European Dairy Market Summary

MADISON - Apr 24/14 - 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:  Current milk production is nearing peak seasonal levels.
The large milk volumes are prompting some discounts for fluid prices.  Drying
facilities are operating at near capacity levels.  Additional drying capacity
has come online recently, stabilizing milk volumes going to cheese
production.  Export activity for most dairy products has declined in recent
weeks, and as a result, prices have moved lower.  A stronger Euro, a weaker
Russian Ruble, the Ukrainian situation, lower demand from China, increased
dairy production in the northern hemisphere, and lower priced dairy products
internationally have combined to reduce European dairy exports.  Milk
production, as reported by Eurostat, shows EU-28 production up 4.7% from
February 2013.  Changes in February production from a year ago for selected
countries are:  Germany, +4.4%; Belgium, +6.8%; Ireland, -4.4%; Netherlands,
+4.2%; and the UK, +12.4%.  EU-28 milk production estimates for the January-
February period are 4.7% above year ago levels.
EASTERN OVERVIEW:  Some excess milk and condensed supplies are making their
way from Western to Eastern European countries, where drying capacities are
available.  Due to these increased shipments, skim milk powder production has
expanded and supplies are more readily available than in Western Europe.
Decreased demand from Russia continues to limit dairy exports from the
region.  Milk production, as reported by Eurostat, shows February production
changes from a year ago for selected Eastern European countries are:  Poland,
+7.6%; Czech Republic, -2.9%; Bulgaria, -2.2%; Slovenia, 0.2% and Slovakia, -
0.3%.
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
     INVITATION TO SUBMIT COMMENTS FOR CONSIDERATION TO CHANGE
             DAIRY MARKET NEWS (DMN) REPORTING PROGRAM
AMS is requesting comments regarding existing reporting guidelines and
market coverage of all DMN reporting programs. Comments should clearly
include the commenter's position on current product specifications,
product coverage, or reporting guidelines. Any justification for
proposed changes and relevant information to support those views should
be included. Any comment relating to any aspect of market reporting
will be considered. Three key areas of interest are:
     1.  adding market coverage of skim milk powder (SMP)
     2.  including resale prices in market price series
     3.  evaluating lactose mesh size in market price series
Comments should be faxed, emailed, or mailed, and comments should be
received by May 23, 2014. Comments and questions may be directed to:
Butch Speth, National Supervisor, Dairy Market News
2920 Marketplace Drive, STE 202
Fitchburg, WI 53719-5337
Phone: (608) 278-4152
Fax: (608) 278-4141
DMN@ams.usda.gov
The complete announcement is available on the DMN website in the
What's New menu: http://www.ams.usda.gov/DairyMarketNews

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STAT News Service