Brexit and weakening oil revenues do not appear to dampen dairy price recovery
With milk flows crashing down in some regions, and slowing down in most others, demand issues (extended Russian ban, falling oil prices, Brexit uncertainty…) though very real concerns, appear to have had little impact on the ongoing recovery in dairy prices.
Output collapses in the UK, lifting spot and indicator prices
UK daily milk supplies have continued to fall dramatically against previous year since April – last year’s supplies were exceptionally high. May supplies were down 4.8% compared to the previous year, and since June output has also fallen below the three year average.
For the first two weeks of July, UK milk supplies have fallen by a massive 10.2% compared to last year, and 6% below the three year average.
Cow slaughters in the UK for June were a whopping 19.5% up on last year, and 17.2% ahead of the three year average. For the year to the end of June, cow slaughters were up 5.8% on the same period last year.