UK wholesale prices: Butter trade remains thin
Most fresh or stored product has a name on it already, and exchange rates had little impact on prices through November for most products, except SMP.
Cream prices started at around £2,000/tonne before picking up mid-November to around £2,200 - £2,250/tonne due to demand from the continent, mainly Germany and France.
Some issues with transport limited the volumes achieving these higher prices however, and prices fell back to around the £2,000/tonne level by the end of the month.
Butter trade remained thin, and while it was reported there were plenty of enquires from buyers, not a great deal of trade was completed. Tight stocks limited the drop in butter prices, despite some pressure from currency fluctuations.
The SMP market remains under pressure as demand remains weak and supplies remain high. In addition, the stronger Euro has put downward pressure on prices in the UK.
Trade in mild cheddar on spot markets was relatively thin in November, with sellers selling primarily to balance stock profiles. Demand for UK sourced cheese remains stable, and stocks were reported as relatively low for this time of year.
Although there was some pressure from weak sentiment on the continent - due to falling prices for young cheeses - there was little trade done in the UK for mild cheddar at these lower prices. ■