European Dairy Market Summary

MADISON - Oct 23/14 - SNS -- Dairy market conditions in western and eastern Europe were reviewed in the latest report on the sector released by the USDA today.

WESTERN AND EASTERN EUROPE
WESTERN OVERVIEW:
Western Europe milk production continues to decline and is nearing the
seasonal low point.  Monthly year over year milk production increases are
narrowing and in some countries the milk intakes are marginally below year
ago levels.  Farmgate prices have declined, but are not to a level to prompt
producers to lower milk production or reduce herd sizes.  Increases in global
milk production and dairy product manufacturing have pressured prices lower
for most dairy product markets and contributes to the weak undertone.  Many
traders this week were attending a major food show in Paris.
EASTERN OVERVIEW:
Milk production in Eastern Europe continues to decline along the typical
seasonal track.  The seasonal low point in milk production is still a few
weeks ahead.  Weather conditions, feed supplies and producer margins are
favorable for milk production.  Undetermined volumes of Eastern European raw
milk and cream are finding their way to Belarus manufacturing facilities.
There is the assumption that some of the manufactured dairy products from
these shipments are being exported to Russia.
0930c rick.whipp@ams.usda.gov 608.278.4151
USDA/AMS/Dairy Market News, Madison, Wisconsin
Dairy Market News website: www.ams.usda.gov/dairymarketnews
Dairy Market News database portal: www.marketnews.usda.gov/portal/da

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STAT News Service