Rising butter prices on the world market

In Europe, there is a significant increase in butter prices, which is due to a number of factors that affect both demand and supply. Information about this was provided by the Infagro agency.

One of the key factors influencing the market was the limited supply. Butter production turned out to be lower than expected due to problems with the supply of raw materials and high prices for the cream itself, which limited its supply. Consumer activity increased, which was initially associated with the traditional peak consumption in the asparagus season, and then reinforced by promotions and discounts in the retail trade.

The market was also affected by the holidays in the second half of May, which stimulated wholesale purchases and the formation of stocks for the future. Some buyers postponed their purchases, which led to the formation of pent-up demand.

In Oceania, there is also a trend of increasing butter prices, which is caused by a decrease in supply with stable demand.

In the oil market in the USA, despite some weakening of prices before the holiday weekend, generally positive dynamics are observed. Demand remains strong in both retail and foodservice, supporting oil production and consumption prices.

Recent trading on the GDT also confirmed a marked rise in both butter and milk fat prices, indicating a global strengthening of demand for dairy products and their derivatives on the international market.