at the same time last year.

In the meantime, skimmed milk powder (SMP) has shown an increase in price 18 times since the beginning of August, which has increased by 32% during this time.

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