July 4, 2018

 

EU cow's milk deliveries rise 2.1% in 1st 4 months

 

 

EU cow's milk collection increased 1.2% or by 167,000 tonnes in April compared with the same month in 2017. The increase was most notable in Germany, Italy and Poland, according to the "Milk Market Situation" report for June 2018, put out by the European Commission's Milk Market Observatory.

 

Cumulated January-April deliveries were 2.1% above the same period in 2017 (+1 million tonnes).

 

Similarly, an increase in EU production was reported for the period January-April for skim milk powder, or SMP (+6 %), butter (+1.2%) and cheese (+2.4%), while there were 9.1% less concentrated milk, 5 % less whole milk powder (WMP) and 1.5% and 0.6% less cream and drinking milk, respectively.

 

EU exports in the first four months also increased in volume for SMP (+8%), butteroil (+7%) and whey powder (+3%). Decreases, however, were observed for condensed milk (-13%) and WMP (-9%), while there were no changes for butter and cheeses. Total EU exports in this period, expressed in milk equivalent, would have been the same as last year, while the value of these exports decreased by 6%.

 

During the January-April period, the US remained as the top importer of EU cheeses, although registering a 10% decrease compared with last year. Japan was second (-3%), followed by Switzerland (+5%), South Korea (-22%) and Saudi Arabia (-6%). Lebanon increased its volumes by 18% compared with last year and Australia by 11%.

EU butter exports' No. 1 destination in January-April was the US, although it registered a 4% decrease, followed by Saudi Arabia (+31%), Singapore (+ 52%) and Japan (+81%). 

 

SMP imports

 

For EU exports of SMP in the first four months, Algeria led the ranking, with volumes increasing 53% compared with last year. The second destination for EU SMP was Egypt with a 65% increase, followed by China (-28%) and Indonesia (-40%).

 

EU WMP exports to No. 1 destination Oman increased 64%. Algeria, China and Kuwait were the other main markets during this period, although with significant decreases.

 

According to the report, China is still the main world dairy importer of butter, WMP, whey powder and lactose. China increased its dairy imports in terms of volume in the first three months for butter (+30%), SMP (+11%), WMP (+10%) and whey powder (+12%), while it decreased for cheese (-5%).

 

By April 2018, after China, Australia was the main butter importer (+12%), followed by Russia and the US. Singapore also showed significant increase in butter imports (+29%).

 

Japan, Russia, the US and South Korea led the ranking of cheese importers by April 2018, although the US posted decreased volumes (-9%) compared with last year.