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Dansko Foods Ltd.

An Irish Dairying Business

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Irish Dairy Market trends Q4 ’21

Home | News | Irish Dairy Market trends Q4 ’21

06/12/2021

06/12/2021

It’s been a busy period in Dansko over the last two months with the beginning of our new Financial Trading Year in October and a very active market to contend with.

Bull market for Irish butter

After a steady bull market for Butter over the last 8 weeks we have seen prices being to taper off in the last week or so with more offers in the market and demand taking a breather. Most customers are covered now for Q4 with most activity and interest in the market generated through the trade.

Seasonal and weather impact on Irish Dairy Pricing

We have seen a seasonal increase in milk volumes across EU and cream prices beginning to come off to €6800/MT from the highs of €7300/mt. Weather conditions in Ireland have been unusually mild over Oct/Nov so far and ideal for grass growth – Irish Winter Butter supply will be strong this season. After a brief weakness in the market, we are seeing prices uptick again. Irish manufacturers are still very bullish on butter with current pricing €5050-5100/mt. Quotes into Q1 on futures remain high for fresh produce and are quoted at €5300/MT for certain EU origins.

Strong demand for cheese and Irish cheddar

The Cheddar market in contrast has shown no signs of weakness with Irish Mild Cheddar and Irish Cheddar Curd in very short supply. We were hearing Q1 ’22 prices for Edam/Gouda and Mozzarella all at lower levels than current Q4 pricing and wondered if this would have an impact on Irish Cheddar pricing. As our production season is different to the what happens across the continent [no production from mid Nov-early Feb] we do not see Irish Cheddar prices coming offer until at least end of Q1 next year and even then, we do not see a major correction given current demand and low stock positions.

Buoyant market for Irish dairy produce

Overall, very buoyant market for Irish dairy produce and Irish farmers – strong milk price, good weather conditions and strong returns from the market. Not much to complain about right now…. But we’re Irish, we’ll find a solution for that soon enough as well!

 

-David O’Neill, CEO

 

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Head Office

3 Victoria Road,
Cork City,
Cork, T12 HA2F,
Ireland

+353 21 5005544
info@danskofoods.com

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Sarsfield Street,
Kilmallock,
Co. Limerick, V35 N298,
Ireland

+353 63 98571
info@danskofoods.com

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