UK mild Cheddar wholesale explanation

Published 27 January 16

AHDB has made the decision to suspend publication of wholesale mild Cheddar prices as of this month (January 2016) due to the lack of spot trade and the inability to quote a price representative of completed spot deals.

The lack of trade has highlighted limitations of the spot price and increased the risk of misperceptions of what the price represents. In Cheddar markets, where a large proportion of sales will be on contract, spot prices can vary significantly from contracted prices – especially when stock levels are out of kilter with demand. For more information, see the video above.

AHDB Dairy will continue to monitor Cheddar markets and gather intelligence from the trade on activity in this market. However, to avoid misunderstanding we have taken the decision to share price information only after the opportunity to discuss it on a one-to-one basis.

We will continue to work with the industry to improve the reporting of wholesale Cheddar prices, with the aim of beginning to publish the prices again in the future. Anyone who is interested in receiving the average spot price for mild Cheddar, or in helping AHDB improve the price reporting process should email datum@ahdb.org.uk with their contact details.