Archive: DairyCo contributes to Milk Market Observatory initiative

Published 5 August 14

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The Milk Market Observatory (MMO) has recently been formed to provide the EU dairy sector with greater transparency in dairy markets. This is accomplished through the publication of official statistics and regular analysis of the market situation by a panel of industry experts, to which DairyCo contributes. Both the latest statistics and summary reports of panel meetings are published on the MMO website.

The most recent review of the market situation summarised that downward pressure has been increasing on milk prices since March. This was a result of higher milk supplies from key producing regions and limited growth in export and domestic demand. Household consumption in the EU is reported as stagnate, with both industrial and import demand hampered by high prices. There is some expectation that demand may recover once buyers perceive the price floor has been reached and they look cover year end requirements.

Assessments of stock levels at an EU level provided an indication of healthy stock levels for most dairy products, but not in a state of oversupply. World stocks however are stated to have increased since the end of the second quarter of 2014.