European Dairy Market Summary

MADISON - Jul 9/15 - 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:  Milk production in Western Europe has shown only marginal
declines since reaching the seasonal peak. Weather conditions are favorable
and cow comfort levels are generally good. Producers are supplementing feed
rations with grain in order to maximize and capture current prices and
margins, prior to expected declines. Dairy commodity prices are declining and
will likely see little recovery in the near term. Russia has extended the
import embargo covering dairy products from the European Union.  The embargo
extension was not unexpected and should not greatly influence the EU dairy
markets.
Preliminary reports from Eurostat showed EU28 milk deliveries for January-May
unchanged from year ago levels.  Selected member states showed the following
January-May percentage changes compared to the same period last year:
Germany, -1.3%; France, -1.6%; UK, +1.3%; Belgium, -1.2%; Italy, -0.5%; and
Ireland, +6.5%.
EASTERN OVERVIEW:  Eastern Europe milk production is marginally declining
along the typical seasonal trend.  Weather conditions have varied in recent
weeks, but have not hampered milk production to any great extent.
Preliminary milk production estimates for the January to May period in Poland
show a 1.8% increase compared to a year ago.
According to Eurostat, Poland's April 2015 production of various dairy
commodities showed the following percentage changes compared to April 2014:
butter, +9.6%; SMP, -7.1%; and WMP, +7.9%.
0930c rick.whipp@ams.usda.gov 608.557.7004
USDA/AMS/Dairy Market News, Madison, Wisconsin
Dairy Market News website: www.ams.usda.gov/dairymarketnews
Dairy Market News database portal: http://www.marketnews.usda.gov/mnp/da-home

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STAT News Service